Real Estate & HARD, tangible assets are going to continue to appreciate: Here's Why!

[AJ Wong]

The US dollar is doomed and the best way to hedge against inflation and the inevitable loss in purchasing power is to convert your hard earned savings into: Real Estate, Gold, Silver, Land, Lead & tangible commodities. 

We have been bullish and stacking gold since $300/oz, silver since $10/oz and Oregon Coast property since SFR's were $85K.

This is not a boast, it is a reiteration of the facts. The US dollar's value (a reflection of the strength of the empire) is in dramatic decline. 10% this year - and 97% since the debasement from the gold standard. 

Gold & Silver are elements. The composition is eternal and cannot change. Precious metals are finite, difficult to get out of the ground and should be much more difficult to ascertain.  If the chemical composition and quantity cannot change, what changes is the denominator or the exchange rate of the currency. 

Gold is up 50% THIS YEAR and in our opinion well on its way to $10K/oz. Silver is up even more and our target is $250/oz. 

What happens to real estate values? The same thing that has been occurring. In the future - it will take more dollars to trade for the same asset. Think Europe and the astronomical prices of housing in most developed cities for a flat. 

The US housing market is spoiled. McMansions should be the exception - like everywhere else on Earth - not the norm. For any qualified buyer (and if they're not qualified there is a program that will do so) there is achievable financing available - often with as little as 3% down for primary residence purchases. Every $100K in increased purchase price is theoretically an additional $3K down..if more down payment were required, values would be more restricted. Seven years ago when I first moved to Oregon my theory was: "If you own a home and land anywhere desirable in America in twenty years you'll be considered the exception." Here we are. 

The exponential increase in equity and digital asset prices is exacerbating inequality. Those with meaningful assets are experiencing a rapid wealth multiplier that enables second, third and fifth home purchases - while those without investments are attempting to compete for their first property. 

The K shaped economy (a diversification of have's and have not's) will accelerate. The Billionaire class in America has seen their wealth increase from $4TRILLION to $7TRILLION during the past four years -  or the equivalent share of 50% of the bottom least affluent Americans. All driven by the explosion in equity valuations of the AI BUBBLE (more on this later). 

Our advice is smart diversification and fast. As borrowing rates come down, asset prices will go up and wealth (DOLLARS) will continue to be originated at an astronomical rate. Trillionaires will be minted and the effect is such an over-concentration and overabundance of currency that it will become worth-less. 

What will preserve value (regardless or the reserve currency) are commodities - essentials that cannot be artificially reproduced or replicated digitally. 

Good luck.