When pursuing goals, we always say it’s best to learn from people who have achieved what you’re trying to do.
Makes sense, right?
You wouldn’t watch tennis players to learn how to be a gymnast…you would learn from other gymnasts! 🤸
Soooo, to grow wealth through investing, it’s a good idea to take some cues from the wealthy.
Here’s to making major amounts of money without even lifting a finger. 🥂
IN JUST 5 MINUTES OR LESS TODAY, YOU’LL LEARN ⏬ :
- OPM – Other People’s Money
- Appreciating Appreciation
- Inflation Hedge
- Tax Benefits
- Generational Wealth/ Preservation
- Other People’s 3Ts (Time, Team, Tools)
Grow Your Wealth With Real Estate As the 1% Do
Do you ever break out in a 2 AM cold sweat, with financial fears gripping tighter than damp sheets? Well, these guys in the top 1% don’t.
In fact, they already have more passive income streaming into their pockets than they’ll ever need to live on.
And here’s the thing, they do so without even lifting a finger. And if you are saying to yourself, wow, I wish I could do that. Well, the good news is you can.
You see, it’s not just the top 1%, like Warren Buffet who are laughing all the way to the bank, in fact, thousands upon thousands of ordinary people just like you and us are doing this as well.
But how? 😵💫😵💫
We’ll show you right now, and it’s all investing income-producing assets.
👉 So today we will show you the 7 things that the top 1% always look for when it comes to growing their wealth without lifting a finger.
These are things that the top 1% have been using for decades and are tried and true, but you may never have heard of them before– until today. And at the end, we are also going to talk to you about the things you MUST avoid like the black plague if you don’t want your dreams of financial freedom to come to a crashing halt.
Before we do that let us compare how most Americans approach retirement vs. how the top 1% does.
Think of it this way. It’s like you’re struggling uphill in a battered Corolla, towing a hefty boat, pedal to the metal, but barely inching forward. Meanwhile, in the next lane, a Ford F-150 — let’s call it the 1% — tows an even grander vessel, cruising effortlessly, as if it’s just another day at the beach.
The experience is night and day, right?
You see most Americans’s plan for retirement involves relying on their company’s 401k plan, savings, and investing in mutual funds.
This is totally different from what the top 1% does. If you study wealthy people, they don’t focus on 401(k) plans or IRAs, instead of giving their money to firms like Vanguard or Fidelity they take a much different approach.
Source: The Kitti Sisters TV
Did you know that 90% of the top 1% got and/ or maintained their wealth by investing in income-producing real estate? 🤓🤓
According to the 2023 Knight Frank’s Wealth Report, historically real estate has been the most lucrative asset class for high-net-worth individuals.
Why? Well, that’s because income-producing real estate possesses these 7 characteristics are all a must when the top 1% considers investing.
OPM – Other People’s Money
Ever tapped into the power of OPM – Other People’s Money 💵?
Here’s the inside scoop: the top 1% frequently secure real estate using bank loans, effectively making the bank their silent partner.
Even though the bank foots 65 to 80% of the bill, they don’t get a say in property operations.
You, on the other hand, might cover just 20 to 35% but end up owning the whole deal. And the real magic?
Not only do they ensure your steady cash flow, but they’re also diligently reducing your loan balance. In essence, with the bank funding most of your investment and tenants building your equity, it’s strategic mastery at its best.
We hinted at this gem before Passive Cash Flow! 😘😘
It’s the income streaming into your account, no hands-on work is required.
Here’s a nugget many overlook: come retirement, it’s not about the lump sum in an IRA or 401(k) that you should focus on. No, when you’re sailing into those golden years around 65 or 68, you need a consistent inflow of cash to manage expenses and maintain your lifestyle.
Real appreciation is like planting a tree. 🌳
Initially, it may seem small and insignificant.
But over time, with proper care and the right conditions, it grows steadily, becoming more valuable and substantial than when it was first planted.
Just as a tree’s growth can be subtle from year to year, the real appreciation of an asset might not always be immediately evident, but its growth over time can be substantial.
We’ve all felt the dizzying ups and downs of this generation’s inflation ride, with the very word ‘inflation’ triggering some uneasy memories of soaring prices.
Yet, in the realm of real estate investments, we, the Kitti Sisters, have a favorite saying, “We Love Inflation, Inflation Makes Us Money”. 📢
Inflation can be a boon for real estate investors. As inflation causes the general cost of goods and services to rise, property values and rents typically increase, boosting the investor’s returns. Additionally, those with fixed-rate mortgages benefit as their monthly payments remain constant, even as potential rental income grows.
Essentially, the real value of their debt diminishes over time due to inflation.
Plus, tangible assets like real estate serve as a hedge against the depreciating value of cash during inflationary periods.
In short, while inflation erodes cash’s purchasing power, it often enhances the worth and returns of real estate investments.
Did you know that for many Americans, the earnings from January to roughly June are essentially earmarked for Uncle Sam?
Although not in a literal sense, a significant chunk of your paycheck fills his treasury.
Okay guys, pop quiz time ⏬
How can you keep more of your hard-earned cash?
The answer: pay less taxes! 😬😬
Imagine amplifying your earnings without added effort and still seeing your pockets grow heavier at day’s end.
That’s the beauty of real estate investing, especially multifamily properties. They stand out, offering the most attractive tax advantages compared to other real estate sectors.
Generational Wealth/ Preservation
Think of generational wealth as a majestic oak tree.
Once rooted, it stands tall, sheltering many generations beneath its sprawling branches.
You’ve seen 🎬 films where ancestors’ portraits hang prominently above the hearth, a testament to their lasting legacy.
If you yearn for such a legacy, anchoring your family’s wealth is a key step.
Real estate isn’t a fleeting venture.
It has withstood world wars, depressions, countless recessions, and even a global pandemic.
Given that shelter ranks as a foundational human necessity, just after water and food, it’s logical to deduce that as long as humanity endures, there will always be a demand for quality housing. Thus it stands to reason that using real estate is an important strategy to maintain your wealth for generations to come.
Other People’s 3Ts (Time, Team, Tools)
Do you believe Oprah, Jeff Bezos, or other members of the top 1% personally manage their extensive real estate portfolios?
Think again! Jeff Bezos likely spends more time luxuriating on his mega-yacht ⛵ than poring over property details.
And the good news?
You can adopt the same approach.
This hands-off strategy is achieved by leveraging Other People’s 3Ts: time, teams, and tools of experts – entrusting your investments to seasoned professionals.
These specialists have a fiduciary duty to safeguard and augment your assets, bringing years of expertise to the table, so you don’t have to learn the intricacies from scratch.
Now that you learned the things that the top 1% always make sure is checked off when they are growing their wealth, let’s look for the things you need to avoid pronto.
Fundamentally sound investment: Picture this: An investment without a solid foundation is like a house built on sand — it might look shiny and impressive for a hot minute, but give it some time (or a gentle breeze) and you’ll be fishing for your fortunes in a pile of rubble.
It’s always wise to ensure your investment has the legs to stand tall, or better yet, to dance through market downturns.
After all, wouldn’t you rather be the tortoise with a sturdy shell than the hare scrambling to fix its flimsy burrow?
Always prioritize substance over show.
No oversized returned promises
Beware the allure of oversized return promises: they’re often like that too-good-to-be-true diet that promises you’ll drop 20 pounds in a week. Tempting?
Realistic and sustainable?
Investing isn’t a game of magic beans or fairy tales. ✨
It requires diligence, patience, and a healthy dose of skepticism.
While the world might love a quick fix, remember: if it sounds too good to be true, it probably is. Stick with the tried and true, and always read the fine print!
Enduring asset class
Real estate stands tall as an enduring asset class, not just because it represents tangible wealth, but because it caters to a fundamental human necessity: shelter.
From the ancient dwellings of our ancestors to the modern skylines we marvel at today, real estate has always been more than just bricks and mortar; it’s about securing a space in the world.
As long as people roam the Earth 🌎, there will be a demand for a place to call home, making real estate an investment in humanity’s evergreen needs
Thanks for tuning in today.
Until next time, dream big, and keep making those dreams a reality! 🌈☁️