Speaker 1: There is a lot of prosperity that is going could
be created out of this AI revolution, and we ain't
seen nothing yet. I mean, if it's going to blow
our minds, and as prosperity is created, that's going to
mean more dollars, more money flowing into the economy.
Speaker 2: You are listening to Carrie Letz's Financial Survival Network, where
you get valuable information you just can't find anywhere else
to thrive in today's trying times. You need the Financial
Survival Network now more than ever. Go to Financial Survivalnetwork
dot com and get your free newsletter and gift. Financial
Survival Network now more than ever.
Speaker 3: And welcome you are listening to and watching the Financial
Survival Network. I'm your host, Terry Leutz. Wow, we're already
at the end of January. Who can believe it? I mean,
the election was just a couple of short months ago,
and here we are, man in the thicke of things.
What is happening with the economy? Real estate, crypto, gold silver.
Jason Hartman is with us. Now you find a bit
Jason Hartman dot com and Jason, it's great to have
you back on. I see you're getting some sun here,
which is good in sunny South Florida. The cold weather
is gone. But what you what are you seeing? And
you look into your crystal ball for the for the
months and the years ahead. Now that there's a new
sheriff in town.
Speaker 1: Yeah, well, first of all, I'm glad there's a new
sheriff in town because it seems like we are only
ten days in, ten days in to the new administry,
and amazing things are happening. I mean, it is so good.
It is incredible. When you see an executive, an actual
executive with leadership skills and business skill running things, it's
just awesome. I am so impressed. And I know there
are a few of you out there who probably go crazy,
you know, you know, think, what do you want a
free I mean last time he worked for free, okay,
And he works very hard. He's got massive amounts of energy,
and I think he's mostly got great ideas and he's
doing great things. As far as the economy overall, Kerrie,
And we'll talk about the real estate market too, because
of course that's my main business, is helping real estate
investors buy properties nationwide, as you know, And I think
overall the economy, I think everything that's happening is very
good news, but I caution everybody, it's not going to
be without some short term pain. I mean, look, if
you take millions of people out of the economy, they
have jobs. Of course, they're low paying immigrant type jobs,
the vast majority of them, and they rent cheap properties. Right,
So if you're a landlord in one of those low
end properties where your tenants are these people, you know
you're going to have some people move out, right. That's
going to increase your vacancies. If you're an employer, you're
going to lose that person and ultimately their net cost
to the economy. You know, the studies say that immigrants
cost illegal immigrants cost not eight thousand dollars per year
each in terms of government costs, but there are other
costs beyond that. And so good long term, but not
without some short term bumps in the road. So that's perfect.
Speaker 3: Who's going to pick the blueberries for your smoothie? Jason?
Speaker 1: Well, you know those jobs all got done in the fifties, okay,
And it's when I go around the world. I've now
been to ninety nine countries. I almost made it to
one hundred. But when I tried to go to Vietnam
just over a month ago. My visa. I had a
problem with my visas.
Speaker 3: Oh yeah, these to go to the Vietnam. That is correct.
Speaker 1: I did not get to my one hundredth country yet,
but I'll get there anyway. In all my travels and
some of those countries I've been to many times, I've
traveled extensively for long times, you know, throughout my life.
And you know, the thing that has amazed me that
I've noticed since nineteen ninety nine when I was in Australia,
I remember noticing this. We had white Australian people cleaning
the hotel rooms, okay, and doing all these menial jobs
they say they won't do. They will do it if
they get a fair wage. Okay. It's just simple supply
and demand. This idea that only you know, brown immigrants
will do these jobs is so racist and so ridiculous.
It's just nonsensical. It makes no sense at all. It's
completely criticist. It's like saying, okay, we've got to get
a bunch of slaves to come in here and work
for no money to do these menial jobs. All those
jobs were done before. Yeah, of course, people ate blueberries
in the fifties eight strawberries in the fifties, houses got built,
stuff happened, It all worked before or just fine, okay,
in a more functional economy. Rice is the last several
decades is a very dysfunctional autonomy. Yeah, hey, if you can't,
the vices will go up, but wages will go up too. Yeah.
Speaker 3: So you can't hire an illegal house cleaner, Dan, you
hire a legal one, and you're going to pay double,
that's all, so you won't have the person there as
much whatever.
Speaker 1: But well you're your your own wages are going to
go up. Yeah, because because those jobs are being taken
now by immigrants, right, and so they will now be
filled with citizens that are irrelated. You know, those wages
will rise.
Speaker 3: You know, you're like not giving the former occupant of
the White House enough credit here, Jason, because a A
he ended the the Afghan War, which was a useless
disaster for twenty years. Right, that was a major accomplishment.
He's proud of that.
Speaker 1: But the ending of it was a complete disaster, as
we both know.
Speaker 3: But you gotta you want to make an omelet, you
got to break some eggs that right. Number two is
he ended the labor shortage right, top achievements of his administration.
And number three he solved the hotel crisis. Yeah, I
know you are being sarcastic so well, but I think
those are the major achievements of his reign of terror. Here,
his reign of error.
Speaker 1: Right, reign of error and terror. That's a good will. Now,
it was a complete disaster, unmitigated. The Biden crime family
was awful, and.
Speaker 3: Then he knew he knew it was going to happen,
because the guy was never bright. You know, he finished
the damn near the bottom of his law school class.
And it wasn't that great a law school. I think
University of Delaware, Syracuse, Syracuse. I think it was Syracuse.
And he was always a buffoon. He was a serial plagiarizer.
And anyway, without getting into it all, yeah, I agree,
he was a disaster where you like shocked by the
number of executive orders and the rapidity of the Trump
Trump regime.
Speaker 1: Oh, I think I think Trump is incredible. You know, listen,
I didn't really like him that much before. Honestly. I mean,
I've had a lot of Trump people on my shows
over the years, and you know, I always said I
thought he was kind of childish and immature. But I
think he's grown up, guys, really, Zoe, and and you know,
and and I think he is an executive and a leader,
and he is. I mean, he is a hard, hard worker.
No one can take that away from him. And you
know the fact that he held three pet press conferences
the day of his inauguration, the fact that he was
in the Oval office signing executive orders, the fact that
he was in that arena signing executive orders. I mean
we all saw that, and the orders make sense. I mean,
these are the right thing to do. The only danger
I see now where he could really screw up in
my opinion at the moment. I mean, there's certainly a
lot of time left for him to make a lot
of mistakes. But I worry that he will let these
tech oligarchs get too close to him. You know, Zuckerberg
is chumming up with her, even though you know, he
just paid him twenty five million dollars to settle that
case where he sued Facebook thankfully and got a twenty
five million dollars settlement. Just yesterday I read about that
that was in Trump's favor, and that was because they
deplatformed him and you know, Facebook should pay that to
everybody they censored in deep platform. I mean, so these
tech oligarchs, I mean, Joe Biden was right about that
when he was leaving office, kind of similar to what
was it that said that, Not Truman but someone who's
you know, talked about the danger of.
Speaker 3: The military that Washoward.
Speaker 1: Evan Howard, who've had that. Yeah, yeah, when he was
leaving Archer speech right, right, and Biden said it about
the tech oligarchs. And I agree with Biden, he's right
about that. I mean, occasionally he says something the.
Speaker 3: Truths Jason, who financed, who financed Facebook, who financed the Amazonia.
So really his warning is just the same warning as
Eisenhower when you peel the onion, and that is beware
of the military industrial commy right, and the deep state.
Speaker 1: It's just a state.
Speaker 3: So I came up with an idea though, to speed
up the pace of the deportations. Okay, and let me
know what you think. So you offer a bounty for
every illegal one thousand bucks.
Speaker 1: That was in your newsletter. It's a great idea.
Speaker 3: Yeah, it leads to their departure. If they're violent criminals,
ten thousand, it's still going to be cheaper than having
the government track them down, and then you have a
database with every single illegal on it, right, and then
you know people will make their livings just being bounty hunters.
Speaker 1: Right. But no, now, I think that is on its
face a great idea because the other thing you didn't
mention it's going to be great about that too, is
it would pump a lot of money into the economy. Yeah.
I mean, think of all the people who you know,
it's a small number that don't have a job, or
they're an uber driver or lyft driver or something, and
you know they could make a lot of extra money
that could change their life being one of these bounty hunters.
The only thing that I don't like about it is this.
You know, in all these dictatorships, we have had this idea,
you know, report snitch, Right.
Speaker 3: I know.
Speaker 1: That has a little bit of that flavor that does
worry me. Okay, could get out of control, but hey,
it's worth a try, and if it gets out of control,
we just can't split. Now.
Speaker 3: Yeah, well, I mean it's a really sincere effort, but
there's tens of millions of them here. I mean, I
hate to reward bad behavior because the last time. We
did that during Reagan when he signed the amnesty for
roughly three million. That's what led to this because they
just say, well, well, we'll just do it till they
do the next anesty in the next and there hasn't
been another one. But one thing I would like to
see is a tax amnesty. It's never been held on
the federal level where basically, if you owe any taxes,
whether they figured it out or not, you could just
pay it without any penalties, without any interest. Everybody just
pays it and they pull in a trillion dollars there
with all the tax lines that are out there.
Speaker 1: Jason, Yeah, yeah, it's it's an interesting idea and I
think it's worth a try.
Speaker 3: Yeah. So when we're looking at it, what's your take
on the cryptos, the Donald coin, the Malania coin, bitcoins? Now,
I think today as we're speaking about one hundred and
seven thousand dollars.
Speaker 1: Oh, that's another record, Yeah.
Speaker 3: Close to It might not be quite there, but it's
almost there.
Speaker 1: I thought one of six was the record, but I'm
not keeping close track, so I may be wrong. But anyway,
you know, I think bitcoin is in a class by itself.
It's a completely different idea. These other coins are junk,
they're fads, you know, they're not like real things. But
bitcoin does have a case. It has a real case,
and I think it's interesting. I think it's good that
the Trump administration is getting behind it. Again, any of
this could go to zero, so be extremely careful. It
is a speculative asset. I certainly own some, but I'm
invested in pretty much everything that I can think at least,
and so, you know, diversify, as the word to the wise,
but I think you should own some. My favorite asset class, though,
is still income property. I like little single family houses
that produce income. I think those are the best thing going.
And I will tell you, though, Kerry, this is one
of the hardest years ever in my career. And I've
been helping investors buy properties nationwide for twenty one years now.
This is one of the hardest years ever to predict
the real estate market. Usually I have very firm predictions,
and I'm usually very right about them. They usually come true,
and it can hold me accountable to that. Just go
listen to my show from twenty years ago, and it's
all there, like it's date stamped. I can't change it. Okay,
you can hear what I was saying then and see
if the game true, even back test me. But anyway,
there are so many unknowns right now. Right, I think,
certainly we have a serious housing shortage. There's no question
about that. Trump's idea of letting builders build on federal
lands will not solve the housing shortage. And I'll tell
you why, because the housing shortage isn't really about land.
It's about construction materials and houses. The ingredients of a house,
think about it, are concrete, lumber, copper, wire, petroleum products, energy, labor, glass, steel,
Those are the ingredients, right, and other things of course,
and a lot of those ingredients from offshore. Okay, think
of a house and just think of the little parts.
Think of all the hinges, the doorknobs, the fachers. I mean,
there's just a zillion little things, the garage organers, all
this stuff. Right, These all come well, not all of
them obviously, but a lot of them are imported. And
so if tariffs are slapped on those things, the cost
is going to go way up, and that's going to
push the cost up. But regardless of tariffs, which is
another big if, right, we just don't know it's an unknown.
These materials are in short supply, especially with the LA fires,
the North Carolina hurricane situation. You know, there is a
giant race And I just read an article about this
yesterday or two days ago in the Walls Through Journal.
There is a huge competition for building materials right now,
and the cost can only go up, and that increases
the cost of housing. So these problems are complex and
they're hard to solve, and they're hard to disrupt because
it's a low tech item. It's not like a new
piece of software it comes out and solves the housing problem.
It's not like AI solves that problem. It's a low
tech item and it's very hard to disrupt. So certainly
there's upward pressure on prices, upward pressure on rents, probably
for a long time to come. But how much I
don't know because there's just too many unknowns right now.
So if I just to conclude this idea, if I
had to predict the real estate market this year, I
would say we're going to see sort of a basic
year of four or five percent appreciation, And of course
it depends on the market. Some markets, you know, will
come down a little bit, some markets will go up more,
you know, but the average four or five percent. I
think it's going to be kind of an uneventful year,
but again, a lot of cross currents and a lot
of wild cards. It's the first time I've really said
I just don't know.
Speaker 3: Well. I think AI is going to come into play
here because one of the things, like I watched with
the new Deep Seek AI from China, is the thing
like wrote perfect code, like you tell it to program
a Tetris type program for you, and it does it,
and they change the parameters it works. I think we'll
see like new building techniques coming out of this because look,
the perfect example of an AI driven company is Tesla.
Everything that's coming out of that company, every change, I
believe is AI driven. I think it might come from
individuals an idea, but the implementation all AI driven. And
we're going to see that, and it's going to happen
faster than anybody could believe.
Speaker 1: You know. One of my newsletter articles recently that a
lot of people really liked was about AI agents, and
AI agents are basically things that do things. Is their
AI systems to do things for us? Okay, and I
talked about how this year is going to be the
year of massive expansion of AI agents. It this basically
allows people in every socioeconomic class. I mean, look, I
noticed this kind of startlingly when I was in Mexico
City a couple of months ago, and you know, I
couldn't believe how like low income people there were using AI.
They were using all this great town and basically think
about think about how much better your life gets if
you have multiple assistance right that are free or incredibly
cheap to use, and they're doing things for you, and
they're freeing up your time so that you can work more,
you can create more, or you can just have more leisure.
And there is a lot of prosperity that is going
to be created out of this AI revolution, and we
ain't seen nothing yet. I mean, if it's going to
blow our minds. And as prosperity is created, that's going
to mean more dollars, more money flowing into the economy,
putting upward pressure on prices.
Speaker 3: And it's going to happen so fast. You know, most people, oh, yeah,
see this. You know, they know it's there, but you
don't know how fast it's going to help.
Speaker 1: But it's in carries in a food to three years,
we won't even recognize things. It's going so quickly.
Speaker 3: As somebody once told me, it's an amazing time to
be alive.
Speaker 1: I'm starting to say that again. I was a little
pessimistic for a few years, and I didn't use that
that much, but I'm saying it more awful now.
Speaker 3: It's just as human beings, there is a limited amount
of change that you can tolerate because it's disruptive, right,
makes you feel insecure. I think like you and I
are more prime to it, kind of gotten on the
on the wave. But most people out there have no
capacity to handle this. Yeah, right, I mean even down
to the if you had a robot that just washed
the dishes for you, picked up served you food, that
would be such a disruption to the average person's life.
It would, you know, it would be really difficult.
Speaker 1: Here here's the thing, here's the here's the thing. I
think felt number one, this is going to be such
a smooth integration into people's lives this time around. And
I'll just give you an example of that. Who was
it that said this, I don't know, but I saw it.
I tweeted a bit and it was this that the
hottest new computer programming language is English, okay. It's not
c plus ethon cobalt, it's not all of this stuff.
It's English. And all of these computers with AI really
with chat GPT okay being the forerunner, have made this
so easy. It's like you don't have to really learn
anything except just how to use your language you've already used. Right,
So this is going to be a very smooth integration.
This revolution is bigger than the Internet itself, and just
massive amounts of prosperity and standard of living benefits are
going to accrue of it. They're going to be widely
dispersed and a crew to pretty much all people on Earth.
Speaker 3: Yeah, it's very true, but it's still going to be
disruptive because even if you're miserable in your life, you're
working your butt off, it's your life. You're used to it,
You've learned to live within. Find a rapid change. We're
talking rapid change here, even for the better, it's still change,
you know, And it's like you have I always viewed it.
You have three kind of spheres in your life, like
like somebody that once ran for president recently said, I
love ven diagrams. The way you kind of draw circles
that intersect. But you have your you know, your social life,
your career, your family life. They overlap, let's face it,
And as long as two of them are stable you
could deal with generally. You know, you can deal with
disruption in one.
Speaker 1: Yeah, that's interesting.
Speaker 3: Two of them, it's going to be more difficult. Like
you're moving and you're getting divorced. All right, that's a
tough one. A lot of people get depressed about it
when all three are in up. That's what I'm thinking of,
even if it's eventually for the better, you know. So
it's going to be interesting for sure. So you know,
when we have this conversation Jason next January thirtieth, where
do you think will be.
Speaker 1: I think we will be more prosperous. I think interest
rates will be a little lower in terms of mortgage rates.
I think housing prices will be higher. I think rents
will be higher. And I think, you know, I think
I think we're going to have a lower population slightly
because of the deportations. And I don't know if we're
going to have tariffs or not. I just don't know.
Speaker 3: Well, you can do the tariffs. They're not a Q
or all but they're more a leverage thing forgetting other
things that you want, like with Columbia at.
Speaker 1: Holly and it's working.
Speaker 3: The guy whatever you whatever you feel about him, And
believe me, I understand why the segment of the population
doesn't like him. The derangement part that I don't get
because that just defies reason. But you know, when you
get locked up in the emotional state, that's the enemy
of critical thinking. But you know, the executive orders, the
effort to reinvent government. You know, Reagan was going to
do it. Then he got shot, like you know, sixty
days after he took office, and you know then that
was kind of the end of it. But this guy
is like a force of nature, and I don't think he's.
Speaker 1: Going to say and they already got shot, so yeah,
he's already deal with that. The emotional part of that.
Speaker 3: Yeah, yeah, you know when you're confronted with that, like
you get into a bad accident, whatever, near death experience,
it's going to change you. Well anyway, Jason, tell us
where we find you. How do we connect with you
on the web?
Speaker 1: Sure, absolutely so my YouTube channel. Just type Jason Harmon
on YouTube podcast. Same thing, Just type my name and
of course, I'm mean website Jasonhartman dot com.
Speaker 3: All right, and the links in the show that's this
interview on Financial Survival Network dot com. When you go there,
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We will talk to you again soon. Thanks for stopping by.
Speaker 1: Likewise, happy investing, Thanks.
Speaker 2: For listening to Carrie Letz's Financial Survival Network. Your solution
to today's trying times for the latest go to Financial
Survivalnetwork dot com. Financial Survival Network now more than ever,