You guys have heard me say many times that we go where the money goes. Right now the money is moving into real estate. What this means is that it is the best time to leverage real estate investment, so you are going to hear me speak about it a lot. With the type of environment we are currently in, we have to consider having real estate in our portfolio.
Right now we are living in a world with high-interest rates, plus we have inflation still being a problem. When we look at the stock market we haven’t been seeing that big burst of activity like we had last year. Many companies are feeling the pressure of this high inflation and high-interest rate environment. So sometimes when we see these things happening we have to be smart as investors. We have to learn to pivot into asset classes that are going to perform well in this kind of environment.Â
Truth is, when you think about wealth you have to think holistically. Wealth is bigger than just putting your money into the stock market or putting your money into a unit trust. Wealth is a complete system involving your mindset, your daily habits, and also using money to make more money, which is all about leverage. We have to leverage our minds to think and become a millionaire and we’re going to have to leverage our money as well, to build up our wealth. Real estate is one of the best assets for leverage. It’s an opportunity to use other people’s money, and you know other people’s money is the best money. Real estate is a very good asset for us to use the concept of leverage in our wealth-building journey.
For example, as a real estate investor, you may leverage real estate by using a mortgage loan to purchase a rental property with the intention of generating rental income that exceeds the cost of the mortgage payments. In this way, you would be using the property as collateral to borrow money, on the premise that the rental income will generate a profit and help pay off the loan over time. The goal is to use the funds to generate a higher return on investment than the cost of borrowing the funds.
For those who already have real estate, think about increasing your portfolio. I want everyone to understand how important it is right now to consider real estate investing. Whether you are going to physically buy properties or you are going to invest indirectly in real estate and consider things like real estate investment trust (REIT), now is the time to be thinking about how I can increase real estate in my overall investment portfolio.Â
So stay tuned because you are going to hear me talk a lot about this lucrative investment opportunity, but for now, I want you to understand that we are moving where the money is and the money is going into real estate right now.
Be on the look for more information and strategies around real estate because I want everyone to get their wealth game up and right now real estate is a very attractive asset class for you to get your wealth journey moving much faster. Consider entering into real estate, because honestly sometimes the best place to put your money is in the ground.
Have you thought about investing in real estate? Do you already invest in real estate? If this article resonates with you, feel free to share your thoughts with me in the comments, I’d love to hear from you.