Tag Archive | "Withlacoochee River"

Value Investing Diary


Value investing in Ecuador or anywhere is probably the best way that most of us can make good investments.

There are some disciplined investors who do well with short term trading… but most of us do not have the time, inclination or ability to invest this way.

In my case, I find that slower is better. Slow value oriented long term investing may not be dynamic or thrilling… but I still have all the money I had mid 2007.

That is more than a lot of speculators can say.

One problem with value investing is that it requires a lot of work, thought, determination, bravery, conviction and patience.  These qualities are not always easy to maintain long term.

Discipline is vital to multicurrency investing.

This is why I was delighted with what John Mauldin had to say when he spoke at the recent Naples seminar that Merri and I co hosted with Jyske Global Asset Managers.

multi-currency-talk

Here is John.  John is a Fort Worth, Texas businessman with over 1.5 million readers to his emailed financial newsletter.

He was Chief Executive Officer of the American Bureau of Economic Research, Inc., a publisher of newsletters and books on various investment topics, from 1982 to 1987. He was one of the founders of Adopting Children Together Inc., the largest adoption support group in Texas. He currently serves on the board of directors of the International Reconciliation Coalition and the International Children’s Relief Fund. He is also a member of the Knights of Malta, and has served on the Executive Committee of the Republican Party of Texas.

He is a frequent contributor to numerous publications, and guest on TV and radio shows as well as quoted widely in the press.

Thomas Fischer  had a great interview with John during the seminar which you can see here.

John’s speech was important because discipline is the glue that holds all investing theory together.

I believe that there are basically three types of investors… disciplined long term value seeking investors…  disciplined short term traders… and losers.

Non disciplined investors always lose in the long run.

You can read this entire report as a Multi Currency Subscriber.

More on Value Investing

Merri and I are going through the process now of searching for  and seeking to understand value in Florida real estate.  Merri has been keeping a value investing diary to help us get our bearings on what the real value of property in Florida might be now.

Let’s share that diary here.

On the Road
by Merri Scott

A number of you have written and asked, “What about the house you were buying Florida?   Any luck?  Any ideas?”

Well, yes, we’ve been on the search and off and on the road now since late March.

Have we bought anything?  No.

Have we found anything interesting?  Absolutely.  Lots of things out there.

Have we seen good prices/deals?  Wonderful prices, unbelievable opportunities.

Have we learned anything?  Yes, yes, yes, we have.

First of all, to recap…why are we buying a home in Florida?  Well, there are a lot of reasons…

1)  Late last October last year, up here in the High Country we experienced a real knock down day after day, week after week of heavy snow and extreme weather.  We aren’t used to that…we usually have great weather through October, very decent weather in November and a lot of sun but truly cold in December.  We can live with this.  But what we experienced last year, we certainly don’t want to repeat.

2) We sold all our holdings in Florida just before the bubble burst and we miss a place near our daughter and her family down there.  We are welcome there but we desire to be more a part of their lives and to have a home there.

3) Gary reminds me that real estate is all he feels comfortable with at this point.  “Where else should anyone invest at this time?” he ruminates.

“Why Florida?” you might ask.  We’ll give you all the reasons in other reports on this…but yes, there are a darn lot of good reasons for Florida.

We started out in late March (came home back early from Ecuador) for a reason.

We had this idea that we wanted to buy waterfront property but not beachfront.

Many reasons for this but the main one is that we love water…here in NC we have so many streams, creeks, waterfalls…we are almost surrounded with the delight of all this water and do enjoy it.

We knew that we would have to pay a premium for being on the water, but were willing.

We started out in late March which is near the end of the dry season in Florida…usually winters are dry and as summer starts there are daily rain showers which cool things off and bring a lot of water back into the system.

The only real times we would be in resident would be during the dry season and surely did not want the horror of buying “waterfront” only to find out that the waterfront was way out there somewhere into the distance.  (More or this later).

After all our years of experience in Florida, we also knew that it would be best to look in August at anything in South Florida or anywhere there would be the chance of standing water.  (We experienced this in South Florida years before.)…so we just stuck with our old philosophy, look in March-April for Central Florida and of course we were not looking in South Florida, but if we were look in the late summer.  This way, if we can live with the conditions during those months…then we would be OK.

A lot of you have written, “Haven’t heard from you.  Why haven’t you bought in South Florida?”.  Well, this is not to say, someone else shouldn’t…but we were evacuated 17 times over the years, had a lot of heat distress and high humidity over the years and we just didn’t want to go back there.

How did we choose our area?  Well, we’re still at it!

First of all, we want to be near our family in Lakeland but finally after about 2 weeks of driving around, we decided that we should be north of I-4 and not south.  Why?  Well, we can make it easily in a day’s drive north of I-4 but it gets harder and harder to make it further in one day.  (Despite what some might think about our being travelers, we are not.  We go from one home …with our beloved things in that home…to another.  We don’t do well staying in hotels, motels, resorts of whatever…this is torture to us.)

Having finally realized this parameter, we happily eliminated a lot of territory.

Back on the hunt…we love those sleepy, windy little rivers flowing along the center of the state…nice fishing, tiny docks, not much going on and so so full of nature.

Got out the maps, and started remembering those we loved and plotting!

At this point, we decided against using a realtor because we actually needed more under our belts before we started talking houses.

We have long been in love with the Peace River, the Alafia, the Suwanee, the Withlacoochee and many others, including the larger but beautiful St. Johns.  But of course, we were concerned about flooding in these areas also.
(Little did we know that wasn’t the primary problem!)

The Internet has proven to be fabulous as well as awfully scary.  We haven’t bought real estate for “just ourselves” not for investment in a long time and we had forgotten what that included.

In short order, we found that hey, we didn’t need to worry so much about flooding, as DRAWING OUT WATER.  Many municipalities now have the right to “draw” water from these little as well as large rivers…also found out that even California has bought “water rights” to draw down these rivers and ship the water all the way out there.   YIKES!

We used the Internet and began to find a number of possibilities…taking in mind the water rights.  We were down baby sitting for our kids who were taking a cruise and had some time to look around.  Found THE most delightful house tucked in its own woods on a beloved old friend of ours, the Withlacoochee River.  (No one seemed to have water rights on this one.)  Took our darling grandson there.

Gary had been having a long discussion with him re “natural” and “real”.  He was a bit turned around in his mind about the comparison for instance of Sea World (yes, they do have real animals there) and nature.  We made quite a drive for a 6 year old up to this remote area with this fabulous house. (looked at it from all angles, inside and out, and yes, we COULD live with this one!)

I was beginning to think…wow, this is a bit easy…first house, first area we’ve chosen and a greatly reduced price…we’ll just buy it right now!

Garren and Ma (our hound dog) jumped immediately out of the car with great joy.  A beautiful surrounding, old mature oaks, a real sleepy time down south look with a stunningly beautiful, well designed and built all natural house.  Everyone looking excited and happy!

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Here is Garren at our farm learning about nature and farm safety!

There was a long boardwalk as an entry with some cypress trees (whose feet must be wet) always signifying to us high water in the summers or at least standing water.  We nodded “That’s OK” to each other and proceeded.

Garren leaped up to the front door which opened in a lovely two story lodge like atmosphere…a clerestory window view out, a local mounted bear, turkey and deer…and declared, “This is real nature isn’t it, Poppa?”

We didn’t think the house was quite big enough but the land was good, the setting beautiful, the distance to Lakeland OK, and truly it was a house built in nature with nature.  And it was way way below our budget.

To cap it all, Gary glanced out and saw his dream “Look a wonderful old oak with a rope draped over the river where we can swing out and jump right in!”  Fabulous.

Then we all of us strolled out to the river…and there wasn’t one.  It was a very deep, wide ditch with about 3” of water left.

So very sad.  So very disturbing.

Since then the house has dropped from $77,000…according to the latest listing data.

We thanked our lucky stars that we were looking in early April and not summer when the banks might be full.  And we knew right then that we were going to have to do our homework, and that no, it wasn’t going to be that easy.

I’ll continue next week with amazing finds.

Merri

Because Merri has a lot of experience in real estate and we know a lot about Florida, we thought it might be easy to make this purchase.  She was a licensed Florida real estate broker and her first sale was a $1.4 million on the beach in Ft. Myers… in the late 70s… when a million dollars still meant something.  She went on to hold a NASD license which entitles her to be a stock broker, a syndicator of projects, a developer of large communities, etc.

But were we right?  No. Experience of the past today just isn’t enough.

You have to look, compare and think to find value now.

Tomorrow’s message provides an Ecuador value investing tip and why buyers must beware there.

Until then may all your values be good!

Gary

We hope you’ll join us to learn more business and investing opportunities globally as well as Ecuador.

July 4-8 Ecuador Export Tour

July 8-9 Imbabura Real Estate Tour
July 10-13 Ecuador Coastal Real Estate Tour

Attend any two Ecuador courses or tours in a calendar month…$949 for one.  $1,349 for two.

Attend any three Ecuador courses or tours in a calendar month…$1,199 for one.  $1,799 for two.

July 24-26 IBEZ North Carolina

Sept. 17-21 Ecuador Spanish Course

Sept. 23-24 Imbabura Real Estate Tour
Sept. 25-28 Ecuador Coastal Real Estate Tour

Oct. 9-11 IBEZ North Carolina

Oct. 21-24 Ecuador Import Export Expedition

Nov. 6-8 IBEZ Ecuador

Nov. 9-10 Imbabura Real Estate Tour
Nov. 11-14 Ecuador Coastal Real Estate Tour

Attend any two Ecuador courses or tours in a calendar month…$949 for one.  $1,349 for two.

Attend any three Ecuador courses or tours in a calendar month…$1,199 for one.  $1,799 for two.

Ecuador Comparisons & Weather-Weathering Weather


We are on the road making Ecuador comparisons, weathering the weather and wishing for Ecuador weather.

In other words Merri and I have extended our Florida meanderings so we do not arrive back at our North Carolina farm in a snow storm.

We have been looking at Ecuador income potential and so let’s view this hotel for sale on Ecuador’s beach.

ecuador-comparisons

Ecuador weather looked pretty grey on the day I took these shots… but we never have to worry about snow!

Readers  often write asking about the weather in the Andes. If you look up Quito weather for example it says “Rain” almost every day.  This is a puzzle as it is not true. Here is a great history of Quito weather from the Washington Post at http://www.washingtonpost.com/wp-srv/weather/longterm/historical/data/quito_ecuador.htm.

Here are the average temps.

ecuador-comparisons

The highs and lows.

ecuador-comparisons

The rain.

ecuador-comparisons

We have been traveling though Florida getting a feel… wondering what has led us here.  Innocently wandering around… looking… checking…. waiting.

Of course the weather is great… though a bit sticky at times…. plus too dry right now. This is Florida’s third worst drought in history.

We can’t help but make comparisons with Ecuador.

Three things I noticed in the last two nights spent at Holiday Inns were:

First, when hotels here quote room rates…. they do not let you know of the tax.

In Ecuador we always provide this warning so guests know what the entire cost will be.

Secondly, hotels do not seem to have noticed the economic downturn.   Prices seem pretty high $119 for a Holiday Inn express and $129 for a Holiday Inn… plus the unmentioned taxes… for the typical box.This is double what our hotel costs at $59 (plus 22% tax).

Third, comes the free breakfast… overcooked buffets… terrible bakery pastries and everything served on foam plates and cups… with plastic knives and forks… without much (or really any service)… including the “wonderful” Smuckers jam.

I think of our hotel’s great cooked when you arrive, full breakfast… juice….fresh fruit made into an art form… hand made butter and hand made marmalade… plus choice of eggs in numerous ways… bacon or ham.  Though I have to be honest, I do not like the bread our hotel serves… next thing on my list to fix.

This is not a complaint… just a comparison.  Remember we are looking to buy in Florida because we also love it here.

Merri and  are having a great time. We are enjoying Florida’s warmth… seeing a lot of territory… ranging from Naples to Lakeland… Winter Haven… up to Clermont…. Mt Dora…  Tavares… Leesburg… Deland…  St Augustine… Palakta… Zeypher Hills plus some really out of the way (our favorite) places like Ridge Manor…  Crows Bluff…  Lady Lake… Fruitland Park.

This note is written from outside of Gainesville and today we inspect the Suwanee River.

The best place we have seen so far was remote… on the Withlacoochee River. We would have purchased this on the spot… except… it should be renamed…  Withlacoochee  Puddle!   We were very sad to see numerous lakes and rivers that are pretty much gone… during the terrible drought we are seeing here.

Multi Currency Thought

This reminds me of an important multi currency fact. The global economic downturn has driven the price of many shares down.. but has not stopped basic essential needs… like our need for water.

Shares of companies denominated in strong currencies that provide excellent needs can offer special value.

Take the water share we have followed for years… Hyflux.

Hyflux Ltd is company listed on the Singapore Stock Exchange that has a proprietary water filtering system that does business  in China, India, the Middle East and North Africa (MENA) region as well as Singapore and Southeast Asia.

These shares have fallen from a high of $4.88 to $1.72 as you can see in the chart below from uk.finance.yahoo.com

Ecuador comparisons

I’ll be sending a full report on the Hyflux shares to my Multi Currency subscribers shortly. You can enroll and study this report here.

Back to the Ecuador beach hotel for sale.

ecuador-comparisons

The owners is asking $600,000 and claims income of $180,000 a year with a net profit of $50,000.  If these figures are accurate… this is not a bad value spot to start negotiations.  Here is the beach nearby…

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the ocean side pool…

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the area where the hotel is located. ecuador-comparisons

Though this day was grey… there is a reward that comes with the clouds. The moisture creates some spectacular sunsets… like this one shot a bit north of this hotel at Palmazul.

ecuador-comparisons

We viewed this hotel on a recent real estate tour and I am sending a full report to my Ecuador Living subscribers next week.   If you are not a subscriber and would like this report, you can learn how to subscribe to Ecuador Living here.

There are legal, asset protection and tax benefits that an overseas business can bring, but be sure to always have an attorney who is experienced in using overseas structures. The laws are complicated.  For specific information about using overseas structures correctly, you can learn more about Joe Cox here.  Contact  Joe Cox at jcox@coxnici.com

Regards,

Gary

Join us in Ecuador.

Delegates stay on this beach on our Ecuador mid coastal real estate tour.

ecuador-canadian-connection

Join our January Ecuador tours.

Jan.   8-11     Ecuador Export Tour
Jan. 13-14     Imbabura Real Estate Tour
Jan. 15-18     Coastal Real Estate Tour
Jan. 19-20    Quito-Mindo Real Estate Tour
Jan. 21-23    Cuenca Real Estate Tour

See the best Ecuador property for you.  Find the best real estate offers.  Know more of Ecuador. To help you experience a bigger adventure in this wonderful nation, to broaden your horizons, to expand your awareness of all Ecuador offers, we are providing deep discounts in 2010 for those who sign up for multiple tours.

We just added four South coast Ecuador tours that can help you gain extra savings with a multi tour pack.

Two Pack… 2 seminar courses & tours $998 Couple  $1,349 Save $149 on couple

Three Pack… 3 seminar courses & tours   $1399 Couple  $1,899 Save $98 single or $348 on a couple or more

Four Pack… 4 seminar courses & tours   $1,699 Couple $2,299 Save $98 single or $697 on a couple or more

Five Pack… 5 seminar courses & tours  $1,999 Couple $2,699 Save $496 single or $1,046 on a couple or more

Six Pack… 6 seminars courses & tours  $2,199 Couple $3,099 Save $795 single or $1,395 on a couple or more

If you plan to attend six or more seminars or tours in 2010 an International Club membership which allows you and a guest to attend as many of the 56 courses and tours we’ll sponsor and conduct in 2010  (fees would be $40,947 for all these courses individually) for only $2,999.

The International club fee rises to $3,500 this month  so enroll in the International Club now at the original fee of $2,999. Save $501.

International Club 2010

Attend our 56 investment, business, Spanish, real estate and export, courses and tours in 2010 with one small enrollment fee.

International Club 2010 Membership Enroll here

Here are the 56 courses and tours you can attend free. Plus there is even one more savings you will see below.

Jan.   8-11     Ecuador Export Tour
Jan. 13-14     Imbabura Real Estate Tour
Jan. 15-18     Coastal Real Estate Tour
Jan. 19-20    Quito-Mindo Real Estate Tour
Jan. 21-23    Cuenca Real Estate Tour

Join us in February or March.

Feb. 11-14   Quantum Wealth Florida -International Investing & Internet Business, Mt. Dora, Fl.

Feb. 15-16   Travel to and visit Quito
Feb  17         Travel to Manta
Feb. 18-19   Coastal Real Estate Tour
Feb. 20        Travel to Cotacachi
Feb. 21-22   Imbabura Real Estate Tour
Feb. 23-24  Quito-Mindo Real Estate Tour
Feb. 26-27  Cuenca Real Estate Tour

Mar. 11-14     Super Thinking + Spanish Course, Mt. Dora, Fl.
Mar. 15-16    Travel to Quito and Andes
Mar. 17-18     Imbabura Real Estate Tour
Mar. 19-20    Cotacachi Shamanic tour
Mar. 22-23    Coastal Real Estate Tour
Mar. 25-26    Cuenca Real Estate Tour
Mar. 28-29   South Coast Real Estate Tour

Apr. 12-15   Ecuador Export Tour ($499 or couple $749)
Apr. 17-18   Imbabura Real Estate Tour ($499 or couple $749)
Apr. 20-21  Coastal Real Estate Tour ($499 or couple $749)
Apr. 23-24  Quito-Mindo Real Estate Tour ($499 or couple $749)
Apr. 26-27  Cuenca Real Estate Tour ($499 or couple $749)

May  13-14     Ecuador Shamanic Minga  ($499 or couple $749)
May  16-17    Imbabura Real Estate Tour  ($499 or couple $749)
May  19-20    Coastal Real Estate Tour ($499 or couple $749)
May  22-23    Quito-Mindo Real Estate Tour  ($499 or couple $749)
May  25-26    Cuenca Real Estate Tour  ($499 or couple $749)
May  28-29    South Coast real Estate Tour ($499 or couple $749)

June 24         Quantum Wealth North Carolina
June 25-27    International Investing and Business North Carolina  ( $749 or couple $999)
June 28-29   Travel to Ecuador and Andes
June 30-Jy 1 Imbabura Real Estate Tour  ($499 or couple $749)
July 3-4          Coastal Real Estate Tour   ($499 or couple $749)
July 6-7          Quito-Mindo Real Estate Tour    ($499 or couple $749)
July 9-10        Cuenca Real Estate Tour   ($499 or couple $749)

Sept.   3-6      Ecuador Export Tour  ($499 or couple $749)
Sept.   8-9      Imbabura Real Estate Tour  ($499 or couple $749)
Sept. 11-12     Coastal Real Estate Tour   ($499 or couple $749)
Sept. 14-15     Cuenca Real Estate Tour    ($499 or couple $749)
Sept. 17-18     Ecuador Shamanic Minga  ($499 or couple $749)
Sept 20-21      South Coast Real Estate tour ($499 or couple $749)

Oct.    7          Quantum Wealth North Carolina
Oct.   8-10     International Investing & Business North Carolina ($749 or couple $999)
Oct.   11-12    Travel to Quito and Andes
Oct.  13-14     Imbabura Real Estate Tour ($499 or couple $749)
Oct.  16-17     Coastal Real Estate Tour ($499 or couple $749)
Oct.  19-20    Quito-Mindo Real Estate Tour ($499 or couple $749)
Oct. 22-23     Cuenca Real Estate Tour ($499 or couple $749)

Nov.    4-7        Super Thinking + Spanish Course Florida ($749 or couple $999)
Nov.    8-9       Travel to Quito and Andes
Nov. 10-11       Imbabura Real Estate Tour ($499 or couple $749)
Nov. 13-14      Coastal Real Estate Tour ($499 or couple $749)
Nov. 16-17      Quito-Mindo Real Estate  ($499 or couple $749)
Nov. 19-20     Cuenca Real Estate Tour ($499 or couple $749)
Nov  22-23      South Coast Real Estate Tour (($499 or couple $749)

Dec.   3-5       Ecuador Shamanic Mingo  ($499 or couple $749)
Dec.   7-8       Imbabura Real Estate Tour ($499 or couple $749)
Dec.  10-11    Coastal Real Estate Tour ($499 or couple $749)
Dec. 13-14     Quito-Mindo Real Estate Tour ($499 or couple $749)
Dec. 16-17      Cuenca Real Estate Tour ($499 or couple $749)

If you join the International Club, the entrance fee for 2010 is $2,999 (until January 2010).  Your attendance fees at all courses will be waived. You and your guest can attend courses worth $40,947.

You can calculate the savings as our schedule of all 2010 courses is shown below.

Arrival dates are always one or two days earlier. Please double check with us before booking flights.

I invite you to be a member of the International Club which allows you and your guest of your choice to attend all of these courses which are valued at $40,947!

International Club 2010 Membership Enroll here

You may well wonder why I would make such an offer and ask why the cost is so low? Let me answer this question frankly and from the heart.

First, it helps us do a better job for you. We feel greatly enriched when we can really help our clients improve their lives. We have learned through years of experience the best way to do this is to meet with you regularly. We can best help you learn how to improve your health and wealth through continual expansion of knowledge.

Second, we gain enormous fulfillment from the many friendships we form through the years. Our friends have enriched our lives tremendously. Let me explain this in more detail.

As a member, you will be part of our international family that meets intensively over the next year to examine ways we can make our lives better. Our goal is beyond just having money. Our goal is to have quantum wealth… good health… wealth and fulfillment through service.

Though I give all course delegates my very best, I cannot help but to do a better job for those who come again and again. As we meet often; your particular wants, needs and desires become clear, and it is easier for me to point you in the right direction.

Another phenomenon is that repeat delegates help each other! They get to know one another, help each other learn, share their insights, make contacts and gain more wealth.

Out associates in Ecuador, are experienced business people who live or work and conduct our real estate and export courses.  They can also act as your local backup for the business.

Lifestyle for Two. There is more! I have learned at my courses that many repeat delegates were couples.

We want couples! As a member of the program, you are entitled to bring another person to every single course or tour. The cost for that extra person will be ZERO!  You can bring whomever you wish. Bring your spouse, a friend, son or daughter, partner, accountant, adviser. You can bring the same person each time or a different person, whomever you choose to accompany you. (Accommodations and air fares relating to the courses are not included for members, delegates or their guests.)

Won’t you join us in this exciting club and share Merri’s and my lifestyle for the next year? We look forward to seeing you at as many courses as possible and sharing this wonderful world of abundance and well being with you!

Gary

International Club 2010 Membership  Enroll here