Posted on 05/28/2015 6:43:36 AM PDT by fredericbastiat1
But it ought to be pointed out that not only were Warren’s actions counter to her stated principles – they mimicked those of the private equity companies and other financial institutions that she has spent her entire public life railing against.
What private equity professionals like Mitt Romney, and investors in general seek to do is “buy low and sell high.”
Firms like Romney’s Bain Capital scour the market for businesses they believe are undervalued and/or have significant growth potential. They seek to buy these businesses at a low price, and grow them while making them more profitable and efficient by cutting costs, closing non-core operations while strengthening core ones and implementing new and improved strategies and practices to better their business models.
By improving the companies in which they invest, the end goal is to sell them for many times the price at which they were bought.
What Romney did at the macro level in investing in businesses worth hundreds of millions or billions of dollars, Warren did at the micro level in investing in homes worth thousands or hundreds of thousands of dollars.
The difference however is that Romney’s investing in many cases led to the creation of ever-better goods and services at ever-lower prices, with the benefits accruing to not only Romney, Bain’s investors, and the employees of the strengthened companies, but all consumers – that is, you and me.
(Excerpt) Read more at theblaze.com ...
Since the supposed .25M “profit” she made over 10 years was before remodeling and closing costs, she most certainly did not “get rich” by these investments.
I don’t begrudge her making a profit, but her hypocrisy is staggering. Although, by now I should be used to such from the ruling elite.
So? There’s ad’s on radio about classes on how to flip homes. (responding to post, not you)
I have myself had conversations with liberals who bought a home at $100k and sold it 10 years later for $1M, but quite literally could not see that this was exactly the same thing as someone buying and selling stocks to get rich.
This is an aspect of normal human psychology, BTW. If I make money on a project or investment, it’s because of my financial brilliance. If I lose money, it’s somebody else’s fault.
Not unique to liberals, BTW.
True - but Warren has derided those doing the exact same thing, not similar things.
Akin to passing laws that exempt the law-makers from the law.
I agree.
Conservative media shouldn’t bash Warren. Help her as much as possible, so she can defeat Hillary, and THEN unleash
I would love to say to Sen. Warren, “Filthy capitalist dollars, Senator!?? I thought progressives like you never touch the stuff!!”
So in her heart of hearts she’s a capitalist. :-)
* Notice lately Billy-Jeff noting he didn't take one dollar in "Capital Gains" with the Foundation, you know that whole class warfare Cap-Gains are evil thing.
* Which is funny given he, Bawwney Fwank and whole cavalcade of characters either voted for or have participated in raising it for homes up-to 250k single 500k tax free married living in it for 2 years.
* That helped drive the flipper culture in the 2000's. I knew a lot of DINK's doing real-estate on the side building and living in for 2 years and selling...
I know many here have heartburn with Larry Kudlow, I do as well. But he said something once that was spot on and that is why do we get these huge exemptions for home ownership Cap Gains and the rest of asset classes have no such exemptions.
He is right, either no Cap-Gains at all or they all have the same 15%....
Personally I think real-estate is in it's own la-la land with the mortgage deductions, you inability to take a loss, and the high cap-gains tax free freebee. WTF, that makes no sense when you compare that to any other asset class. Frankly I'd like to see homes treated like any other asset class.
The heck with the Realtor Lobbies, we need to see how truly expensive homes are, keep track of all your improvements and carrying cost to see your real gain or loss.
IMHO I'd like to get rid of the tax deductiblity and a FLAT TAX with no deductions other than buying healthcare/insurance.
This twisting of the home marketplace via the tax code has got to end IMHO...
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