Dive into the world of finance as investors leverage debt to build wealth. Discover the powerful difference between good and bad debt, and learn why high debt can still equal high net worth when used wisely. Explore the nuances of student loans and why they can be good or bad depending on the ROI. Understand how inflation boosts real estate values, and why 30-year fixed mortgages are a U.S. advantage. Plus, learn strategies for refinancing and managing cash flow in challenging times.
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insights INSIGHT
Debt Is A Tool Not A Villain
Debt itself is a tool that can compound wealth when used correctly rather than something to always avoid.
Ken contrasts depreciating consumer debt (cars, TVs) with debt that buys appreciating assets that others pay off for you.
volunteer_activism ADVICE
Ask Who’s Paying The Debt
Ask who is paying off the debt: you or someone else, and prefer debt that others service for you.
Avoid personal-collateral debt where the bank treats you as the collateral instead of the asset.
volunteer_activism ADVICE
Only Borrow For Payoff
Only take education debt if the expected income payoff exceeds its cost and improves earning potential.
Evaluate trades and short programs as they often pay for themselves faster than expensive degrees.
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Ken and Danille dive into how investors use financing to build long-term wealth with sound investment strategies. Understand the difference between good debt vs bad debt. Get your dose of financial education and learn about leveraging assets to improve your personal finance.
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If you're an accredited investor and are interested in learning about opportunities to invest with Ken follow this link: https://mccompaniesinvest.com/knowmore
ABOUT KEN: Ken is the author of the bestselling books The ABC’s of Real Estate Investing, The Advanced Guide to Real Estate Investing, and The ABC’s of Property Management. With over two decades of experience in real estate investing, Ken McElroy is passionate about sharing the good life by helping real estate investors grow and prosper. This podcast is a place for Ken to discuss numerous topics connected to real estate investing, including finance, budgeting, the entrepreneur mindset, and creating passive income. Ken offers a wealth of personal experiences, practical advice, success stories, and even some informative setbacks, all presented here to educate and inspire. Whether you’re a new or seasoned investor, the information and resources on this channel will set you on a path where you and your investments can thrive.
Ken's company: https://mccompanies.com
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