Building wealth has become more and more challenging over the years. Relying on the government or your stock portfolio would be a dire mistake on anyone’s part for reliable retirement income. A million dollars is no longer a mile marker for financial well-being. If you want to have a healthy retirement so you can travel, buy that new electric car, and install the 220-volt charger in your garage, you’ll need money! Big money! Depending on your level of comfort, you may or may not need 3 million dollars or more. For some, $250,000 is ample as they don’t really travel to Europe or buy new toys like cars and such. So, you choose your own dollar amount according to your current life style. Depending on your age, you should put a plan in place with a comfortable lifestyle for your family. Remember to factor in inflation at minimally 3% annually for every year until you retire.
Real Estate strategies come in many flavors! However, there are certain proven strategies that will build your portfolio of investment properties for the rest of your years! Don’t fall for the YouTube come-ons and baloney. Building a portfolio of residential properties has been my method of building not only a prosperous retirement but a healthy monthly paycheck using many of the real estate strategies I employ. There is no such thing as “the end” in my business. Using cash flow from properties, down payment money from seller finance deals, or lease options will both fund your next investment and add dollars to your nest egg averaging 50k at a time.
REALITY CHECK:
Rents have about doubled over the past few years. Mortgage interest rates are nearing 8% providing you have good credit! Car loans average 7-10% and lender’s scrutiny is off the charts.
https://themortgagereports.com/22079/bank-statements-3-things-mortgage-lenders-dont-want-to-see
Applying for a home loan has become increasingly more difficult. That is to say nothing about your ability to carry a $600k loan at 7.75% or thereabouts. It was not to long ago that interest rates were 4% or less. Now they’re double adding a hefty premium to your monthly mortgage payment. Add MI (mortgage insurance) and you may find yourself in an impossible, unaffordable scenario.
Rents have become so out of control. 4 years ago my rental houses averaged $1400-1800 per month. Today my rentals average $2100- 3000 per month. That’s great for landlords and not so good for “renters”! I know that generally speaking, our salaries have increased a bit but I also know that the amount of increases vs the rate of inflation pales by comparison. People are truly struggling to get by to say nothing about saving for retirement. The number of retirees without a proper nest egg is alarming. What about childcare for the average working family? That’s become a alarming burden for so many that one of the partners will choose to stay home instead of working just pay for childcare.
With all that said………………
Your financial behaviors and choices will dictate you and your families financial well being for the rest of your life. With the promise of Social Security vanishing and the cost of living soaring, building a healthy retirement has never been more challenging. While real estate investing is not for everyone, it is seemingly the only way left to build wealth with certainty1 Bottom line? Creating a real estate portfolio of 10 houses held over 10 years will create a healthy and prosperous retirement for you. Having other peoples money pay for your investments while putting money in your pocket is the perfect storm.
Your Financial Junkie
Remember: Do not spend the money you will have. Spend only the money you do have and for goodness sakes, leave the credit cards in your desk drawer!
WEALTH CREATION, YOUR LIFE, YOUR RETIREMENT 