Yes, I am capitalizing on the Donald's popular campaign slogan. After all, Donald Trump didn't get rich buying bank CD's did he? He did it the old fashioned way by buying real estate. Big real estate in his case. No matter which side of the political fence you are currently on, thinking about changing to, or running away from all together (it is kind of a mess isn't it?). I am also a strong believer in buying real estate to beef up your net worth for the long haul, which for some of you might even take you close or over the 100 year old mark in total years you and your survivors hold a property.
Originally, starting in the insurance business, I gained a pretty good handle on mortality and so far - we are still going the right direction with people living longer each time an official U.S. mortality study (leading to published tables) is performed . In fact I have an Arizona client less than 2 years away from the Century mark. And, she still lives on her own. In fact, just a few years ago, I helped ghost write her own book telling her life story from Armistice Day 1917 up until age 94. And her assets maintain her lifestyle even now because she made two very important decisions on real estate during her lifetime.
First, she decided early in life that buying a home made a lot more sense than renting one. And her Midwestern home was bought during peak earning years in professional secretary work. It provided for a nice nest egg of cash and also paying cash for her Arizona retirement home bought in the 1980's. Now, that home has risen to a nice value and though she hasn't had to sell it to find money to live on, it still provides that option should the need arise. The point is simple - just living in a home may bolster your net worth enough in life to retire and NOT have to go get a job at Walmart in order to pay your bills when you become a Senior Citizen.
My own son has lived in his first home purchase less than two years and yet he made over 20k in increased home value just by sleeping and living there! And, he is in that generation of young men that the stats are telling us are more inclined to want to rent a home or "pad" instead of buying one. Nothing has changed, buy a property to live in and if you can, buy a property big enough that it allows you to rent a room out if possible at least for awhile. That way the renter helps pay your own mortgage payment each month. Though you have to report the extra income on your taxes, the extra deductions can often offset that income nicely. So your net cash flow remains very positive.
Mr. Trump says America isn't great anymore. I tend to agree at least in part, that our politicians are not helping the cause much lately. I find it sad so many young urban professionals accept being holed up in an apartment. Or a fancy 10th floor downtown rental that is costing an arm and a leg just to pay for. And guess who is smiling on that deal? Of course it is the landlord/s. If you have to raise the down payment, move back in with Mom and Dad for a while to raise down payment money. That's what my son did and it worked nicely. Cash accumulated quickly in just 6 months making it possible to buy his first home and we used the "conventional" mortgage to avoid FHA fees. His mortgage did require a higher 5% down payment, but by living back at home just a few months, he gained an extra 2% of equity over the 3% down FHA loan and avoided complicated requirement and additional government fees. It was a smart move in more ways than one..
Let's Make America Great Again by embracing real estate as your first option, not your last, to get ahead slowly but surely with real estate. History proves, nothing has worked better. And as soon as you get equity in your home purchase, don't forget to use a tax smart real estate agent like me to assist you in buying your first rental that will make you smile when those foolish renters line up in long lines here in Arizona to rent your home at top rental dollar rates!
Join Mike's "Make America Great Again By Buying Real Estate" campaign. Call me at 480-345-1616 to get the ball rolling.