Get Rich Education

#149: When real estate markets heat up, some investors are tempted to invest in tiny towns with few industries. With 700,000 in the metro area, Little Rock, Arkansas is substantially larger. Little Rock's diversity of industry includes government, health care, education, and military. Arkansas could be the most landlord-friendly of all 50 states. Landlords aren’t even obligated to make repairs. Little Rock Turnkey rehabilitates a property, places a qualified tenant, puts the property under management, and then sells it to you. It is expected that this “turnkey” property produces cash flow for you on Day 1. Want more wealth?   1) Grab my free newsletter at: GetRichEducation.com     2) For actionable turnkey real estate investing opportunities: GREturnkey.com   3) Read my new, best-selling book: GetRichEducation.com/Book Listen to this week’s show and learn: 02:22  Pay attention to your monthly Property Manager statement. 05:08  Helping your profits: estimates vs. quotes. 07:37  Jeremy Veldman interview begins. 09:37  Little Rock’s job sectors. 11:00  Is Arkansas still the most landlord-friendly of all 50 states? 15-day evictions. 16:35  Single-family houses, typically brick houses of 3 BR / 2 BA. Renovation extent explained. 19:14  Tenant-supplied appliances. 20:41  3515 Green Drive: $1,050 projected rent, $105,000 purchase price, 1,570 sq. ft. 23:56  Rent-to-value ratio. The next most important numbers are property tax, mortgage interest rate. 25:30  Tenant profile. 28:52  Affordability: Arkansas is #1. 31:55  Property management. 33:47  Neighborhood character: 2/3rds owner-occupant. Resources Mentioned: LittleRockTurnkey.com info@memphisturnkey.com NoradaRealEstate.com MidSouthHomeBuyers.com GetRichEducation.com GREturnkey.com  

#148: Do markets feel frothy to you? Real estate, stocks, corporate valuations, and even the values of major pro sports franchises have risen substantially. Keith explains why this matters less than you think. You learn about some little-known advantages of investing in single-family income property rather than apartment buildings. Brien Lundin, host of the New Orleans Investment Conference, joins Keith. Keith will be in New Orleans for the conference this October 25th - 28th. Speakers include Tucker Carlson, Doug Casey, Peter Schiff, and Robert Kiyosaki. Brien tells us about the role that gold plays in the world today. Keith tells you how much of his net worth is invested in precious metals. Want more wealth? Visit: 1) GetRichEducation.com to grab our free newsletter.  2) GREturnkey.com for actionable turnkey real estate investing opportunities. Listen to this week’s show and learn: 00:49  Frothy markets. 02:08  The median sales price of existing US homes is $264,000. 05:59  Single-family income properties vs. apartment buildings. 15:35  Keith tells you how much precious metal he owns. 23:08  Brien Lundin Interview begins. Gold’s role in the world today. 28:44  Cryptocurrency. 30:55  Silver. 32:17  Why Brien thinks gold prices will soon rise. Resources Mentioned: NewOrleansConference.com NoradaRealEstate.com MidSouthHomeBuyers.com GetRichEducation.com GREturnkey.com  

#147: You’re going to live longer than your parents and ancestors. Half of today’s retirees will live into their 90s. That’s good...if your finances can support your lifestyle. Patrick Donohoe, Founder and CEO of Paradigm Life, is our guest today. Debt is vital to wealth creation. We tell you why. Inflation vs. Deflation: this “Economic Tug Of War” is discussed. It’s deflationary globalization versus inflationary dollar-printing. Patrick tells us how to bank outside the banking system via the Perpetual Wealth Strategy. Grab Get Rich Education’s new book at GetRichEducation.com/Book Want more wealth? Visit: 1) GetRichEducation.com to grab our free newsletter.  2) GREturnkey.com for actionable turnkey real estate investing opportunities. Listen to this week’s show and learn: 01:00  “Formal education will make you a living. Self-education will make you a fortune.” -Jim Rohn 06:08  Patrick Donohoe interview begins. 09:24  Retirement: is the very idea “anti-life”? 12:36  Buying time vs. selling time. Wall Street vs. Main Street. 16:06  Hanging around the same people equals the same results. 17:26  Debt. 25:17  Inflation vs. Deflation. 34:26  How to “be your own bank”. Resources Mentioned: ParadigmLife.net NoradaRealEstate.com MidSouthHomeBuyers.com GetRichEducation.com GREturnkey.com  

#146: Debt is good. Debt is bad. Which type is good and which type is bad? When your tenant is paying your debt for you, that’s good debt. When you have consumer debt, that’s usually bad. But Keith contends that consumer debt can almost be good for some savvy investors that use debt for arbitrage. If you could have gotten a 3% loan on your car, but instead you chose to pay cash, then you’re probably paying an opportunity cost. In real estate, the return from equity is always zero. Debt replaces that zero-return equity. But would you ever pay all-cash for your property? Keith is a “leverage guy”, but yet he gives reasons for when and why you would want to pay all-cash. Would you borrow $100K from 0% APR credit cards to create arbitrage? Some do. Mortgages, Home Equity Lines Of Credit, Federal Funds Rates, automobile loans, student loans, and credit card debt are all discussed. Ultimately, you would rather be financially-free rather than debt-free. Grab Get Rich Education’s new book at GetRichEducation.com/Book Want more wealth? Visit: 1) GetRichEducation.com to grab our free newsletter.  2) GREturnkey.com for actionable turnkey real estate investing opportunities. Listen to this week’s show and learn: 01:25  “Eliminate all debt” is just too simple to be true. 04:31  Why pay down mortgage principal at all? 05:50  A mortgage is a one-way street. HELOCs are a two-way street. 08:06  Robert Kiyosaki clip. 11:04  Consumer debt and arbitrage. 12:30  Increasing interest rates. 13:25  Higher FICO scores and Debt-To-Income Ratio limits. 15:05  Interest rates have never been this low while the job market is at full capacity. 16:29  Credit card arbitrage. 23:15  Here’s when and why to pay all-cash for a property. 26:10  Ryan Daniel Moran clip. Resources Mentioned: Consumers May Get Credit Score Boost DTI Change From 45% To 50% Maximum NoradaRealEstate.com MidSouthHomeBuyers.com GetRichEducation.com GREturnkey.com  

#145: Financial advisors sell stocks. Buy-and-hold stock investing doesn’t create wealth, but financial advisors create the illusion that they do. Today’s guest, Ntellivest’s Brent Sutherland, is a financial advisor that began successfully investing in cash-flowing real estate with 8 single-family properties. Brent pulls back the curtain on what’s going on “behind the scenes” with financial advisors and their biased “advice”. Really...what’s wrong with stocks? Keith adds content about how and why buy-and-hold stocks don’t create wealth with five reasons: inflation, emotion, taxes, fees, and volatility. This is partly due to secondary market dilution. Grab Get Rich Education’s new book at: GetRichEducation.com/Book Want more wealth? Visit: 1) GetRichEducation.com to grab our free newsletter.  2) GREturnkey.com for actionable turnkey real estate investing opportunities. Listen to this week’s show and learn: 01:12  Why live anything less than a great life? 03:04  Hordes of people still believe that buy-and-hold stocks create wealth. What’s wrong with stocks? 05:41  The Nixon Shock, ERISA, and 1980s tax cuts. 10:52  Don’t build a budget. 16:00  Financial advisors’ pay structures don’t allow for recommending real estate. 17:27  Capital gains vs. income. 20:51  Can financial advisors get paid on performance? 24:29  Timing the market and emotion. 27:16  Real estate investing is not an “alternative”. 32:03  Your first income property cash flow check changes your life. Brent's $250-$300 monthly per property. 33:40  ROI. 38:06  Volatility. 41:32  Diversification. 43:34  401(k)s. 45:57  Today’s stock market valuations. 48:12  When do you fire your financial advisor? Resources Mentioned: Ntellivest.com NAPFA.org NoradaRealEstate.com MidSouthHomeBuyers.com GetRichEducation.com GREturnkey.com  

#144: In an economic crash, a great place to be positioned is in low-cost housing within a diversified metro market like Indianapolis, Indiana. Learn more at: GetRichEducation.com/Indy Indianapolis has a remarkable combination for investors: investor-advantaged property, a diversified economy, population growth, low unemployment, a business-friendly environment, low-cost housing, stable Indiana state finances, and more. Indianapolis’ business drivers are in some of the most diverse and necessary sectors: healthcare, finance, technology, education, and more. Amazon has set up an enormous distribution center in Indianapolis due to its central geographic location. Today’s guest offers turnkey cash-flowing real estate in Indianapolis. Grab Get Rich Education’s new book at GetRichEducation.com/Book Want more wealth? Visit: 1) GetRichEducation.com to grab our free newsletter.  2) GREturnkey.com for actionable turnkey real estate investing opportunities. Listen to this week’s show and learn: 00:45  In an economic crash, low-cost housing can be a safe place to be invested. 06:42  Our guest was led to Indianapolis for: cash-flowing real estate, a diversified economy, population growth, low unemployment, a business-friendly environment, low-cost housing, and stable Indiana state finances, and more. 08:42  Indianapolis’ business drivers. 13:34  The State Of Indiana has a AAA credit rating and budget surpluses to help support business. 19:06  What if there’s an economic crash soon? 24:07  Foreign buyers in Indianapolis. 28:40  Rent-to-value ratios in Indianapolis. 29:50  Vacancy rate. 32:22  Making a real estate field trip to Indianapolis. Resources Mentioned: GetRichEducation.com/Indy Harvard Joint Center for Housing Studies Pew Research Center NoradaRealEstate.com MidSouthHomeBuyers.com GetRichEducation.com GREturnkey.com    

#143: You’re entitled to a great gift from the IRS - lifetime tax-deferral so that you never have to pay capital gains tax on the sale of your investment real estate. With a 1031 Tax-Deferred Exchange, you can infinitely defer your: federal capital gains tax, state capital gains tax, and depreciation recapture. From the sale of your property, you have 45 days to identify, and 180 days to close upon your replacement property. Details in-episode. 1031s are only for investment property. They’re amazing wealth-building tools, but you must follow strict rules. Graham Parham of Highlands Residential Mortgage joins Keith later in the show to discuss lending obstacles with 1031 Exchanges. Grab Get Rich Education’s new book at GetRichEducation.com/Book Want more wealth? Visit: 1) www.GetRichEducation.com to grab our free newsletter.  2) www.GREturnkey.com for actionable turnkey real estate investing opportunities. Listen to this week’s show and learn: 02:12  Normally, upon the sale of income property, one must pay federal capital gains tax, state capital gains tax, and depreciation recapture. 03:29  1031 Exchanges vs. cash-out refinances. Reasons for doing a 1031. 06:35  Three identification methods: 3 Properties Rule, 200% Rule, 95% Rule. 09:40  Like-Kind Exchanges are flexible between income property types. 12:18  A technique to use a 1031 and still get your hands on the cash. 14:12  Primary residences have capital gains tax exemptions outside of 1031s. 18:29  Lending obstacles with 1031s. 22:38  1031 Example - sell 2 in Dallas, exchange for 4 in Birmingham. 25:32  Greater leverage. 31:06  Combining multiple properties into one exchange. 34:11  Simultaneous closings. Advantage of 1031s with turnkey property. 35:40  You can do an unlimited amount of exchanges in your lifetime. 37:22  1031s are amazing wealth-building tools, but you must carefully follow rules. Resources Mentioned: Graham Parham phone: (855) 326-6802 NoradaRealEstate.com MidSouthHomeBuyers.com GetRichEducation.com GREturnkey.com  

#142: Keith’s $530,000 four-plex dropped in value to $480,000 during the 2007-09 Mortgage Meltdown. Lessons from the Housing Crisis of 2007-2009 still influence Keith’s investing today. Our guest, Damion Lupo, lost worse than Keith at this time. His $20M portfolio imploded. Damion spent over a million dollars on seminars alone. He recklessly went all-out by purchasing 150 rental units across 7 states more than a decade ago - without regard for cash flow. It crashed. Today, his firm, Total Control Financial, helps you control your financial future with self-directed IRA and Solo 401K services for optimized retirement planning. Top takeaway: Buy for cash flow in stable economic metro markets. Grab Get Rich Education’s new book at GetRichEducation.com/Book Want more wealth? Visit: 1) www.GetRichEducation.com to grab our free newsletter.  2) www.GREturnkey.com for actionable turnkey real estate investing opportunities. Listen to this week’s show and learn: 00:57  Keith’s $530,000 four-plex dropped in value to $480,000 in the 2007-09 Mortgage Meltdown. 15:37  If Damion could do it all over again, what would he do differently? 20:04  Harvesting equity. 24:29  Damion won’t do deals with people in their 20s. 26:30  The next crash. 34:14  Hard money loans. 42:25  Retirement. 49:26  Choose stable markets in the Midwest and South. Resources Mentioned: TotalControlFinancial.com Investopedia.com NoradaRealEstate.com HighlandsMortgage.com MidSouthHomeBuyers.com GetRichEducation.com GREturnkey.com    

#141: Real estate hedonics and inflation effectively mean that real estate goes down in price over time. So then how can it be such a great investment? Keith answers. We run the numbers on a Memphis duplex. Keith calculates a 32.4% ROI right before your eyes. Keith tells you how to make more income if you’re living paycheck-to-paycheck. Learn about the opportunity cost of renting out a $620,000 south Florida home for $2,900. Grab Get Rich Education’s new book at GetRichEducation.com/Book Want more wealth? Visit: 1) www.GetRichEducation.com to grab our free newsletter.  2) www.GREturnkey.com for actionable turnkey real estate investing opportunities. Listen to this week’s show and learn: 01:37  Giving. 04:57  Real estate hedonics. 09:46  Calculating Total Rate Of Return from real estate. 17:57  Most real estate investors can’t “keep score”. 19:34  Living paycheck-to-paycheck. How to get started? 24:34  People want change, but don’t want to change. 32:25  Renting out a $620,000 south Florida home. Resources Mentioned: NoradaRealEstate.com HighlandsMortgage.com MidSouthHomeBuyers.com GetRichEducation.com GREturnkey.com Clickbank.com | Kajabi.com  

#140: Keith’s new book is now out in paperback form at: www.GetRichEducation.com/Book. Direct investment in single family income properties has strong demand from both investors and renters. Single-family home (SFH) income property advantages include: they trade independent of market cap rates, stronger appreciation than apartments, inflation protection, amortization, tax depreciation, lower cost, easier financing, more understandable, no shared walls, divisibility, less tenant turnover, and better locations than apartments.    Today’s guest, HassleFreeCashFlowInvesting.com’s David Campbell helps Keith break down single-family investing advantages. Grab Get Rich Education’s new book at GetRichEducation.com/Book Want more wealth? Visit: 1) www.GetRichEducation.com to grab our free newsletter.  2) www.GREturnkey.com for actionable turnkey real estate investing opportunities. Listen to this week’s show and learn: 01:15  Ken McElroy in 2017: “It’s a terrible time to buy multifamily in most metros.” 06:23  SFHs trade independent of cap rates. 09:57  Appreciation vs. Inflation. 11:03  SFHs are approachable because they’re lower cost and financing can be easier. 14:52  No shared walls: pests, fires, noise. 15:48  Arbitrage. 18:00  Keep a low equity position for asset protection. 20:17  Divisibility. 20:53  The fallacy of “buying cash flow”. 25:08  Prepaying the mortgage is a huge mistake. 27:55  SFH: no or low utility payments. 29:00  Neighborhood quality. 32:00  Cash flow. 33:51  Income tax-free states. 34:57  Tenant psychology in SFHs. It “feels like their own”. Exit strategy. 36:50  GREturnkey.com has many of the best income property SFHs. 38:25  Ask: “Mr. Manager, what would like to manage?” 40:40  SFHs have less tenant turnover than apartments. 43:10  SFHs is where you typically start. 45:46  “Leaving a trail behind” with 3.5% down payment FHA loans. 48:30  David’s free e-book at HassleFreeCashFlowInvesting.com. Resources Mentioned: HassleFreeCashFlowInvesting.com GetRichEducation.com/Book NoradaRealEstate.com HighlandsMortgage.com MidSouthHomeBuyers.com GetRichEducation.com GREturnkey.com