Category: Money

Leica by Joe WilcoxSep 24, 20179:23 am

Home Buying Lessons from the Schoolhouse

Aug. 18, 2017. I travel back to San Diego after visiting my niece in Long Beach. Meanwhile, two blocks from our apartment, my wife attends an Open House for a cute, Spanish-style property listed for $586,000. Anne tells the seller’s real estate agent that we can’t afford to buy the place—an effective diversionary tactic. But the 900-square-footer is within our means, and we will nearly come to own it.

This is my story of wanting and walking away. I take with me disheartening lessons about the home real estate market.

Living by Joe WilcoxAug 26, 20171:29 pm

The House on Monroe

Feeling a little glum about mum—she was laid to rest back home in Maine yesterday morning—I took a long, late-afternoon walk through the neighborhood. As I approached Mississippi along Monroe Ave., a cute craftsman with “coming soon” for sale sign piqued my interest. I would later discover that the property listed the same day (Aug. 25, 2017). Striking: The unbelievably low price for University Heights: $525,000.

I have not seen such interest in a home! Jumping ahead in time, briefly, I later took my wife to look at the Monroe house. Cars and SUVs of various types pulled over in and around as we approached; I am amazed there wasn’t a vehicular or pedestrian collision. A small mob had formed before the informational brochure holder. One man walked in circles, flip phone to ear, one hand waving, and frantic—no panicked—expression filling his face. Dare I say foaming at the mouth, as he desperately tried to contact the listing agent? If you need a metaphor, think Black Friday outside Wal-Mart. Even this morning, when I shot the Featured Image and its companions, using Leica Q, this little ramshackle rustled as much attention.

Mobility by Joe WilcoxAug 23, 20172:20 pm

Seriously, Verizon?

I should have known better. Once burned is supposed to be twice as wary. Right? Disgruntled by pricing and other policies, in autumn 2015, I took my family from Verizon Wireless to T-Mobile, which cut our monthly bill by more than one-third. But in May of this year we made the trek back in part because data speed is so much faster from my apartment than it is with Magenta. Better Red than dead, eh? Wrong. Oh, dumbass me. Un-carrier’s aggressive pricing, and Verizon’s first-ever quarterly loss of post-paid subscribers, compelled the nation’s largest carrier to respond—by, starting in February, to offer comparable unlimited plan that for my family of five lines would cost just $20 more a month while delivering superior, speedy service. But what Red gave, it now takes away. I regret the decision.

Today’s unlimited cellular service plan changes suck some of the most important value from all that extra bandwidth. What good is having something you can’t use? Henceforth, Verizon will offer two consumer options—one (Go Unlimited) that throttles streaming video to 480p on smartphones and costlier option Beyond Unlimited that reduces quality to 720p. Go is essentially priced the same as the older unlimited plan, and it takes away even more: Tethering (e.g. Mobile Hotspot) is capped at 600kbps. There’s no 4G LTE for you, baby!

Living by Joe WilcoxJul 18, 201712:27 pm

Don’t Believe Housing Market Lies

I once again see disturbing trends rearing their ugly heads in the U.S. housing market. Twelve years ago, I warned about the housing bubble long before it burst—then living in the Washington, D.C.-metro area. Now my vantage point is San Diego, where home prices soar and sales (finally) start to stagnate.

Justification, set against measurable trends, often is a fantastic measure that something is amiss.

Metaphor: In film “The Big Short“, set during last decade, a Florida real estate agent drives around a group of Wall Street investors trying to discern whether or not there is a housing bubble. As they pass property after property for sale, she explains: “The market is in an itsy-bitsy little gully right now”. Eh, yeah. That gully later became a giant sinkhole. This morning, I received a newsletter from a local realtor that claims: “Pending home sales were sluggish in April as low supply reared its head”. Crazy thing, I see plenty of inventory for sale—and for increasingly longer times today than four or five months ago. The newsletter’s assertion rings like a justification worth concern.

Living by Joe WilcoxJul 10, 20172:34 pm

A Hillcrest Homeless Story

This afternoon, I’m walking down University Ave. in San Diego’s Hillcrest district, not far from Bank of America. Before me, a clearly homeless guy carries a white trash bag full of aluminum cans, which are […]

Money by Joe WilcoxJun 17, 20174:56 pm

Amazon Across America

My first reaction to Amazon buying Whole Foods is “Huh?” Few brands could be any more different. The online retailer is all about giving customers the most for the least amount spent, while the grocer is the pricey purview of the alt-organic lifestyle elite. No moment is better metaphor for Whole Foods’ clientele than the exchange I heard between a thirtysomething couple standing at the deli holding chicken luncheon meat. “Is it free range?” the women asked her husband. It had to be, or she wouldn’t buy. They argued. I silently chuckled: luncheon meat—not a bird! It’s all pressed meat, Honey. You do know that?

But from another perspective, and one transcending retail store presence, are other considerations, like brand affinity and buyer demographics. For the first, Amazon may be all about value, but in an increasingly middle-class and well-to-do demographic kind of way, particularly among city dwellers. Despite sharing similar cut-throat margin, expansive business philosophies with Walmart, Amazon doesn’t carry the same stigma among the socially conscious “better-thans”. For the second, who do you think plunks down 99 bucks a year for Prime membership or can’t wait for two-day free delivery or is too busy to go to the store to buy groceries? Without hard numbers to back the supposition, I’d bet there is lots of existing and potential regular shopper overlap among these customers and those who walk Whole Foods’ aisles.

Society by Joe WilcoxApr 16, 20179:50 pm

Fly the Unfriendly Skies

Spanning most of my career, whether working as analyst or journalist, I have repeatedly railed against how U.S. law treats businesses—essentially as people. Reason: Moral dichotomy, where the ethical priorities of publicly-traded companies vastly differ from—and often contradict with—values of the people founding, running, or working for them. Keyword is value, where one usage refers to beliefs and another to money; meaning stock price and proceeds returned to shareholders.

My first, best articulation of this concept came during an April 2006 radio interview—I believe for NPR marketplace—when discussing major U.S. search providers Google, Microsoft, and Yahoo censoring results in China, at the government’s insistence. Behind the action there loomed censorship’s morality, such as restricting search terms like “democracy”. I expressed that there is no moral high ground in business. The high ground is quagmire, because all public companies share a single, moral objective: Make profits for stockholders. Plain, pure, and simple. Sadly, that moral agenda explains why United Airline’s PR week from Hell is Heaven for shareholders. Overbooking means the carrier fills seats; operations are lean and mean (quite literally, the latter).

Photo by Joe WilcoxMar 18, 20178:00 pm

Kuma’s House For Sale

Out the alley behind our apartment building and across Monroe is what the Wilcox clan calls “Kuma’s house”. When our Maine Coon was still with us, and the 1,300-square-foot Craftsman, built in 1917, was a foreclosure, he […]

Photo by Joe WilcoxMar 18, 20171:25 pm

Sign of the Times

Two weeks ago, while walking around Hillcrest, my wife and I briefly stopped by the local, massive, used bookstore. To my surprise, the place was three-quarters emptied and going out of business. Yikes! I hadn’t shopped there for nearly a year, when purchasing a paperback for myself later given to my father-in-law. While 5th Avenue Books is gone, online counterpart Schrader’s Books will continue selling used titles through Amazon. As someone who almost exclusively reads ebooks, I occasionally—but, honestly, rarely—shopped out-of-prints not available in digital format, almost always finding the sought-after read.

That last purchase: The Past Through Tomorrow by Robert A. Heinlein, an old-time favorite selling for three bucks. When I first bought the anthology in high school, it came as a set with two other titles: Stranger in a Strange Land and Time Enough for Love. During the last year of my father-in-law’s life, reading became his main recreation. I donated the Heinlein title to that cause. Following the 95 year-old’s death nine weeks ago, I reclaimed the book to read and as remembrance.

Photo by Joe WilcoxMar 5, 20179:10 pm

Lemonade Stand

The Fujifilm X100F is now my nearly-always outdoor companion—a role iPhone 7 Plus had filled. The camera is compact and light and comfortably slings over the shoulder attached to the ONA Lima strap. Earlier today, my wife and I walked down Maryland Ave. toward The Hub plaza in Hillcrest. Along the way, we passed a lemonade stand, with some kids fundraising for the local elementary school, Alice Birney. They had already raised $60 when I snapped the pic, at 1:15 p.m. PST. Somebody paid more than the requested 25 cents a cup. Hehe.

The Featured Image is a crop of the original, which is visible below the fold. Both versions are unaltered, except for horizontal cropping to the first and straightening of both. The visual cue is different in each, though. The first is aligned vertically with the lemonade stand and the original against the house in the background.

Photo by Joe WilcoxMar 2, 20178:01 pm

How Did It Come to This?

Surely somewhere in the collapse of retailer American Apparel there is a metaphor appropriate for the policy platform put forth by Donald Trump. The President talks about bringing jobs back to the United States and renegotiating the North American Free Trade Agreement. Ironically, with AA, we see the demise of an iconic, hip “Made in the USA” brand, with its remaining assets being sold to Canadian-based Gildan. What’s up with that? Eh?

The Featured Image, and the pic following below the fold, tells a different story: Recent remembrance of another American Apparel, which allure popped pop culture’s cherry, for coolness and sex-appeal. On May 8, 2010, the retailer’s San Diego store held a rummage sale that drew long lines that wrapped around the block such that the end overlapped the beginning. I captured the moment with the Sigma DP2s. What a change in 7 years—and not just for the one clothier. Last year, local company Sports Chalet went out of business, around the same time as national chain Sports Authority. The Limited is shuttering all its stores, and Macy’s nearly 70. Should we blame China or, hehe, Amazon?

Apple by Joe WilcoxFeb 1, 20177:00 pm

Apple Fiscal Q1 2017

The measure of Apple fiscal first quarter 2017 isn’t record revenues ($78.35 billion) but comparison to major competitors: More than three times Google ($26.06 billion) or Microsoft ($24.1 billion). Amazon announces tomorrow, Groundhog Day. Will the retailer’s CEO, Jeff Bezos, see his shadow? The 3x multiplier nearly applies to net income: $17.89 billion, versus $6.64 billion and $5.2 billion, respectively, for the two rivals. Looked at differently, compared to Apple’s same quarter in fiscal 2010, seven years later, profits exceed total revenues ($15.68 billion). That’s an astounding comparison.

The results defy pundits’ prognostications, including my own, about gravity pulling the company back to Earth. iPhone, as major source of revenue, can only stay up for so long, before slowing smartphone sales wreck havoc. That said, credit where it’s due: CEO Tim Cook is, as I’ve asserted before, a logistics and manufacturing genius. He is a strategist, but not an innovation leader like predecessor Steve Jobs. Cook masterfully manages his inheritance, but he, nor Apple observers, should get lost in the quarter’s glow: iPhone remains boon and bane.