Speaker 1: The fifty year mortgage. Donald Trump's idea. Zach Abraham's response,
It's as simple of that, We'll do this with the
help of God Almighty.
Speaker 2: But Todd Herman show is one disapproved by big pharma
technocrats in tyrans everywhere from the high mountains of Free America.
Here's the Emerald City exile Todd Herman.
Speaker 1: Today is the day the Lord has made, and these
are the times which God has decided we should live.
And joining me now, my friend and brother is Zach Abraham,
chief investment office of Bulverart Capital Management. You gotta get
yourself a customized wave to the people, because you got that,
but you know you could be just you should be
the guy just handed out the beanji something like that.
Speaker 3: Well, I just I just didn't want to get.
Speaker 1: None of that.
Speaker 3: No, yeah, no Nazis do it.
Speaker 1: So I I don't even know how I can do
this without I'm not even going to give the disclaimer
about we're not always going to agree with President Trump.
I'm not. I'm just going to turn to you and say, Zach,
is it a good idea to get people believing they
will ever own a home with a fifty year mortgage?
Speaker 3: So here here's a really I think it's a nuanced splash,
and I think it deserves any Okay, So on the
face of it, no, it's it's not good. It does
not increase all affordability. It will make it worse. And
the reason it will make it worse is you cannot
think about homes in terms of prices. You need to
think about homes in terms of payments, in terms of
what in terms of payments meaning if you know, I
want to say it's about seventy five to eighty percent
of people in the person's home in this country do
it with a mortgage, right, So what defines their ability
to purchase that mortgage or not is not let to
stick a price to the house, it's the payment of
the mortgage. Right. And so when you have a situation
like this where you've got you know, extraordinary recessionary low
type transactions and residential real estate because of an affordability issue,
what is most likely to happen then will absolutely happen
in some capacity and just kind of sit back and
watch is that Let's say, the difference between mortgage payments
between the thirty year and the fifty year is it's
probably going to be right around thirty to thirty five
percent cheaper. Okay, what I would expect is for the
median home price in this country to rise by whatever
that is, whether it's twenty five to thirty five percent,
I would expect the median home price to rise by
that amount over the next sixty and eighteen months following the.
Speaker 1: Release for people, WHOA, whoa, WHOA. Wait a minute. So
you're saying, I want to make sure I understand this,
And there's an infographic someone put up that compares the
thirty year mortgage under Roosevelt fifty years in a Trump
thirty year mortgage forded in ten thousand dollars house six
point five percent in just straight thirty two hundred dollars payment,
total interests paid for than seventy grands, time needed for
twenty percent equity ninety ninety months, ninety five months fifty
your mortgage forded in ten thousand, seven percent, three thousand
and eighty eight payment, total interest nine hundred and sixty
one hundred thirty dollars, time needed for twenty percent equity
twenty two hundred and sixty months. And you're telling me
it's not just that, but the fifty year mortgage would
increase the price of all houses.
Speaker 3: No, most likely, you know, most likely at the lower end.
So I would say, yeah, so let's say your medium
home price is seven hundred grand. I would expect them
to you to have it's the biggest impact from by
like five hundred twenty million dollars right in there. And
then in the first you get out on the on
the tails, you would see less and less and less impact.
But yeah, because because why your transaction is not happening
right now. They're not happening because there's a lack of buyers,
right They're happening because people can't afford the monthly pain.
So whatever percentage that mortgage brings the pain, it's down.
I would expect median home prices to rise by that
same percentage because right' it's it's just an affordability issue.
And so if people are willing to if people can
afford three thousand dollars, then whatever. So you know, if
the thirty year was thirty four hundred and now under
the fifty year it's three thousands, then that percentage I'd
be about twelve to fifteen percent difference there. The median
home prices will increase by that much, so you're gonna
make the home affordability issue worse. The other thing that
you have to consider in this country is that the
average mortgage you're going to a thirty year mortgage. The
average life of a mortgage is ten years. Okay, and
that's when people roll it, refive, take money out, do
something this Well, in a fifty year mortgage, they're not
gonna have any They're not gonna have any equity with contenders.
Speaker 1: Yeah, that was a brand that this infographic is making.
I mean two hundred and sixty months and a fifty
year mortgage, so you have twenty percent interest, so you
can do anything like that. So let's talk about actually
lowering the cost of housing here in a second. I mean,
you don't run policy, but you're a great economic thinker,
and particularly you know people headed into retirement. I myself,
I actually fancy no debt and owned the house. But
again that's me and a lot of people think that's
a good idea even in retirement. We'll talk about this
with Zach in just a second. Hey, if you've not
yet done this, we're gonna start talking about a new
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It's a story of people who are smuggling Bibles in
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Join the Angel Guild and help fund movies like this
Brave costly Christian filmmaking. Angel dot com slash Herman. So
Zach Abraham, Chief Investments for Borwart Capital Management, I know
you have a free Lave webinar coming up to talk
about AI and we need to talk about that and review, preview,
and I want to get a little bit of a
sneak peek of what's coming. But how do you actually
then lower housing prices for people in the United States
if it's not the fifty year mortgage, because it sounds
like it's not.
Speaker 3: No, it's not. So it's not easy. But you know,
one of them me king for a day. One of
the first things I would do is I would attack
rent takee So go anywhere where you have restrictions on
multifamily health right now, some like this is where you've
got to be. You can't be you know, you can't
think like a kid. You can't think like a child.
There are some of these regulations and restrictions that are
there for good reasons, most of them, speaking specifically about
the area that I live in, most of them are
completely idiotic and are absolutely part of the house affordability issue, right,
So run those down. The other thing is it takes
is it's going to require a completely different mindset. Meaning
if you want to bring down the price of housing,
you need to make a lot more affordable housing for rent.
Speaker 1: Right sounds weird, Okay, explain it.
Speaker 3: That's the the better housing that you can deliver for
more affordable rents, allows people to build up a down
pain for a house. Right. Less that rent is more available,
that rent is the less demand you've got in individual housing,
which should help on the on the on the price side. Right,
the lower those rents are, the easier it is for
people to accumulate capital to save the down payment, reduce
those regulations, incentivize homebuilders to come in get rid of
any onerous taxes, things of that nature, and then in
certain circumstances offer them taxes, incentives and bonuses, right that
could effectively work into the price of the of the
housing unit and therefore bring prices down. There's all kinds
of ways that you could even partner with local governments
to try to you know, incentivize this, make it less onerous,
take the pain out of it. But you know, if
most people saw the stuff that you've got to put
up with in the permitting and you know, the land surveys,
and some of that stuff is needed, I would say
about twenty percent of it is, about eighty percent of
it probably isn't and eighty percent that isn't needed is
probably like the most arduous, time consuming and money and
money you know, destroying part of the part of the practice,
so a bunch of different ways to do it. And
the the maddening part of it is that they cry
about a housing affordability crisis and then you look at
the policies that they pursue and it's the exact opposite
of what I'm talking about. And lo and behold, home
prices keep going up.
Speaker 1: Yeah, so yeah, and you look at like where we live.
We had the in North Idaho, we had a rush
of people from the separate countries, particularly during the lockdown
sy up the COVID SYAUP portion of the lockdown, So
we had that going on and we got a whole
flood of people coming in. We still get people coming
in from Oregon in California. They think they're fleeing high
taxation and crime. They don't know they're fleeing a completely
fallen satanic state. They figure that out when they get here.
Pray's got a lot of end up going to church.
So we've seen housing prices go up by There are
areas of our state that have no basically no building rules,
and I can take you to them where you can
buy lands and then you want to go build a
house go ahead. Other than the fact that we might
go check the foundation, we're not that interested in how
you wire it, you know, I mean, you're going to
live in it. We'd rather you're not burn the place.
Down There are literally places like that in this in
counties where it's almost like that, and you can go
build a six or eight bedroom house for four or
five hundred thousand dollars on twenty acres and yeah, and
down here like where there's actual building permits, that house
would be two million dollar house.
Speaker 3: You know. The crazy thing to Todd that I've learned
is that when a guy goes out and buys himself
twenty acres and builds a half a million dollar house,
he typically does a pretty good job of making sure
it doesn't turn down and isn't wired incorrectly. I know
that's got to be really hard for folks to believe, right,
but you usually when I see fellows making, you know,
million dollar investments, they usually do it pretty wisely.
Speaker 1: I'm a fan of not dying in a house fire,
right And my wife and I've talked about this, would
you what would you think of dying in a house fire?
And we both kind of agreed that no U you know,
rather not. There are people who fancy that, but it's
not us.
Speaker 3: Yeah, smoke innovations always seem overrated for me, you know.
I mean, you know, I'd rather avoid it if I could.
I'm not a fan of coffin. You know, the un
damaged part of it is isn't the most falln So yeah,
I you know, people tend to people tend to try
to prevent those kinds of things.
Speaker 1: There's a website that tracks just about done houses where
people just got almost done building it. Uh, and then
they ran out of money and you can swoop in
and buy this stuff. But you know banks won't back that.
Do you know that you can't? Yeah, to come in. Look,
banks could hire you could have a building inspector go
look at this and say it's well done, but they
won't if it was there. That's there's a way to
get more affordability.
Speaker 3: Well, there's also a phenomenal opportunity to step in and
be the bank there too.
Speaker 1: Yes, to be the bank, you know what I mean?
Speaker 3: Yeah, to be the bank. You're sitting there saying and
I'm like, really, boy, that would be really because we
know why they don't, right, what the bank is trying
to avoid is buying a seven hundred thousand dollars asst
that ends up being a four hundred thousand dollars asset
because something was done incorrectly. But like you said, you could,
especially on an unfinished house, it would be easier to
figure that howten, even if it was finished. So boy,
there's an opportunity there.
Speaker 2: Man.
Speaker 1: Shoot, what do you guys think in terms of investors
of these really high end, very cool prefab houses that
are these kits and you can zach, I've seen some
of these things that are enormously beautiful. Some of them
are octagonal, some of them are classic rectangles. There's the
shipping company how are shipping container houses? And there's a
company that will build it in seventy two hours. Foundation.
That's fine if I want to foundation, you do this,
but the guarantee it's done in seventy two are Some
of them come with the wiring done. These are as
close to lego boxes you can get, but they're insulated.
They're beautiful when they get done. You wouldn't know this
showed up on a kit. And the affordability in this
stuff is insane. If again, we got out of some
of the regulations. But I'm looking at some of these
houses and I'm one hundred and fifty grand buys you
a really stink and pretty cool house as a retirement
house for a couple three people.
Speaker 3: Yeah, yeah, No, I think that things like that are fantastic.
I think that things like that are going to become,
you know, even more widespread, even more prominent. I think
that things like that provide young folks have an opportunity
to build some positive equity and move in the right direction.
Here's the thing that it does bother me, though, If
then when the fifty year mortgage launches, I just I
don't see any way it doesn't because it's a natural progression.
Like we we were saying this yesterday on our show,
Todd and I think it really the thing that everybody
needs to realize. Forget about fifty year mortgage, forget about
the implications for housing, forget to me. The most important
part of that is people are gonna say Trump's doing
a good thing launching the fifty year. People are gonna
say he's doing a bad thing. Here's my point. It
doesn't matter. And the reason it doesn't matter is because
if Trump didn't do it, the next time would. And
the reason why is because when you go down the
bailout highway, which we started No. Seven and O eight,
you don't get out of it. It is an economic
roach motel. And the reason why is very simple. When
you start bailing out, what is a bailout? A bailout
is effectively removing fundamentals price, Meaning we're stepping in because
the fundamentals and the and the way company has run
itself and the way this market has run itself, we
disagree with the conclusion in terms of price that the
market is making, right yep, Like that's that's what we're
saying when we bail something out. And so we're saying
the government steps in with a stack of printed money
and readjusts things to where that price goes back up. Well,
the longer you do that, the bigger space you get
between where price should actually be and where it is.
So if you're gonna jump in and intervene over a
twenty percent drop, what are you going to do when
it's a fifty percent drop? Right? So you're in for
a penny, in for a pound, And my whole thing
is you're gonna see the fifty years in time after
that you're going to see a hundred years and you know,
and it's just the way it's gonna keep going. And
that's what I've been telling people is guys, we need
to be concerned about quote unquote collapses and and big
A can draw downs because of how crazy and unstable
things are. But that is not whenever we get those
draw downs. That is the exception of the rule. When
you look at policy and the policy we are pursuing,
and the policy that governments have always pursued when they're
in our position, You're not going to get a crash down.
You're going to get a crash out, meaning things will
get too inaffordable. That is how this ends. It's not
going to end in a great depression the way we
think of it. It is going to end eventually. Now
I'm not saying this is going to happen five years
from now, but eventually it ends with twenty dollars, thirty dollars,
forty dollars levels of bread. And the reason why, like
I said, is every time you intervene, just just look
look at what we're doing with fifty your mortgages. What
is that going to do That's going to push prices higher?
Our price is going up on housing because of natural
demand dynamics. No, it's financing, right, it's we're creative finance, right,
So we're increasingly financializing that part of the economy. And
and you'll just keep doing that. And once you go
down that path, there's no going back. Like I said,
it's an economic approach, motel because the reason you've started
on that path in the beginning was to avoid pain,
and pain was a twenty five percent brought down. Here's
the other thing to think about in relationship to the
stock market. Check this out. The stock market historically has
averaged about eighty five to one hundred percent of GDP. Right,
so if we had a twenty trillion dollar economy, you'd
expect the stock market to be around twenty trillion dollars. Currently,
right now, the stock market is worth about two hundred
and fifteen percent of GDP. Oh, okay, so what does
that mean? That mean? That means if you had a
thirty percent pullback in the stock market, and give you
guys an idea, every ten years you average probably three
thirty percent pullbacks. Not fun but part of the game. Right.
But here's the problem. Now, a thirty percent pullback a
race is about twenty trillion in household wealth, which is
the equivalent of two thirds of our entire economy. Right,
So you've pushed equity prices so high that at twenty
five to thirty percent raw down nukeas amount of an
amount of household wealth that's commensurate to two thirds the
size of our entire economy. So when you see them
propping up the stock market, is it egregious? Yes? Is
it deleterious over the long term? Yes? Do they need
to do it to prevent an economic catastrophe? Kinda?
Speaker 1: We are in the debauchery stage. Uh, sexually, morally, praise God,
people are coming back to God. But we're in the
debauchery stage financially.
Speaker 3: Yet. You and I have talked about this for a
long time. Right, Well, whatever you see going on, especially
economically and in finance, you will see it near it
in the culture.
Speaker 2: Right.
Speaker 3: You see debauchery on one it goes hand in hand
with the debauchery of other and usually it's led by
Usually it's led on the finance side, right, because you
usually access money and economies and cultures that are at
peak prosperity. That's usually also typically peak debauchery.
Speaker 1: And debauchery is usually the last phase in the six
phases of getting to societal collapse, and we're seeing all
of that. So I wanted to ask you a question
about AI because you've been studying this. You have the
free level webon are coming up November twenty second, you
can register for that at No Your riskpodcast dot com.
We'll do that the second. I just wanted to cue
people into this that this happens every single year. People
forget to buy bone Frog coffee for their friends who
are in the service. Please don't do this. In fact,
if you have friends who are serving overseas right now
or your kids are, the coffee over there can suck,
be honest, and you need to get a good American
brand there. So go to Bonefrog Coffee dot com, slash Todd,
use promo cod todds. You get tempercent off the first
purchase fifteen percent of subscription coffee. That will work. By
the way, if you subscribe for your kids, it's you
just have it sent to different address. You create multiple dresses,
multiple names. So support that Bonefrog Coffee dot com, sash
Todd promo cod Todd. And I want to tell you
this act. I know that you know we you and
I both of poor racism. So I'm struggle with this.
Tim has come up with a white coffee roast, so
he claims it's sweet and kind of nutty. He claims
it so as a as a punch, and I've ordered
some of I'm gonna try it, but I don't know.
I I got to kind of feel racist drinking white coffee,
and I wanted to know if maybe there's some black
cream I could put in it. Is it such a
black cream or is there black butter something like that
I could put in that. I don't know. Do you
do you think I'm okay with white.
Speaker 3: Cor I think it's I think it's terrific. I think
it's horrifically racist, and uh I would I would recommend.
I mean, first of all, you're starting with the bad bass.
It's it's it's a racist coffee and it's right. So
there's no way to wipe.
Speaker 1: Okay, Well, so to speak, Well, you're gonna apologize some
people now there.
Speaker 3: Yeah, absolutely, I've hurt feelings out there and I hope
to do better and learn more. Yeah, from the bottom
of my home, right, put your little little chocolate in there, Okay,
you know what I mean. Okay, chocolate, Oh yeah, that's acceptable.
Maybe some chocolate milk. Yeah, just just just don't be
a racist man.
Speaker 1: Okay, So I'll do put some chocolate in it. Bonefron
Coffee dot com slash Todd promo code Todd. Okay for
fun and because I God has spoken into me saying, hey, Todd,
do you remember the website idea I gave you that's
going to be teaching people to be in the world,
not of it that you're going to talk about. Uh,
faith and family, faith and finance, faith and fitness, faith
in the flag and God put this in mind? Are
you going to do that?
Speaker 3: Todd?
Speaker 2: Like?
Speaker 1: Are you going to do that? I went to an
AI website building service. In ten minutes, I had a
website ready to go answering prompts. Now, it's not the
best websites, but then again, I didn't go to an
AI graphic designer that I can go to. I can
go to an AI graphic designer. I can get this
stuff designed pretty quick. We've been playing with an AI
to listen to the shows and turn it into blog posts,
and some of it's frighteningly good. I don't want to
do that. But I'm sitting here thinking about housing affordability,
and I'm going in and doing now a website. How
far away are we from me saying, you know, I
want to buy house. I'm going to go to an
architectural AI. Tell it the scare footage of my lot,
give it some details as to where the waterline is
located with the you know, here's the here's the shot
of the foundation, here's the blueprints of the foundation. So
it has that, and then it could ask me a
question like, do you want us to consult your local
building codes?
Speaker 3: Oh?
Speaker 1: Sure, all right? Do you want to be in code?
Why not? And are there any special features you want?
And it could then create a CAD design for this.
They could be sent to a three D printer. And
these houses we've been talking about, Zach, these these some
of these houses, the houses, they're three D printed m
and that could be sense. You could have that design
done with very very few human beings. I mean, how
far away are we from a disruption like that? I
know that's hard to think into, but I can't think
we're I don't think we're three years away from the
first AI constructed house.
Speaker 3: No, as a matter of fact, I've got a client
right now that is using it, is building a home
and is using AI. He hired, he hired some architects,
but he's using AI alongside it. And he said he's
already had the AI correct multiple things that the architects
did w own. The architects don't know he's using it
and they're like, oh yeah, and they're like, oh, that's
a really good idea. Yeah, we'll didn't put that into
the house. So you know you have the technology to
do it right now. Wow. They that they have the
technology to do that right now. And I'm sure somebody's
linking that up. But yeah, I mean that's as far
as these llms are concerned that that technology. Whether somebody's
actually doing it exactly the way you said, I'm not
sure I would think so. But what I do know
is the technologies there.
Speaker 1: Wow.
Speaker 3: Yeah, Yeah, this is.
Speaker 1: Going to disrupt in so many ways. A lot of
my guys have been telling you, go to trade school. Uh,
the guys, young guys they work with and are going
to go be HVAC texts and to go doing people's houses.
And I don't think people are going to be excited
having robots in their houses. Yet and these robots. I
was watching a video of a robot that went nuts
that destroyed a rental house. The guys started to teach
it how to cook and it started a fire, and
it's all. You know, it was very probably very low
end robot. But if we're three years out from that,
and that's happening now, then we get to the robotics
stage and the robots build the houses. So a AI.
You know that universal basic income thing we used to
laugh about and say, Okay, that's the end. When that's
because it's the government's providing that government powerful enough to
give you everything you need, power enough to take everything
you want. If AI continues to eat jobs that way, Uh,
is it that everything is so cheap we don't need you?
U I are UBI or.
Speaker 3: This? Yeah, and and that's so and and here's the
issue with it, Like you said, it's uncharted, meaning I
see people making, in my estimation, so many mistakes when
looking at this like they're looking at it like previous
technological leaps forward in the past, and those technological leaps forward,
if you look at virtually all of them, the potential
drawbacks of that technology were relatively very small when compared
to the advantages they gave the Like you don't think
about the automobile, right, think about how the automobile opened
up employer meant opportunities for people, right, And.
Speaker 1: How by the way, it made housing more affordable because
of the suburbs yep.
Speaker 3: Yep, yep, opened up land, right, did all these different things.
So when you look at AI, the biggest advantage that
AI has and the biggest value it delivers is the
need to not have a person, right, So you've got
the most Now, it's going to have incredible advantages. But
as far as modern technologies that we've that we've witnessed,
this one has unbelievable upsides, but has much higher downside
costs culturally than other. And I'm not saying that that
makes it bad. I'm just saying there are much different
costs right in that technology's main function is to replace people.
So you know, that's one of the things that you
see this to infinity and beyond regarding the stock prices,
I'm looking at it and going, hey, guys, you know
all these AI products, who's going to pay for it? Like,
who's going to buy them?
Speaker 2: Right?
Speaker 3: So and you know, think think about the highly paid
people in tech that are losing their jobs left and right, right,
think about the trickle effect of that in the economy,
and then all of a sudden it starts coming to
automation and those people start losing their jobs. So I
don't know, Todd, I think that I think that there
will be more opportunities for people to get jobs than
a lot of the doomsdayers are saying. Yet at the
same time, a lot of jobs are going to be replaced.
A much higher percentage of the jobs in our economy
are going to be negatively impacted than with any other
technology that we've ever had. So could you need a UBI?
You might? I don't know. It's it's again. This is
a very very different technology that is going to have
big impacts, but not all of them good, and many
of them not.
Speaker 1: Gosh no, I mean, yeah, there's a movie coming out
called Making God. Guys went to San Francisco interdvention people
and someone said something really interesting. He said, AI is
like chimpanzees inventing humans. So who says the humans are
going to be in charge?
Speaker 3: I mean that that. Yeah, I mean you play it
out to its logically, yeah, I mean play it out
to its logical conclusions.
Speaker 1: And you got a central bank, so we get it.
We get a central bank digital currency. Europe's gonna do that.
They're gonna ban cash. This is they're showing their hands.
Central bank digital currency meets AI. AI is looking at
some of the modeling. You know, here's what we need
to do to cause people who save too much money
to stimulate the economy. So it creates a model and
people get a prompt and unless you buy some things
this month, we're going to take the money from you
and use it for taxes. So go buy things. They're
already talking about these things. So you get a and
AI that it wants to sustain itself. Why wouldn't it
just come along and go, Actually, I prefer you spend
money this different way. And I mean there's all sorts
of entry points to AI deciding that if it does
awaken a morality, and it couldn't have one, it would
have to be the amalgamation of all the moralities of
the people who built it. And AI could come along
and go, hey, you know, I'm done waiting on this
climate change thing. I'm gonna gohead limit some of these flights.
If it believes that, right, if it quote believes that.
I'm sorry, I don't see a way that this becomes
happy happy, other than I trust in God and I
know that how it ends. I know Jesus wins. I
know that the end comes, I know that the Earth changes.
I know we've got the new Heaven of the new Earth.
But Zach, I'm sorry, I can't see a way this
turns happy.
Speaker 3: I don't. I don't either. I don't either. And I'm
a very very positive, upbeat person. Yep, I'm an optimus,
but just really in all reality looking at it, like
I said, there's gonna be big upsides. It's going to
be used to do some really incredible things. There's gonna
be some really amazing neat things we say it do.
There's also a lot of negative impacts. And I don't
see I don't see us skirting skating by those like
we have. You know, a great comp is looking back
at the automobile, and the stay at the time was
look at all the people that's gonna get rid of
in terms of jobs, people scoop it up and down
in the streets, to buggy wit makers, to buggy makers,
all that kind of stuff. Well, yeah, those jobs went away,
but new jobs for the automobile opened up, right, and
it was just a one for one. Like I said,
this is just decidedly different. This is the first time
that technology has been aimed at getting rid of people.
Speaker 1: So at this level, I mean, there's council, but nothing exponential.
All right, you.
Speaker 3: Mentioned a well, yeah, a lot of those technologies were
actually invented not to get rid of people, but to
enhance people's production, which would lead to getting rid of pink.
But just think of the mind shift there, right, You
went from making a tool for people who will replacement.
Speaker 1: Yeah, that is exponentially, exponentially different.
Speaker 3: Yeah.
Speaker 1: I want to bring this back around to what's going
on today, because once again, who knew Obamacare would be
back in the conversation. One of the worst things I've
ever been done in this country, one of the biggest
and worst examples of evil partnerships. We'll talk about this
in a seconds, because I want to talk about stock
and insurance company prices and how we view this as
investors since we're going to talk health. I would be
remiss if I didn't tell you this. The travel disruption,
all that stuff that's going on, getting flights down to
putaviar and renew Healthcare. I got it. Some people have
sent me notes, Hey Todd, we want to go down
to December. We've got reservations. We're getting concerned. Okay, let's
wait and see what happens. But let me say this
to people who've been asking me, how long does it
take to get into the treatment pipeline for the stem
cells there? Because there's people who are going to avoid
surgery or they're going to recover from surgery more quickly.
It really depends on your circumstance. But if you say
had to get down there, and you had to go
down and get treatment done, they can get you processed
as quickly as they can examine your MRI, and they
can often make room for people, particularly if it's super painful.
They love to solve pain. So if you've got a
horrible back injury and it's not you're not going to
be a wait for the surgeon. You can't stand the pain,
just go down and get this done. If it will help,
they will tell you if it will help. It's renew
and you e dot Healthcare And in terms of you
have surgery scheduled, it's three months out. It's a month out.
Please please send your MRI there. How blessed will you
feel if they're able to tell you do not have
to have your body cut open? How blessed will you be?
Because look, I've been through like three surgeries myself, A
surgery unavoidable. But I could tell you if I did
not have to have shoulder surgeries, I would have skipped
both of them. It's renewed R E, m U E
dot Healthcare, and the shoulder I did have done there,
it's always going to be better than the one that
I didn't get done R E and U E dot Healthcare.
Please tell me a part of the Todd Hermanshew family, Zach,
you've probably seen this chart. President Trump tweeted this output
it on the true social It is the stock increases
in the major insurance companies performance stock performance post Obamacare.
So United Health Group is up one and seventy seven percent,
Signa eight hundred and twenty two percent, Molina eight hundred
and fifty nine percent. Then you got the Leggert's like
A and the only five hundred ninety five percent h Sinenta,
Santana six hundred and four percent. Human of four to nine.
The lowest is Anthem at four hundred and fourteen percent.
Funny thing when you purchase. When these guys get forty
billion dollars every year, no matter what, and this comes
from the federal government, and they still get to charge
eight thousand dollars premiums and two thousand bucks three thousand
and four thousand per month. And then the nonprofits, Zach,
do you know that they're getting one hundred and twenty
to one hundred and fifty billion per year in tax
right in tax waivers, no property tax, no employment tax.
They're paying their execs millions and millions a year. If
you've ever been into the lobbies of these nonprofit hospitals,
so called nonprofit, it's like stepping into the finest European hotels.
And that's just the areas we get to see. President
Trump is talking about taking all that money, the forty billion,
giving it to taxpayers, quote, giving it to us, it's ours.
I don't know how you give something that belongs to you,
you to you, but he's talking about doing that and
shifting this all around. So the first question, these stock prices,
they're not artificial, but they're confiscatory. And can that even last?
Can that even sustain itself?
Speaker 3: Well? If they Yeah, if they keep if they keep
the set up the way it is, I mean, and
and here in lines the problem, like and you know,
I know the vast majority of people listening to your
podcasts know this, but here in lines the problem. And
it's another classic example of government stepping in with best efforts.
And the private sector is always going to be smarter,
meaning they're going to design a system like if you
don't think that when they so, First of all, when
they designed Obamacare, they did it lockstep with the industry, right,
which which to some degree they had to because they're
the experts. But if you also then don't think that
that industry is going to back door a bunch of
stuff that slide right past the regulators and slide right
past the policy makers and the legislators and allow them effectively,
like I said, this back door and this eve this
easy way you know, to make ridiculous profits and ill
gotten gains quite honestly, right, Yeah, they're like machines. And
while you were sitting there and I saw that chart,
and I'll be honest with you, I'm kicking myself for
not realizing that purchasing those socks because the minute Obamacare
got announced the easiest way to out form the S
and P five hundred over the next ten years. It
was just gonna be able to just to ride that
cabal because right, it was just I mean, like, looking
back on it, you're like, dude, what a missed opportunity.
That was?
Speaker 1: Well, right, I was there fighting against Obamacare, and I
believe Obama knew you were going to keep your plan
because he he wants control, and he knew Jonathan Grueber
designed this. He knew they I mean, Gruber was behind
the scenes laughing about this. But here's what this mindset,
doesn't it. This is a problem with me. Is I
was saying, do you understand what this is gonna do
for insurance companies? They're gonna get automatic cash fold no
matter what, and there's only gonna be seven insurance plans
basically in the entire country because in Bambacare, Obamacare will
infect everything and those evil, those evil and but Zack,
you know, it didn't occur to me. I went in, Yeah,
I'm a loser. I didn't know.
Speaker 3: I want in I know, and that and that's one
of the things that we've really we've really embraced, especially
over the last five or six years in not getting in.
But but you in a way you have to think
about it is a lever to protect your own purchasing power, right, like,
meaning when the government is running a cabal like that
and you know ill gotten gains are just going to
be pumped into it, and and you see a system
set up like that, it's just you know, it's it's
sort of like seeing Nancy Flosi put in a stock
trade and copying it. I know, right, It's like it's
like a cheat code, and it's just here. Here's the
thing that is so frustrating to me, which is what
a classic example of how things break down, Meaning would
you sit there and you've got a government that effectively
takes over an industry oh sorry, and and says they're
doing it in the name of affordability, right, good luck, right,
good luck, And it's it's that's not what government does, right,
it's not what they do, and they're not good at
maximizing affordability. So then you see a situation like the
Obamacare thing. Of course it turns out to be here's
the other reason, the other reason they made so much
money is when you're sitting there as the government subsidizing
the prices you provide absolutely no incentive and no need
for the insurance companies to price things more competitive. Yep. Right,
anytime you're subsidizing, anytime you're subsidizing the public's purchase of anything,
you are driving the coast up infinential. Yeah, because you're
divorcing that market from the pressures of a free market.
Which means what what is the if you left well
enough alone, what would the price of medical insurance eventually do.
Now I'm not saying this is the answer, and I'm
not saying it'd be a good idea to do this,
but if you left it well enough alone, you would
eventually see the price of health insurance fall down to
where the normal consumer could purchase it. Yeah.
Speaker 1: Here's what I'd do if you could get this through Congress,
which you can't because the insurance companies have wisely taken
that money and bought even more politicians. Is I would
do this. I would open up the insurance market the
United States to every country. Hey, it's money, it's math,
all right, Hey, guess what all commerce can ensure Americans.
By the way, federal government has banned state insurance commissioners
that job doesn't exist anymore. It's all going to be
across state lines. You see a plan, you like, go
ahead and purchase it. That's great, catastrophic only, Okay, sweep
sweep catastrophic only. And you know what happens zac in
ah in two months, All of a sudden, these insurance
companies will find all sorts of efficiencies.
Speaker 3: Oh and people don't like if you haven't, if you
haven't really interacted with the insurance industry from the inside,
you have no idea how bizarre and inefficient the setup is.
To a point that makes like, if you want to
be blown away by the idiotcy of government and the
inefficiencies of government, go get into analyzing how insurance industry
is regulated. It's like, literally you have fifty different insurance
commissioners with different rules, which means no insurance company can
make one simple product. Think of the excess expense that
puts into it. It's just insane.
Speaker 1: It's insane, right right, And we could go through all
sorts of differences like that. So if they wipe that
all out, there's no state insurance commissioners. The rule is
you pay your bills when people come in with the claim,
you follow your rules. Your rules are simply stated. And
then there's this. This drives me crazy. I am obsessive
about fitness because it's what I give myself. Right, I
have the gift of God. I've got the gift of
a wife who, for whatever reason, continues to love me
and support me. And I'm blessed in that way. Praise God,
Thank you, Thank you wife whose name I don't say
on the show. But other than that, it's fitness and
church and all that. Do you know it's illegal for
health insurance companies to create health insurance products for healthy people.
Speaker 3: Yeah, yeah, discrimination right right, and which is so idiotic
because literally, if you got those people, well no, see
here's the problem. Never mind, no reason they have.
Speaker 1: To have the pooled pricing because you, Zach, if you
Obamacare plans charge us all for some wrong sex hormones
and surgery. Eighteen year old men in an Obamacare plan
pay for end of life insurance. Yes, ninety six year
old men you know, brother in Medicare, But you know
sixty four year old men pay for wrong sex surgeries
just in case they decided to have one.
Speaker 3: Well, and look, you've chapped into something that culturally is
a real problem. And has become a big problem in
the last sixty years, is that if you look at
our society and our culture, you have set it up
to where the most challenged and economically, you know, economically challenged,
the most uphill run any generation is had to make
in America. The young generation today, let's call it fifty,
call it eighteen to thirty five year olds. You have
never had a period of time where they are they
more of the more of their money, more of their
tax dollars, more their production. It's going to subsidize the
most wealthy generation in the history of our country. And
it just continues. We are just sticking it to young people.
Speaker 1: My gosh, my daughter was talking to me the other day
about living in eastern Washington looking for a place to rent,
and she came she said, he I think I found
a place. Oh wow, tell me about It was five
hundred a month. Okay, it's located here. I'm like, oh, okay,
in a nine other girls live there and.
Speaker 3: It's a van down by the room.
Speaker 1: It's it's the house and no one has their own room.
And it's nine young women her age in a bad
part of an eastern Washington town has one of the
highest crime rates, highest breaking rates. It's a oh, I
don't know, ten minute walk from a place where they
hand out heroin needles and they're each paying five hundred
a month. And she says, or there's the place that's
two thousand a month. And this is in a like
this isn't Seattle. So yes, I agree with you that
we're doing this speaking to young people. Can you join
me in something? Alan from Alan so OLPs dude, it's
his birthday. Oh, we're sitting down to record this in
a day. It's Alan's birthday. So hey number one from
me Alan, Happy birthday to you, Alan soaps dot com
slash Todd Zach. I know you're a fan of the soap,
so you say to young Alan on.
Speaker 3: His birthday, Happy birthday, keep it going.
Speaker 1: We're proud of you. We're proud of what you do.
We like working with the soap company. We know it's
the best soap in the world, and we think that
this would be a great time for people to go
see the website. Alan soaps dot com slash Todd's Happy birthday, buddy,
appreciate you. I just want to close with this. There
was a takedown of a guy named Senator Roland Getirez
and this came from Elon Musk, and I want to
get like a if we could have a zach meter
on this. We start with this neutral position and then
thumbs up as we go through this, and just tell
me what you feel about this and I'll read it.
We don't want to read it. I can't do a
grim Oh. By the way, I found a site that
can create Avatar hosts, Avatar podcast host and I'm thinking
about creating an Avatar grim Milestone, so we could actually
I should do that.
Speaker 3: You should, man, I always you just said that and
I thought, boy, this is my first shot and actually
have the podcast.
Speaker 1: If I promise you, if I were to create a
grim Milestone channel and take my name off of it
and not use my email address and use a new
computer so YouTube doesn't know it's me because they hate
my guts, I bet a grim Milestone channel would do
so stinking well.
Speaker 3: Oh, I mean that's where I mean, that's where you'd
get your news.
Speaker 1: That's okay, all the news that fit to print, that's good.
Senator Roland gatiras Elon Musk wants to become a trillionaire
off the backs of American taxpayers were We're struggling just
to pay for groceries. Elon Musk replies, this way got
the thumb. You are a taker, not a maker. All
you've done your whole life is take from the makers
of the world. The zero sum mindset you have is
the root of so much evil. Once you realize that
civilization is not zero sum, that it's about making far
more than one consumes, then it becomes obvious that the
paths of prosperity for all is to just let the
makers make. Regarding Tessa, the routy is I've been given nothing. However,
if I led Tesla to become the most vibid company
in the world by far, then it stays that way
for five years. Shareholders vowed to award me twelve percent
of what is built. Anyone who wants to come along
for the ride can buy Tesla stock. If Tesla merely
becomes a one or a one point nine nine nine
trillion dollar company, I get nothing. That is a great
deal for shareholders, which is why they voted overwhelming you
to approve this, for which I'm immensely grateful, and they
did so by a margin far more than you won
your political seat that's solid. Now is that Do you
understand that to be true? Wow, that's the deal. He
bet that high in himself.
Speaker 3: Yeah, and it's and it's like, I mean again, all
the people on your listening podcasts far enough to know this,
But that's the idiotcy. I mean, you literally have people
and I've got to take Dupierre's as one of those
guys where I think he's dumb enough to take it
face value, and I think he really believes that, and
you look at him and go when you see a
company and forget Tesla still in the gap, I mean,
any company that creates, you know, it's tests the overvalued ridiculously.
That's a different conversation. When you see a company that
goes from nothing to a trillion dollar mark CAAP or
a trillion a half dollar market cap, ninety nine percent
of the time, that is value additive to a society
and economy. It's not extracted at all, mean meaning it
creates jobs. Like the idea that you did that on
the back of taxpayers is the dumbest, most inverse logic
in the world. You poured money into tax coppers, all
your employees paid income tax at the state and federal level.
All you do when you run a company like that
is pay taxes. So like the it's just so stupid
and it's so not true, right, I mean, it's like
saying that you have a pink elephant. No you don't, No,
you don't. You might have a dog, you might have
a cat, but you're not a pink elephant, and making
the argument that Elon Musk's network was on the back
of taxpayers. How Look how much tax is his company
is paid. Look how much his employees have paid. Look
at the sales tax for every piece that he buys
it imports to build his cars with. It's just that
it's so not true, and it's so infuriatingly dumb. And
the sad part is is it's idiocy like this. The
young people in society believe because it's just I can't
afford a house, that guy is going to get a
trillion dollar pay day, that must be the problem, and
they don't understand the underlying dynamics where you go, Actually,
your problems are less because of Elon Musk and Tesla.
The government has less debt because of Elon Musk and Tesla.
He's actually helping you, regardless of whether you work for
Tesla or not, and it's just it's so stupid. Oh yeah,
just madening.
Speaker 1: Forget the thumb meater. We got the vocal response, I
love it. Always good to have wise counsel from you,
my brother. Thank you so much for taking the time.
I know you and the wife are away and get
away from the whole thing and all that, and appreciate
you and God go with you, Zach, appreciate you.
Speaker 3: Hey, thanks for having men.
Speaker 1: God bless This is a Todd Herbertshew. Please go be well,
be strong, be kind, and remember God owns everything, so
when you give back, you were really just giving back
something He gave you.