do you think Howard paid cash for his three homes?

Discussion in 'The Howard Stern Show' started by chapped, Mar 25, 2014.

  1. chapped

    chapped Well-Known Member

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    I know some famous people go through a bank to buy their mansions...do you think that is the case with Howard?
     
  2. chuk

    chuk Well-Known Member

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    Cash for sure.
     
  3. chapped

    chapped Well-Known Member

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    I thought that too but then I remembered Evander the boxer getting his giant mansion foreclosed and he had 100s of millions at one point
     
  4. BethSucks

    BethSucks Well-Known Member Staff Member

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    The Manhattan place and Auschwitz by the Sea are both independent LLC's, I'd assume the Winter Pet Shelter is the same. I'd guess he paid cash to set the places up and they are run in such a manner as to reduce his tax exposure.
     
  5. chapped

    chapped Well-Known Member

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    LLC for sure. .... I bet he pays himself $100 a year
     
  6. chuk

    chuk Well-Known Member

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    Black vs jew
     
  7. Nemo

    Nemo Beer Can Thick Gold

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    Robin I love my Jim Kaat underwear and Manny Mota socks.
     
  8. newcastlefan

    newcastlefan גֵּרְשֹׁם VIP

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    I kinda doubt he or anyone pays for a mansion in cash, regardless of what they may claim.

    Anyone who claims differently has never dealt with the NYS Dept of Taxation
     
  9. chapped

    chapped Well-Known Member

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    What is the difference tax wise?
     
  10. j shmuck

    j shmuck Well-Known Member

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    If you have the financial means to do show, it is always smartest to paydown your homes as soon as possible.

    While I doubt Howard physically handed over a bag of money, I'm sure he outright purchased the house. One thing you can say about Stern, he can manage his money well (other than the piles of cash he uses to keep Beth on TV, but to him that's a worthwhile investment to keep his wife from divorcing him)
     
  11. Uncle Larry

    Uncle Larry Well-Known Member VIP

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    I think he paid cash - he's certainly got enough dough to cover the cost, unlike some athletes and other celebs who get in over their heads.

    If he/his LLC borrowed $ to buy the place, the lender would have recorded its secured interest in the property with the local agency and one of the online rags would have found it.
     
  12. Vashier

    Vashier VIP Extreme Gold

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    ok tax law question...

    Can you buy a place for cash under an llc, then have the llc mortgage the place to you so you get the interest deduction while paying yourself back the interest and principal?
     
  13. Bungzilla

    Bungzilla Active Member

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    if thats the case im forming an llc
     
  14. Lester

    Lester Well-Known Member

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    Whatever gave Howard the best tax advantage is what he did.
     
  15. Rob0729

    Rob0729 Well-Known Member

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    If he has a good financial advisor, he didn't. With the money he has, he can make far more money letting that money work for him either on the market or putting into bank products with interest rates that only the rich get for putting in tens of millions. I am sure he can also negotiate mortgage rates lower than any of us can get. Plus mortgage interest is deductible. The interest earned and capital gains he gets would more than offset the mortgage interest.

    I guess I could be wrong, but financially it is better for him to mortgage his properties and invest the money he would have spent buying them outright.
     
  16. Nemo

    Nemo Beer Can Thick Gold

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    THIS

    Howard is a genius.
    No one in the history of entertainment has been able to hoard most of the marble pie and still beg for free shit.
    I do enjoy when crazy quivers tries to engage Howard in conversation about the peasants and their money problems...:jj:
     
  17. baby booie

    baby booie Active Member

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    maybe funds transferred between banks or a whopping check but surely not a briefcase of cash
     
  18. HowieStearn

    HowieStearn HateClub

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    mortgages are for poor people
     
  19. Droog

    Droog Well-Known Member VIP

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    Mortgage interest deduction is limited to mortgages of $1M or less.

    Besides that, who cares if mortgage interest is deductible? If you have the option to have your house paid for or to pay interest that you can deduct from your taxes, which do you take? Since getting $0.26 back of every $1 of mortgage interest I pay isn't a very good investment, I'll take owning my property free and clear. But that may not be what's best for Howard. I'm sure that most people in Howard's stratosphere have LLCs that buy all of their shit. The only reason I could see for this is because they can use the LLC's credit to buy things. If something happens and financial disaster ensues, they're protected. Their LLC simply files bankruptcy and defaults. But then again, who would loan $50M for a home to be purchased by what basically amounts to a front? All I know is that the wealthy play by different rules.
     
  20. Spazzmatazz

    Spazzmatazz Band Member Banned User

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    I'm wondering about Vashier's post. (#12) :bigthink