Our Dirty Little Secret
Note to Readers: I am not a licensed financial adviser. The following is my personal opinion. My expertise is in our local real estate market here in the Upstate of SC. Please be sure to do your own research and seek guidance from an investment professional before making any financial decisions.
The USA is broke. There is zero chance of ever repaying our debts.
I am not going to bore you with a lot of statistics, but suffice to say that our National Debt is now 34 TRILLION dollars and is projected to grow to 56 Trillion over the next 10 years.
Many blue states are also broke, and will look to the Feds for even more money!
As if this isn’t bad enough, there are Federal entitlements somewhere in the area of another 20 Trillion dollars.
Simply put, entitlements are promises to pay our fellow Americans. Think Social Security, Medicare and Medicaid, government pensions, etc.
No politician, in either party, dares to look the American people in the eye and tell them they can’t make good on their past promises.
So, they will just print more dollars, lots more dollars.
Eventually, I would expect inflation to rise to double digits. Cash buying power will erode as prices of everything rise. If you are lucky enough to have cash in the bank, you will find it buys less and less. Interest rates may also soar in response.
So what do we do?
Instead of piles of cash, it could be better to hold assets like real estate, precious metals, certain inflation-resistant stocks, and even non-perishable food and household goods. All of these should appreciate as the dollar depreciates.
If you think I’m way off base, look at the prices of all of these over the last few years.
Of course, none of us, including me, know how all this mismanagement of our country’s finances ends.
What I do know is that up to now, owning a home, as well as other hard assets have been somewhat protective against the ravages of inflation.
Owning your own home may be the single best way to preserve your wealth in the coming years.
Let’s sit down and talk about your current real estate situation. This might be the perfect time to start, or add to, your real estate investment portfolio. Despite current interest rates, it might be a good time to upgrade from your current home to something more to your liking and settle in for the long haul.
If I’m right about inflation, interest rates may never be this low again for a very long time.
Have a great weekend and week ahead.
Sal Busacca, Realtor
Keller Williams Greenville Central
Feature of the Week
$299,000
104 Brandon Court, Simpsonville, SC 29681
3 BR’s 2 Baths 1650 SF
Listing Courtesy Of: Sal Busacca, Keller Williams Greenville Central
Property Description
Finally, your chance to own a home on a quiet cul-de-sac in the established and serene subdivision of Powderhorn. This well-built and well-cared-for ranch home offers 1600+ sf of living space. The house boasts 3 BRs and 2 Full Baths, along with a spacious eat-in kitchen. The kitchen has been tastefully updated with modern appliances and countertops and also
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