What Did Warren Buffett Say He’d Write A $25 Billion Check For?

S&P Futures

3,650.25

-4.00(-0.11%)

 

Dow Futures

29,216.00

-69.00(-0.24%)

 

Nasdaq Futures

11,213.75

-14.50(-0.13%)

 

Russell 2000 Futures

1,679.00

-3.10(-0.18%)

 

Crude Oil

81.11

-0.12(-0.15%)

 

Gold

1,670.80

+2.20(+0.13%)

 

Silver

18.83

+0.12(+0.66%)

 

EUR/USD

0.9804

-0.0015(-0.16%)

 

10-Yr Bond

3.7470

+0.0420(+1.13%)

 

Vix

31.84

+1.66(+5.50%)

 

GBP/USD

1.1093

-0.0031(-0.28%)

 

USD/JPY

144.7430

+0.3000(+0.21%)

 

BTC-USD

19,362.90

-125.41(-0.64%)

 

CMC Crypto 200

442.63

-3.35(-0.75%)

 

FTSE 100

6,881.59

-123.80(-1.77%)

 

Nikkei 225

25,962.69

-459.36(-1.74%)

 

Berkshire Hathaway CEO Warren Buffett is well known for his frugality.

The extent of his frugal quirks are well-documented. You may already know that he never spends more than $3.17 on breakfast or that he lives in the same house he bought in 1958 for about $31,000. You may even know from his documentary “Becoming Buffett” that his No. 1 is: Never lose money.

What you may have missed though, was the Oracle of Omaha’s fancy for farmland. It must be heavy on his mind lately, as he alluded to it as an investment he would gladly make over Bitcoin.

At a Berkshire Hathaway shareholders meeting in April, Buffett stated his distaste for the cryptocurrency with the position “it doesn’t produce anything tangible.” He reiterated his stance and the rationale several times. He doubled down by saying, “Whether it goes up or down in the next year, or five or 10 years, I don’t know. But the one thing I’m pretty sure of is that it doesn’t produce anything.”

The operative word here is “produce.” Buffett’s buddy Bill Gates isn’t just rich because of his co-founding of Microsoft Corop. It’s largely because of smart investing. One of Gates’s biggest bets lately has been farmland. The public has started to take note of the billionaire’s emerging farmland monopoly, and other celebrities like Russell Brand have provided their 2 cents on the matter. It’s worrisome that Gates owns more land than McDonald’s, but as for investing, his habits are one to copy.

Buffett agrees. At that same shareholders’ meeting alluded to previously, the example Buffett gave as the anti-Bitcoin was farmland.

“If you said … for a 1% interest in all the farmland in the United States, pay our group $25 billion, I’ll write you a check this afternoon,” Buffett said during the meeting. ”[For] $25 billion I now own 1% of the farmland. [If] you offer me 1% of all the apartment houses in the country and you want another $25 billion, I’ll write you a check, it’s very simple.

“Now if you told me you own all of the Bitcoin in the world and you offered it to me for $25 I wouldn’t take it because what would I do with it? I’d have to sell it back to you one way or another. It isn’t going to do anything. The apartments are going to produce rent and the farms are going to produce food.”

So there you have it, Buffet, the fifth-richest man in the world according to Forbes, says to invest in farmland and housing. Here are some of the best ways to do it, without $1 billion.

Real Estate:

Billionaire Grant Cardone said the Federal Reserve has essentially turned us into a “nation of renters” and ended most people’s chances of owning a home. That’s bad news if you’re looking to buy a house for yourself but great news if you’re looking for property as an investment. If you are able to purchase a property outright and on your own, that may be the best option. However, even if you can afford to, you’d be locking yourself in to a specific property.

With fractional real estate investing, you can invest the same amount of money but spread it across several different properties and locations throughout the U.S. Some investment platforms allow you to buy shares of rental properties with a $100 minimum investment, while others let you buy into multi-million-dollar portfolios with as little as $10.

Farmland:

Gates’s fancy for farmland has been well-documented recently. But it’s not just Gates or Buffett — even Goldman Sachs sees an opportunity with farmland.

There are several popular ways to do your best Gates impression, if you don’t want to do this…

… you can use crowdfunding platforms to get the best bang for your buck and rely on experts to help you invest in the most profitable farmland available.

One of the most popular farmland investment platforms has new offerings available almost every week, where accredited investors can buy equity shares of high-quality agricultural land.

See more from Benzinga

‘The Fed Trying To Control Inflation Actually Created More Damage’: Grant Cardone Says The Fed Ended Most People’s Chance Of Owning A Home

Midwest The New Silicon Valley? Udder-ly Ridiculous Returns In The Corn Industry Leave Investors Drooling

Don’t miss real-time alerts on your stocks – join Benzinga Pro for free! Try the tool that will help you invest smarter, faster, and better.

© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

Advertisement

Benzinga

With Rising Interest Rates, Here Is How Billionaires Like Bezos Are Still Investing In Real Estate, And You Can Too

Real estate investors saw a surge of opportunity between 2020 and 2021 with record low interest rates, allowing for more aggressive buying opportunities and a competitive market. With the Fed and Jerome Powell taking interest rates to an unfavorable level and home prices still largely elevated, real estate investing just became much harder. Current mortgage rates are above 7% making the traditional approach to single-family home investing feel out of reach. A $400,000 home with a 2.5% interest r

Investopedia

How to Calculate Your Tangible Net Worth

Your tangible net worth is the sum of all your assets you can physically touch, minus your liabilities. Here’s how to calculate it.

Bloomberg

Amazon Raises Hourly Wages at Cost of Almost $1 Billion a Year

(Bloomberg) — Amazon.com Inc. announced a pay increase for hourly workers in the US that it says will take average starting wage for most front-line employees in warehousing and transportation to more than $19 an hour.Most Read from BloombergMacKenzie Scott Files for Divorce From Science Teacher HusbandMeta to Cut Headcount for First Time, Slash Budgets Across TeamsStocks Plummet to 22-Month Low as Fed Hawks Circle: Markets WrapTop Apple Executive Is Leaving After Making Crude Remarks in TikTok

American City Business Journals

Former Washington Commanders exec to join Kevin Plank’s Sagamore Ventures

A former executive with the Washington Commanders will soon join Under Armour founder Kevin Plank’s Sagamore Ventures firm to help oversee the large-scale development of Port Covington and other Baltimore-centric projects. Greg Resh, who stepped down last week after serving as the Commanders’ chief operating officer since 2020, will join Plank’s investment firm as the Port Covington development project gains more steam. CFG Bank is in negotiations to move its offices to the South Baltimore development and a city design firm signed the first office lease at Port Covington last week.

Motley Fool

Why Skyworks Solutions Stock Tumbled on Thursday

The specialty tech company’s share price suffered a nearly 4% decline, nearly double the 2.1% drop of the S&P 500 index on the day. It’s only a slight exaggeration to say that when tech titan Apple (NASDAQ: AAPL) sneezes, Skyworks catches a cold. Apple is a major customer for Skyworks’ radiofrequency (RF) solutions, which it packs into its ever-popular line of mobile devices.

Bloomberg

Pension Rebalancing Threatens to Spur $26 Billion Equity Selloff

(Bloomberg) — US stock investors looking for anything that could halt the rout might not be able to count on a source of support that’s buoyed markets in the past: portfolio rebalancing. Every quarter- and month-end, pension funds and other institutional investors check their market exposures to make sure they meet strict allocation limits between equities and bonds, as well as between domestic and international stocks. Even amid a global rout, US equities still outperformed many other asset cl

SmartAsset

This Is The Average Cost of US Medicare Supplemental Insurance

When you reach retirement age, Medicare insurance offers basic medical insurance protection for your health needs. However, this coverage is basic and does not cover all of the costs for covered medical services and supplies. Medicare supplemental insurance policies are … Continue reading → The post Average Cost of Medicare Supplemental Insurance appeared first on SmartAsset Blog.

Leave A Reply

Your email address will not be published.