If you’ve ever invested in a real estate deal as a limited partner, someone handed you a document that listed your position in the investment. Maybe they called it “preferred equity” or “common equity.” Maybe they mentioned a “senior loan” from a bank. Most people nod along and sign. They don’t really know what those...
HomeAuthor
Ken McElroy’s Real Estate Edge
Ken and Danille walk through why the shift from ownership to subscription culture is the most important financial decision most people aren’t paying attention to. The American dream used to mean owning things. A house. A car. A stereo system your dad saved 2 years to buy. Now it means paying $15/month for music,...
Most people look at an interest rate as a single number. It’s not. It’s a stack of risks, each one priced separately, layered on top of each other before a lender will hand over a dollar. Once you understand what’s inside the number, you start to see why rates differ between a U.S. Treasury and...
The Fed can’t cut when prices keep rising. But high inflation has its own way of pushing property values up. Either way, the case for real assets holds. The April CPI came in at 3.8% year-over-year, and markets noticed. Bond investors expects higher inflation. That’s the market saying it doesn’t believe inflation is going quietly....
Somewhere in Dallas right now, there are nearly 1,000 multifamily properties where 100% of net operating income goes straight to debt service. Not profit. Not reserves. Not investor distributions. Just keeping the loan alive. And in most cases, the property itself is fine. Occupancy is stable. Rents are being collected. The operator is doing...
What the Jobs Report Doesn’t Tell You
May 13, 20260
The Labor Department reported 115,000 jobs added in April. Markets liked it. But talk to anyone actually looking for work and they’ll tell you nobody’s hiring. So which is it? Here’s what most people don’t know about how these numbers get made. The BLS releases an initial number on the first Friday of the following...
One of the most important forces in the economy isn’t interest rates, inflation, or even unemployment. It’s liquidity. And right now, I don’t think enough people are paying attention to what’s happening with it. The basic definition of liquidity is how quickly and easily something can be converted to cash without a significant loss in...
