Goldmine Score Card Clarifications

[YLCorporation]

I am studying the Goldmine Score card and i cannot find the information in the book, can someone tell me what "single industry" vs "diverse" economy and provide specific example of each. It would be greatly appreciated as this is the first time i am using this card.

Thanks

 

[JohnS]

QUOTE (YLCorporation @ May 6 2008, 07:30 PM) I am studying the Goldmine Score card and i cannot find the information in the book, can someone tell me what "single industry" vs "diverse" economy and provide specific example of each. It would be greatly appreciated as this is the first time i am using this card.

Thanks


A single industry town would be one of the towns in BC, say, where there is the logging industry and that`s it. When the logging industry nosedives (as it`s predicted to do in a few years, what with the pine beetle killing all the trees), the whole local economy will go with it, so nobody will have any money to buy a house.

A diverse economy would be pretty much any city on REIN`s Top Ten Towns lists. They don`t depend on any one sector, but have lots of different ones holding up the economy, so even if one fails, the rest do ok. An example could be Ottawa. Along with the government, we have a fairly good high tech field, and tourism, to name a couple.

Have a good one!

JohnS

 

[YLCorporation]

QUOTE (JohnS @ May 6 2008, 05:37 PM) A single industry town would be one of the towns in BC, say, where there is the logging industry and that`s it. When the logging industry nosedives (as it`s predicted to do in a few years, what with the pine beetle killing all the trees), the whole local economy will go with it, so nobody will have any money to buy a house.

A diverse economy would be pretty much any city on REIN`s Top Ten Towns lists. They don`t depend on any one sector, but have lots of different ones holding up the economy, so even if one fails, the rest do ok. An example could be Ottawa. Along with the government, we have a fairly good high tech field, and tourism, to name a couple.

Have a good one!

JohnS

Thanks a bunch JohnS. I appreciate your generous help. It sounds to me you`re a veteran.

 

[SomchayYau]

In the Goldmine Score Card given out at the June 2008 Quickstart workshop in Calgary it asks: "is the area attractive to baby boomers"

Does anyone know why baby boomers would be an attractive group for real estate values an the area? I thought a younger work force would be a group desired because of the income they are making.

 

[JunZhang]

It has been discussed before, here is the link to the thread.



http://myreinspace.com/public_forums/General_Discussion/61-5063-Baby_boomers_retiring.html



Though I'm not quite clear myself, my understanding is retirees are on fixed income, but large percentage of boomers are sitting on a large pile of cash, when they flock to a region, they should drive up the property values, here comes your exit stategy. They also represent the in-migration trend in some way.



Just my two cents.

 

[Nir]

Retired people are considered the BEST tenants by many investors. I think because despite their age, they are actually the longest term tenants who are good tenants paying their rent..