>> ali are saying is that we can't use it as a pickup line anymore. >> want to i want to thank all of you, have a great weekend. gerri: hello, everyone, i am gerri willis. tonight on "the willis report." business and real estate. we have the best places to buy in the best places to make money. also, a new warning about the market. investors borrowing more agait their stock portfolio. in a florida teacher is fired for revealing a little too much. is it legal? we are on the case on "the willis report" ♪ ♪ ♪ speak to our top story tonight is the business of real estate. whether you're buying or selling

or even just staying put. we have the best advice around. conditions for buying and selling are better now than in years. in some cases like arming rates, things have never been better when it comes to mortgage rates. we'll show you how to profit from it. with me now is one alexander. monte moore, president of the more group and nashville and josh altman in los angeles. josh, starting with you, we have a red-hot market in some areas? the latest numbers show prices up 9.3% in the biggest cities. how long can this continue? >> well, hopefully very long. i have to tell you that the market is on fire. the hind market, breaking records right and left. you have affordable housing in places like silverlake and clover -- culver city and los angeles. but can you close fast enough and are you rey to compete.

nicole: monty, is it like that in nashville. what is going on in tennessee? >> it's a great market. those kind of numbers and that connectivity, the last 22 months in a row we have seen continued steady growth and we are 27% higher this month than this time last year. nicole: gerri: this is like a red-hot candle. the most expensive house was sold in miami in the entire history. some $47 million for one house. how is miami doing? florida was a ass. is it coming back? there's the house he sold. >> there it is. the miami market is on fire. we are talking about miami real estate. we have all of the whole world's wealth out here trying to buy these hanzel properties. we have broken this year alone

the highest price for a condominium in florida history for $34 million. the highest recorded sale price per foot on condominiums as well as single-family homes. gerri: ice on your notes, all of these different projects in miami. we should say 20 or 30 condo projects under construction right now. it is amazing. >> over 120 projects going on in the area as we speak. gerri: okay, over to you, how to do i buy a? tell me about strategy. people know the market is on fire but they don't know how to play it. >> told you ts last time i was on the air, the key is a good broker, a strong broker that has extensive knowledge on inventory and is able to market quickly. que frankly, if you're not ready to go, the deal is goingt. gerri: it occurs to me that people are having to face a lot of buyers have 100% of the money that they need to buy a house. we have read stories and you can

tell me this if thiss true that some realtors hold back the best properties for the all cash offers. is that true? >> timothy is a lot nicer to deal with. we don't have that kind of stuff to deal with. gerri: my mother lived in knoxville for a long time. >> do see people holdg their properties for all cash offers? >> typically in today's environment, yes, most of the buyers are cash buyers. what you need to understand is that miami was one of the hardest hit markets during the recession. since then, we have own tremendously. one of the hottest destinations in the world, wha you're seeing the buyers that ha been on the sidelines for the past four years are all running to purchase property and paying pay cash. so it's not really a boom that's going on. gerri: i can think of another red-hot market.

and that is in los angeles. is it possible that there is a bubble building and some of these markets right now are prices are maybe a little too high and it is because inventories are so tight? >> i don't really think so. there's been a lot of people sitting on the sidelines for the last four years. they are rea to borrow buy a house. i'm buying houses now, with a lack of inventory, the cheap money, it's a great time to buy. the difference is that people can afford it now as opposed to what it was five years ago. gerri: i'm going to tell your story he as well. you sold the most expensive house in caliornia. 20 million f one-bedroom hous that'sreat stuff. over to you, monty, you are in a normal market like a lot of our viewers are in. what kinds of things should people be remembering right now? let's talabout the flip side of the equation, people who really want to sell right now.

>> it's beming more of a sellers market. i don't know i if these guys can comprehend or even imgine. my medium price is $185,000. if you think about this, those are awesome numbers that we are talking about. did anybody in the country can afford to li in nashville and from the absolute best places to live. nico: i think you guys all have great markets. warren, over to you. a lot of people are used using equity in their own homes to grow the real estate portfolio, can he do that now? are the ban at all working with people to help them buy real estate? >> they say that they are. it's pretty tough in today's climate. but if you can if it's within your means, go for it. gerri: or the banks working with people? >> yes, they are. you don't need to overleveraged yourself. that's what happened last time. be h where you are, get a

great house for geochemistry there for the next five years. that's going to be the best option. no need to overleveraged and by this and that. you can always leaves out are property of force comes to worse, especially when payments are low if you walk and now. gerri: we have about 5 million houses for the year, which is back to a more normal time and real estate market. you thinwe will continue to have cycles? are we going to even out and have a steady marketplace? >> i think the winners have made it difficult enough that we're goingto see a steady increase. i don't thk we're in a bubble whatsoever. i think we will continually see this growth, people are tired of sitting back and waiting and wondering what the economy is going to do. now we are seeing the action take lace in middle tennessee. on a consistent gradual basis and a healthy trend. gerri: 3.4% of the country, it is time to go by. i want to see the reels they do

well. thank you for coming on. great job to all three of you. an all-star panel tonight. thank you so much. gerri: we want to know what you think. here's our question tonight. is your home worth more now than before the meltdown? wauconda gerriwillis.com, but on the right-hand side of the screen i will share the results of the at the end of the show. we have more coming up. how splitting his back. how'd he do that? and before you stick up for sale sign outsi your house, we have the best renovation for inside your house to a value.

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gerri: welcome back to the daylong coverage to the business of real estate. a quick code of paint or gutting your entire kitchen, it can remodel your home's value. with more on this we have kiersten bakker. welcome back to the show, it's always good to you and. >> always good to be here. gerri: you kno from variants what are of the best interior renovations to do on your home? >> well, the best is wht is going to be the thing that gives the best first impression. we know that it kitchen and bath, but you have to hope buyers from the get-go. it's an emotional thing that you are looking for. so as always, very important. >> here'an interesting fact. homeowners spendingbut more on

renovations in the year before. they're going to spend even more. does that ke it more difficult to get de or eaier? >> ihink that theood contractors are available and working with good homeowners. it's a really good time to get that done. 53% of homeowners really think that that is going to happen. but you have to pick the right people, you have to make the right choices. so invest in the right place in your hou. >> i completely agree. we are doing it ourselves. my favorite room in the house, let's face it, this is critical to buyers. they want to do the right thing. is it still all about granite countertops and they build bridges? >> i think it has a lot to do with top-notch energy efficient appliances. i'm not soure that it's about granite. i think we are seeing alternative choices, green choices, organic choices, things

that are going to function and hold up over time comes they that is going to be timeless is a really great way to go these days. and then the functionality of it, w many people can you fit in our? it's been ch a gathering place. so do have a place for people to set and enoy while you ae preparing dinner and what are the cabinets during? that is an expensive part of the kitchen. if they are closing and jamming your figures come it may be time to replace the cabinets. gerri: you said work triangle. tell us about that. >> working triangle between the oven refrigerator in the thing, how you navigate back, if you're having to go all the way across the kitchen, even if it is the wrong direction on the bridge, the swing on the fridge door, it really impoant to make sure that you are checking how this is working.

one of the things you said, when we started here, is that it's all about the first impressision. what about the ntryway. >> buyers make up their mind about a house from the moment that they pull up to the driveway if they really like it. just based on how the front door fits, what the landscaping is light, if it's been well maintained. even if you haven't maintained your house. start doing it before you put it on the market and make sure that it's clutter free. so you wa to make sure the get rid of all those things. >> okay. allowing the buyer to see themselves walking through the front door in their company walking through the frt door. >> i have heard some realtors saythat.

yo know, it brings you into that house. one of the things that i want you to addressbecause i think this is really important, some people make improvements and spend a lot of money on things and getting absolutely no bang for their buck. what are the improvements that will return the money when you sell that house when. >> there is no question that updating your kitcheand bath are really safe that in terms of a good return for your money. good landscaping is a good return for your money. the easy things that are tangible that some homeowners can do themselves, which is painting, that will be a great return on your money. as soon as you're out of your comfort zone, unprofessional work quality that doesn't like it was done well, that is actually going to deade the value of your house. so soon as you're out of your comfort zone, it's time to bring in a prfessional and pay them to get it done. gerri: okay,, so, so i have the triangle and are neutralized and a making sure that everything is upgraded to the best ability that i have possible. kiersten, thank you for coming

on. it was great to use. >> always good. i love real estte. gerri: i did too. we are on the same page. >> later in the show, a warning for investors. the levels of margin debt reaching new highs. next, we answer the question how do you do that. we have some us your tips on getting the most bang for your buck when flipping a house. from peter pasternack there he is right there. don't go away. alec, for this mission i upgraded your smart phone.

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gerri: buying your home, selling it for rofit. the worst crisis in 80 years. flipping a home could boost your bottom line big-time. how do you do that? joining me now is peter pasternack, host of the show flip this house. before we get to the housing, can you tell me that the safe thing to do right now? because this could be a bubble economy and housing. >> well, thank you for having me

on the show. you know, the thing about this is that so many people see thingsn tv like our show, and they think it's easy. they see 45 minutes and then loing house i a 12 week process. if you realize the difficulty and the challenge is to know what you're doing, yes, you can make money. but it is not for the light of heart and people who don't know what they are doing. gerri: were the biggest mistakes people make when they try this for the first time. >> i think t first mistake they make is that they forget this is a business. and just like any business, if you don't make money, you're going to be out of business. so one of thedifficulties most people ha when they flip homes as they think it is their own personal resident with a two try to flip. there might be 10 thngs you need to put in a house. but when you are flipping, you

may only put five things. you have to make sure your house is competitive so that when people look at your house versus someone else's money will stand out. but you don't want to put too much in there. everything else are you putting comes out of the bottom line. gerri: real estate is local. it makes sense to think about the area you are doing the same. are their cities and towns d metropolitan areas that are best for flipping a map. >> well, let me say this. many are transitional neighborhoods. you want the biggest between your renovated an older home. those are found in your transitional neighborhood. so regardless ofhat city you are in, those are where you want to start and those are the top ideas. gerri: what you mean by transitional? >> those are some areas there has been work done we have ea

atlanta, we have grant park. gerri: i'm not entirely confident how many times flippers are successful? >> i would saynominee. just like any business, it's important to make sure that you are teaming up with people who have maybe done it before, and getting good advice, building a strong team, which includes your realtor, your contractor, and absolutely your lender. gerri: it takes a village. thank you for coming on the show. it was a pleasure speaking to.

gerri: all right so what are the best places to do this? the answer is tonight's top five. the first one is omaha nebrasa is number five. clippers made more tha $7,100,000 in profits in 2011 the volume more than doubled. we do not come in number four is washington dc. demand for houses is rising in the nations capital, leading to nearly 2000 homes slipped. number three is oxnard, california. one in every 52 homes is in foreclosure there and that makes them ripe for flipping. number two is arizona. gross profits for house flippers in this area top $87,000. the number one city to put the house in is new york city. really? house flippers are making profits of more than $118,000. coming up, would you want your child taught in school by a

bikini model? it must be friday. we are showing women in bikinis. and more investors are borrowing against their portfolios to buy more stuff. what should you do that? looking out for you and your money coming up next you rt my feelings, todd. i did? when visa signature asked everybody what upgraded experiences really mattered... you suggested luxury car service instd of "strength training with patrick willis." come on todd! flap them chicken wings. [ grunts ] well, i travel a lot and umm... [ male announcer ] at visa signature, every upgradedxperience comes from listening o our cardholders. visa signature. your idea of wh a card should be.

>> this is "the willis report" with gerri willis. >> with stocks hitting new highs, the headlines on wall stre hasn't been this good in years. bend the headlines, there is a troubling new development. take a look at this one from "the wall street journal" this morning. they are borrowing against their

portfolios as he market goes up, investors are leveraging up with it. borrowing against t kings in their portfolio this newfound love of leverage comes with investors to help us break it down your here is the president of amg capital. hillary me welcome back. >> i find this kind of troubling. call me craz but is this a sign of a great bull market or we are coming to the end and it's all going to blow up women. >> it can be a fine. it means that at some point, it is long-term in equities and across the bow of the board.

they are borrowing against the money that they have in their stockaccounts. gerri: does this tell you they can't get money from lenders are banks? >> i read about a person who did renovation on his house. >>irst of all, it's anywhere from 1% to 3.5%, maybe 4% to borrow part of your portfolio. you have a dollar, but you borrow $2 instant. i know people that don't want to sell the underlying stk because they ain't that they are stalking the gap.

we want to ta aut how this can rebound against you. >> okay, when u think about spiral downwards. let say something happens, it's a very tenuous situation, and our currency, the u.s. currency keeps getting put up against the japanese yen. all of a sudden the market starts to go down and it's going to suddenly say to the individual investor, we are just going to sell the stock. and then the brokerage goes itself in knots when you have these stocks, especially with the big list with the big fast money, it's also beingorced to sell. >> is complete in a bad way.

>> like honeywell and others that hit a new high today. when the market goes down, everything goes down. and things go down much faster than they go out. so the rule is to be careful and weight. >> thank you for comingn. it's always great to see you. gerri: markets ding, but still solid gins. about 15% this year. the commodities the dollar is strengthening. and the post office says it lost nearly $2 billion over the last three monhs. >> and here is a big-cket item

like a lawnmower and home appliances. in order to qualify, customers must have a monthly income of at least a thousand dollars and a valid social security number. the irs apologizes. they say theare sorry for conservative local groups with the word tea party or patriot in their names. the ad of the union said it was initiated by workers in cincinnaai andit was very wrong. that is wild. and this is part of the top stories on fox news.com. president obama and his focus on jobs and the economy, spending the day in texas, pushing his government agenda. as lou dobbs pointed out last night, he may have pied the wrong place to press his case. you governor rick perry and senator ted cruz give the perfect example of what republicans are doing right.

>> the natnal unemployment rate is 7.5%. so he goes to texas where it is 6.4%. i don't know who is talking to the president, who has his ear, but that doesn't make a lot of sense. another problem for the president is tt texas has a right to work state. as wright work labor laws, no state income tax when it comes to education, texas has the nation's fourth highest high school graduation week. 86% of texas students graduate. gerri: i have to tell you that a lot of good things come out of texas. >> you are right. well, the president, to me it is just utterly crazy. because texas is booming and he should be down there listening to those folks instead of preaching to them.

we are following the president again in his defense of obamacare. gun violence that is, law enforcement, the denver police department, newtown, connecticut families. gun control. now he is using women to tap obamacare. you know what women really think about that. gerri: i certainly do. gerri: what is your show tonight? >> the president of cold where -- coldwell banker. and what his outlk is for the industry nation. it is certainly important to our prosperity. and cody wilson.

he has an online blueprint and we will talk about what mak an anarchy as to exactly what the government tells them to her. gerri: still on fr the record, lewis from texas. this sunday is mother's day. for the president is a perfect opportunity to campaign. mr. obama is promoting the benefits of obamacare as we just talked about. senate republicans point out that women actually face a-train whack from obamacare. and women are staying single longer because obamacare taxes are higher for married women. and you could lose some subsidies if you are welthy. number two is that you may be able to keep your children on your plan longer, but it's going to cost you.

they could changee finally, women make up two thirds of the medicaid roster. maybe for father's day weekend of this document. next, we have this question. is it legal? a teacher fired for opposing in a bikini as part of outside modeling gig. our legal panel breaks it down coming up next. the american dream is of a better future, a confident retirement. those dreams have taken a beating lately. but no way we're going to let them die. ♪ ameriprise visors can help keep your dreams alive

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gerri: a florida woman second job as kosteher teaching job.

this woman was fired up for modeling in a bikini. care to weigh in is an employment law attorney. lis wiehl, whayou say? >> i think this is outrageous. >> from their perspective, there is absolutely nothing that should be a reason for firing someon just because she is a teacher. gerri: the students are looking at these pictures, and they are suosed to go to class the next

day and have respect for her? >> she wasn't on the internet when she started teaching. >> whyid she change her name >> that remains to be seen becae she is a public employee. she could have due process rights. however, more importantly, for the reticular issue again,it isn't anything that any child or parent would not see if they walked out right. >>his is aode of activex. by virtue of their leadership capacity, teachers are held to a higher morals than it

intercommuty. >> yes, a lot of people have this. it just means that she has to be held, not just on her worktime, but being in a way that students are going to be looking at her, saying that that is not the way it should be. gerri: so let's say she says i'm thinking about doing some extracurricular modeling area that it's going to be in a bikini. you think you should do that? >> it is planned for the wors hope for the best, but absolutely tell her not to. >> however, since she had done it, all right, since it's really nothing that is in the sense of her wearing a bikini, she wasn't at a strip cub, she was in pole

dancing, something about everyday life. >> you'rmaking my point, with which is going to the school and sent to the school, is this okay. is it's okay with the code of ethics. >> would you defend her if she wanted to sue the school? >> well, first of all, it wod end up on several her. if she had due process rights, they would have to really bring her up on charges. in that particular case they would have to show that this is something that isn't appropriate. and the bottom line again is that yes, it could come up to bat. but if you are a tenured teacher and she's a good teacher, there's nothing that says she's a problem performer,. >> are twitter feed was 50% one-way and 50% another. some of them said he would see a woman dressed like that on the beach and others would say, i

don't want that woman teaching my kids. >> she's getting paid money, it is different if she's on the beach and the kid happens to walk by and see her. >> if we were in the 1940s in the 1950s, yes. but in this modern era some could think tht. >> the actual point that i have again is by actually placing her in the front page on this particular program, i think that one really has to look at the motives. school year is over and they put the spotlight on it. >> ion't see how you can attribute tat. it is inpropriate for the

kids, we really want you having taking classes with reading and writing and arithmetic to thank you for coming on. gerri: i feel so old-fashioned. [laughter] okay, ontohe stay in business. in 1962, the incredible hulk came out. a combinationf frankenstein and doctor jkll and mr. hyde. it kept turning the whole green because of such popularity. then they releasethe number one box office release, the incredible hulk film grossing 260 million worldwide. it is worth $19,000 and it was issued today, may 10, 51 years

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gerri: in fashion tonight, accessories my next guest

launches storyline back in 1998. his collection is featured at luxury retailers allver the place. bergdorf goodman, saks fifth avenue, his unique designs including opera, lady gaga, carrie underwood, he matthew joins me now. >> you are a very young man. you have a lot of success really quickly bei in these major sports. how did you break through? >> i was actually very ucky. when i visited new york, she was nice enough to call me when i worked at bergdorf goodman. rri: i am wearing a gorgeous bracel right here that matches my dress or you have a number of bags here. tell me a little bit about them. >> all of thh bags have stones and sapphires.

>> this is the hot thing right now. is the demand high? >> it is more and more important for people to have statement pieces in conversation. >> i just had on a bracelet that oprah wore once. >> tell me about the materials. >> bobo was wearing this on the cover of her magazine. >> i think this is cool. >> that is enamel. gerri: what are your inspirations here? so your family collects arts and antiques. in what looks like a variety of influences here. can you tell me about that? >> a draw my inspiration from my everyday life when i walk around cities. antiques, picture frames, i like to try to match the various

time. and become a little bit more modern. >> you don't sound like somebody who is an isn't international jewelry designer, but you are. what have you learned about the industry and about demand in the marketplace? we are talking about asia, a 30 think the best market is for this? >> if you have a unique product, the number one thing says remain true to your voice. >> you say remain true to your voice and it's interesting because you're actually from kentucky. i don't hear a bit of your accent. >> my parents e from california. >> like how i wear the story, what is your recommendation? what you telthem? should they were something simple to accent a special piece like this?

>> i think that if you had a statement piece like that, you can wear a nice pair of earrings. i'm a big advocate for stacking ngles like these, and that drives a lot of texture to the rest. >> that is what we are looking for. >> we wish you much future success. thank you for showing us her beautiful tori, it is jut a. we will be right right back with my "two cents more" and the answer to the question of our day. day. is your home woth more now than are you still sleeping? just wanted to check and make sure that we were on schedule.

the first technology of its kind... mom and dad, i have great news. is now proding answers families need. siemens. answers. how old is the oldest person you've known? we gave people a sticker and had them show us. we learned a lot of us have known someone who's lived well into their 90s. and that's a great thing. but even though we're living longer, one thing that hasn't changed much ishe official retirement age. ♪ the question is how do you make sure you have the money you need to enjoy all of these years. ♪

>> gusher -- survey sws compared to one year ago the biggest gain since 2006. it is your home worth more now than before the mill town >> no.

is clawing its way back up. >> is about the same here but it should be getting better soon in louisville. 19 percent said yes but 81 percent said no. finally housing may be the silver lining in this economy. another recession or the removal of major housing tax breaks could delay the recovery but the potential is offset the not easy if i learned anything looking at the issue for the better part of a lasting years getting a good deal requires your homework and unafraid to peel back players to investigate it takes a strong stach to negotiate but the payoff could be big also with a price that is opportunistic and that is just of the opportunit that is what the market offers. my guess is many years from now we will scratch our heads wondering why we did not get into the house

market when we have the opportunity. that is it for tonight. thank you for joining us. do not forget to dpr the show. have a great night. >> good evening it is clear tonight the obama administration rewrote intelligence assessments about the attacks on the diplomatic post in a bid gauzy with the murder of christopher stevens and three other americans. the rewrites and revision was due substantively distort about the truth of what happened and who was involvlved in the attacks. newly released female puts victoria space and directly at the center of the controversy who called for the alteration of the now susan rice slavish