Never Pay Off Your Home!

Never Pay Off Your Home!

My first-ever property was that seminal, blue Anchorage, AK fourplex. I scraped together $11K for a 3.5% down payment FHA loan on the $295,000 purchase. At the time, I didn’t even realize that I was positioned to be the beneficiary of financial leverage. Sheesh,...
This Is Destroying Your Wealth

This Is Destroying Your Wealth

Would you like to retire on $1.8 million thirty years from now? That is what you’ll have if you put $15,000 into your 401(k) each year for thirty years and achieve an 8% compounded return. Well, $1.8 M is woefully inadequate. Really? Yep. After 25% tax and 3%...
Housing Crashes From Higher Mortgage Rates. Really?

Housing Crashes From Higher Mortgage Rates. Really?

When rates rise, then home prices must fall, right? That would make sense because fewer buyers can afford the higher payment. Surprisingly, it’s just the opposite. When rates rise, home prices rise. This is because rising interest rates are a sign that the...
Advantages Of Single-Family Income Property

Advantages Of Single-Family Income Property

Apartment buildings have economies of scale and other advantages over single-family rentals (SFRs). I own both types. SFRs are my favorite. They might have the best risk-adjusted return anywhere. Even after 2008’s Great Recession, those that bought for cash flow...
New Construction vs. Existing Rental Property

New Construction vs. Existing Rental Property

What’s better: existing or new construction rental property? Like with most real estate answers: “It depends.” If you prefer video format, click the video below. Before we look at your trade-offs with each type, understand that new construction...
Wealthy people never do this one thing…

Wealthy people never do this one thing…

Want to be persona non grata at your next Zoom party? Announce to everyone that your big ambition includes $10 million in debt. When conventional financial advisors hear the word “debt”, they rapidly start dishing out more warnings than Dr. Fauci on...