How To Get Rich Investing In Real Estate
Do you want to become rich?
Of course we all do.
In school your taught to:
to get good grades,
to get a good job ,
and then work all day every day, to get promoted again and again,
to save enough money to hopefully become rich.
How many people got rich saving a portion of their pay check?
How many people got rich investing in mutual funds? GIC’s? RRSP’s...
...which are usually just filled with mutual funds.
Not many if any.
So, you're probably asking, is there another plan?
You bet there is!
It's the plan I luckily figured out before it was too late, so stay tuned to find out what it is.
So if you’ve watched my videos before, you probably already know the answer.
Yup, to build wealth.
To get rich.
You need to invest, but more importantly you need to invest in real estate.
Why real estate though?
Here are just a couple of reasons:
You don’t need a degree
A high salary job you have to work 100 hours a week at,
Tons of money
And you can literally start investing in real estate tomorrow.
So how do you get started on the path to becoming rich now investing in real estate?
Let me walk you through exactly how.
Invest in an affordable market.
Where properties are under $200,000 or $100,000 a unit for multi units.
These markets do exist, usually found outside big cities.
Once you've found a market, go and purchase the property.
Say you purchased a property for $150,000, well in 25 years, which is the average mortgage term, well, that property worse case if it doesn’t appreciate, is worth $150,000, debt free.
This is because the tenants and the rent they pay, paid down the mortgage and covered your monthly expenses such as taxes, insurance, utilities etc..
...one $150,000 property doesn't make you rich.
You need to buy more properties...
Well when buying that first property, you want to be sure that you are buying something you can add value to.
Something that is ugly, needs some TLC, has potential, but not necessarily a fixer upper, as you aren’t looking to put a ton of money into the property.
That's because most of us don’t have tens of thousands of dollars on top of the down payment lying around to do renovations.
So by investing in a property that is ugly, you can slowly improve the property over the next two or three years using the rents...
...using some of your savings from your income, and then, with a portion of the mortgage paid down in that time frame, along with the value you’ve added to the property by improving it, and the appreciation...
...you can go and refinance the property, and use the funds to buy another.
Then what you want to do is repeat this process, and if you do this fast enough, every two years lets say, by year eight, you would own five properties.
...if every property went up in value by 5% a year, either by way of property prices going up, or by you adding value through updating the property, well you'd own a million dollars in real estate in just 10 years.
Don't believe me?
Well, here's exactly how the numbers break out so you can see for yourself how much equity is being built every two years for each property by having the mortgage being paid down...
...and by having the property increase in value.
Now you'll notice that at the end of every two years, you have only built up approximately $21,000 in equity through having the mortgage paid down and the price of the property going up.
So when you do go to use that equity, either through a refinance, or through a HELOC on the property, to go buy the next property...
...and yes, you will be short a little over $8,000 for the $30,000 down payment needed for the next $150,000 property.
But at least you are in a much better position then trying to slave away at work to save $30,000.
And as you can see, at the end of ten years, just by using the equity in your properties, you’ve now built up a portfolio of real estate worth over a million dollars.
And this is how you can become rich investing in real estate.
Now, this was just a simplified version on how to get rich investing in real estate.
If you want to own even more, to build an even larger portfolio, to 10X your wealth...
...you can look to partners, look to private lenders; to help with the capital needed to invest in more real estate.
WHAT TO DO NEXT to put this plan into motion?
Register for my upcoming masterclass, where I will discover how to invest in real estate on autopilot, and make six figures from one rental property, without lifting a finger.
Just click the image above or click here!