moody202

I know that you have shared your portfolio. If were to buy one stock today, which one would that be and why?

Would be interesting to get you perspective after you finish the book!

I have a portfolio of Real Estate holdings that have worked decent for me over the past 3-4 years. However, as the price of these properties has increased, I am tempted to switch into REIT investments. My thought process is that the properties generate about 8-10% per year at the current market prices. If I am able to generate 8% with REIT's, I would rather do that and not deal with the work that comes with owning Real Estate. Given that REIT's have gone up significantly over the last couple of years, I don't want to mistime and enter at near peak prices. My question is which REIT's should I look at and what returns can I realistically expect from them?

Buffett's section says "Both the board and I believe we now have the right person to succeed me as CEO – a successor ready to assume the job the day after I die or step down. In certain important respects, this person will do a better job than I am doing". Makes it sound like there is one person already identified as the CEO!!! Overall a great read, I personally enjoyed Buffett's section a lot more than Charlie's.

Is this still on schedule for Jan 30th?

Nothing new. This happens in US also. In fact you can buy these loans online at sites like http://www.loanmls.com/content/buy-private-mortgages.html I don't understand the point how this is threat to the system as most of the lenders are individuals or small entities. Their collapse has very little impact on the system.

The cap rates also vary by type of property. As an example the lower priced properties have a higher cap rate....the slums have the best cap rate!!! Also -- In my area I have found single family homes have higher cap rates than condos but also come we more headaches.

Is this a binary thing? Could you not do both (maybe not the same intensity)? I like the idea of learning 'Federal Reserve, Time on Insurance, Investing' but why can't you do that in addition to the kid going to school?

Exactly -- I'm not sure how you blow up in this scenario as some others on the thread are claiming.

If they are hiring sales people to sell it to you, I don't think there is value there.

What was the sales pitch? What did the say you will get out of the investment?

Residential Real Estate is a sales/relationship business, technology augments but can't replace these 1x1 interactions and relationships. When I have a property to rent, I can't just list it on sites like Zillow/Trulia/Craiglist for free, I still need an agent to -- Show the property to prospective buyers/tenants - I don't have time to do this on my own -- Screen the tenants to weed out garbage - Technology can provide data to help with this but no amount of technology can replace a competent agent that is good at screening tenants I happily pay the agent's fee for these services! Berkshire Hathaway also acquired auto dealership group recently. Is that Warren saying that Tesla's technology based direct sale model is not going to kill the local dealerships??

Good insight reddog66. From what I see technology is certainly reducing the barriers to entry which creates more competition and reduces makes it harder to find deals. One of the things I find intriguing about this industry is most of the people in it (90+% in my opinion) have no clue what they are doing. Interestingly technology has made it easy to distinguish between amateurs and professionals, if some is referencing Zillow pricing..They are more likely an amateur! From a long term standpoint, I don't see technology destroying the industry, just breaking down the information barriers. Residential real estate (houses, apartments, multiplexes) is not going anywhere; everybody needs a place to live. I don't have an opinion on Malls, store front, office space segment.

I say one of my regrets is not finding good mentors early in my life. This board helps fill the void!

Agree. What got published so probably no more than a quarter of the interview and completely absent of context!