Working as a financial advisor for well over a decade has helped me realize that most people abdicate their investment decisions because they simply don’t feel like they know enough about how money works.
This confusion is for good reason, especially given the times we live in.
We all suffer from a deluge of information, misinformation, and sometimes even disinformation.
Oftentimes, we’ll take a memorable phrase as fact, when in reality that saying deserves more scrutiny.
Let’s take the phrase “Get your money to work for you.”
Getting your money to work for you is a MYTH and simply doesn’t work for the vast majority of people.
Most of our population hasn’t saved enough to get money to work for them. In fact, 66% of people have less than $5,000 accumulated in their retirement accounts.
Even if you do save 10% of your salary towards a 401k plan, it still won’t likely be enough.
To add to our confusion, compound interest can be made to look stellar in proposals by any financial sales professional. More often than not, taxes, fees, emotion and most importantly, inflation are left out of the equation altogether.
So, what is the answer?
In my experience, the most accessible path to wealth creation and wealth preservation is done by using Other People’s Money (OPM). This is where real estate and real estate investing comes in.
Buy and Hold Real Estate gives people the leverage of OPM.
How can we use this to our advantage?
The tenant will give you money in exchange for quality housing at a good price.
The bank will lend you money and collect interest as profit to its shareholders.
The government gives you money in the form of tax benefits.
4. Federal Reserve
The Fed constantly increases the money supply. Tangible assets like real estate go up in price because of inflation.
For more financial and retirement tips, listen to my interview with Dr. Felecia Froe on the Money With Mission Podcast. We discuss the importance of generational wealth and how to create a nest egg for retirement. Plus, be sure to sign up for my FREE e-Book: The #1 Biggest Threat To Your Retirement.
Our mission is to help passive investors become financially-free by providing high quality alternative investments. If we can help you in that way, it would be an honor to do so. Feel free to schedule some time for us to chat.