Epic Real Estate Investing - Treasury Boss Confesses: Your Home Will Pay America's Debt | 1495

Episode Date: June 9, 2025

Treasury Secretary reveals how the government plans to use property owners' wealth to address America's $37 trillion debt. The proposed strategy involves inflating asset prices, which leads to higher property taxes and capital gains taxes, ultimately using citizens' property to stabilize debt-to-GDP ratios. The episode outlines four methods the government might use: the inflation tax, assessment traps, forced sales, and leveraging mortgages. It also offers strategies to hedge against these potential risks, such as challenging property tax assessments, maximizing homestead exemptions, investing in rental properties, securing cheap debt, and leveraging inflation to reduce debt. The episode emphasizes the importance of real estate investment and diversification into assets like gold and Bitcoin to protect oneself from financial exploitation by the state. BUT BEFORE THAT, Matt talks about why printing money sounds like a solution—until you realize it’s quietly destroying your savings. About that thing we're doing in Vegas this month: https://intensive2025.com/ Learn more about your ad choices. Visit megaphone.fm/adchoices

This is Terio Media. Hey, strap in. It's time for the epic real estate investing show. We'll be your guides as we navigate the housing market, the landscape of creative financing strategies, and everything you need to swap that office chair for a beach chair. If you're looking for some one-on-one help, meet us at rei-aise.com. Let's go, let's go, let's go, let's go, let's go, let's go.

Let's go. Everyone's betting the U.S. won't default. They'll just print more money, right? But what if I told you that's exactly why your savings are in danger right now? You keep hearing it on the news, in the comments, at the bar. America can't default. We control the money printer. That's the story we're sold.

Sometimes not defaulting is the most dangerous thing a country can do to its citizen savings. Just last week, I watched a viral video. Investors are betting on a U.S. default. In the comments section, total chaos. Some people are convinced that we're about to go full Weimar Republic, hyperinflation, total collapse. Others are laughing it off. Don't worry, the Fed can print their way out of anything. But if you actually look at history and you look at what's happening right now, there's a third outcome nobody's talking about.

And it's the one that destroys more wealth than an actual default. So let's break this down. Yes, if you owe money in your own currency, you technically can't default in the traditional sense. But if you solve the problem by printing a ton of new dollars, you don't get a dramatic U.S. default headline. You get something way sneakier. Currency debasement. Your bank balance stays the same,

but what you can buy with it falls off a cliff. It's a default by stealth, and it hits everyone holding cash, bonds, or fixed income the hardest. Think of your bank account as an ice sculpture in the sun. It looks the same for a while and then it's gone. But what happens when this stealth default goes unchecked? Look at Weimar Germany. By November 1923, one US dollar was worth over 4 trillion marks.

Argentina saw inflation hit 5,000% in 1989, with peak rates over 20,000%. Zimbabwe recorded 300% annual inflation, according to the IMF. Even here in America, the 1970s saw massive currency debasement. Nobody called it a default, but ask anyone who lived through it, it felt like one. What cost $1 in 1970 costs over $8 today. That's not just inflation, that's systematic wealth transfer. And what caused the 1970s crisis? Energy price shocks.

Sure, but the real damage came from the government's response. Print money to maintain spending while supply chains broke down. Retail energy prices jumped 26% in just six months during the first oil shock, then 56% during the second one. Sound familiar? Our national debt just hit $100,000. 24% of GDP. The only other time we were leveraged this much was World War II, when we peaked at 119% in

1946. But back then, America was young, growing, and had a post-war economic boom plan. We also had something else, tax rates that actually addressed the debt. Top marginal rates hit 94% by 1944. That's how serious previous generations were about paying down wartime debt. Now, we're running deficits as if we were. were at war, but all we're fighting is our own appetite for spending, and perhaps each other. The Congressional Budget Office projects federal debt will hit 156% of GDP by 255. That's

$108 trillion growth from $30 trillion to $138 trillion. The government solution? Keep the checks rolling. Keep printing. Hope the world keeps buying our debt. And when that fails, guess who pays? The guy with dollars sitting in the bank. That's why investors are piling into default insurance. U.S. sovereign credit default swap spreads jumped from 0.3% in 2022 to 4% by April of 23. One year CDS spreads hit 52 basis points from just 16 at the start of this year. Smart money is hedging against exactly what I'm talking about. Let me ask you, do you feel safer with a pile of cash in your bank right now? You shouldn't. When governments print, they don't send you a bill. They just let prices climb and hope you don't notice.

savings erode quietly every day. It's what Milton Friedman called taxation without legislation. And in a real crisis, those who only held cash got wiped out while asset owners survived. So who comes out on top? It's never the average guy. The winners are the ones holding real assets, property, productive businesses, income generating real estate. Why? Because as the dollar falls, their assets rise in value. It's the classic heads-eye win tells you lose game. and you need to get on the right side of it. I'm seeing this play out in real time. I mean, the comments are loaded with people panicked about inflation.

Some are calling for gold. Some are screaming Bitcoin is the new insurance. A lot of people just want a clear, simple answer. What do I do to protect myself when no default just means slow motion wipeout? After 20 years in real estate and helping people navigate these exact situations for the last 16 years, I can tell you what the smart money does. They convert dead cash. into income-producing assets.

They use fixed-rate debt smartly. If you can borrow at a low locked-in rate, then inflation becomes your friend. Your payment stays the same while the dollars get cheaper. Smart investors lock in 30-year fixed loans and use rental property depreciation to offset taxes. Something Wall Street quietly uses every day. But most people get this completely backwards.

You see, when markets are booming, everyone wants to learn how to invest in real estate. When headlines suggest the market might be shifting, doesn't even have to shift, just cause a little bit of doubt. We see the number of people reaching out for help diminished dramatically. People essentially don't want to get back into real estate until prices are high again. They won't say that, but that's what their actions dictate. They ask questions like, how's the market? You see, what they're really asking is, are prices going to go up?

Which nobody knows for certain. But just asking that question reveals they're thinking about real estate. all wrong. They're focused on just appreciation, which is only one of for-profit centers in real estate. And honestly, kind of the smallest reason to get involved. Think about it like supply and demand with collectibles. If Pokemon cards are expensive, you don't buy them. If they're cheap, you load up. People get that concept with everything else in life, except real estate. Like when someone says, my water heater blew up, there goes my cash flow for the whole year. They're missing that three other profit centers are still working for them, compensating, and then some for that repair.

You've got appreciation, sure, but you also have cash flow from rent, you have tax deductions and depreciation, money you get to keep that you'd otherwise pay to the government if you didn't own that real estate, and you have amortization, where the tenant literally pays down your mortgage for you. There's no other asset class where someone else buys the investment for you. None. And when you add leverage to all for-profit centers, you multiply returns in a way that's simply not available to average people in any other investment. So why are most people still terrified of real estate right now? This is exactly why real estate works so well in inflationary environments. While your cash loses purchasing power, your fixed-rate debt gets cheaper to pay back.

Your rents adjust upward. Your property values rise. And your tenant keeps paying down your loan with increasingly. cheaper dollars. You're literally positioned on the right side of the currency debasement that's happening, whether we call it a default or not. Look, I get it. Real estate can feel complicated. There are a lot of moving parts sometimes. Most people just, they don't know where to even start, what type of property to focus on, or how to structure deals properly. And that's normal. I've been doing this for two decades, and I still learn something new with every transaction I do. If you want to

figure this out, you're going to need to get serious about it. the economy is going to keep doing what it's doing. You can position yourself to protect your wealth, or you can hope your savings account somehow beats systematic currency debasement. I happen to be meeting with a small group of investors here in Vegas this month, usually about six to ten people, and we spend two days in my office going through exactly how to position yourself properly for what's coming. It's not a seminar or anything formal like that, no.

More of a working session where we map out specific plans. plans based on each person's situation. We call it getting your real estate investor DNA code. Basically a personalized roadmap that fits your personality and your circumstances. No two plans are alike. They're unique to the individual. So if you're serious about this and meet some basic qualifications, if you got a decent credit score, no recent financial disasters, and most importantly, you're ready to actually take action instead of just thinking about it.

There's a link below in the description with all of the details. Hey, and if not, that's fine too. Just make sure that you're doing something to protect yourself. This economy isn't going to suddenly start favoring people who keep all their wealth in depreciating dollars. The choice, it's yours, and you know that. But choose quickly, because while everyone's debating whether we're going to default or not, the real wealth transfer, it's already happening. Do you think a U.S. default is possible or is inflation the real threat?

Hope is not a financial strategy. Let's get back to work. The Treasury Secretary just went on live TV and accidentally revealed exactly how the government plans to use your property to solve America's $37 trillion debt crisis. So what we've seen under the past four years, and what we inherited, I inherited 6.7% deficit to GDP, which was the highest deficit when we were not at war,

not in a recession. So we've been trying to bring down the spending, and we are going to grow the revenue side. So we are going to grow the GDP faster than the debt grows, and that will stabilize the debt to GDP, which even Secretary Yellen and I agree is the most important number. And if you don't understand what he just said, you're about to get financially destroyed. What you just heard wasn't some random politician making promises. This was the Treasury Secretary revealing how they're going to make you pay for the government's debt problem. We're going to grow the GDP faster than the debt grows. When he says grow the economy, he means inflate asset prices.

When asset prices go up, guess what else goes up? Your property taxes. Your capital gains taxes when you sell, your cost of living. They're not growing the real economy. They're growing the tax base. And your property is the biggest target. on their list. Let me show you exactly how this works. You see, there are four ways they'll use your property to pay their debt. Method one, the inflation tax. They print money. Your house goes from

$300,000 to $500,000. Sounds great, right? Wrong. Now you owe property taxes on $500,000. When you sell, you pay capital gains on $200,000 you never really made. It's fake money, but the taxes are real. Method 2. The assessment trap. As home values rise, local governments reassess your property. Your $2,000 annual property tax becomes $4,000. You can't pay? They force a tax sale. And guess who buys your property cheap? Government-connected investors. But here's the part that should make you furious. Method 3. The forced sale squeeze. Higher property taxes force people to sell. Every sale generates transfer taxes, recording fees, and resets the property tax at current inflated values. The government wins three times on every transaction. Method 4. The Banking BAPD door. Your mortgage is

backed by government agencies. When they inflate the money supply, banks can lend more against your property. More debt secured by your home means more interest flowing to the financial system that funds government debt. Your property isn't just your asset anymore. It's collateral for the national debt. And I know this could sound kind of hopeless, but there is a way for you to get out. But you've got to understand that this isn't a theory. They've done this before. Remember the 1970s? If you don't, here's what they did not teach you in school. Home values doubled. Sounds amazing, right? But property taxes tripled. Mortgage rates hit 18%. Millions of families lost their homes, not because values went down, but because the carrying cost became impossible. The government

collected massive property tax windfalls while families got destroyed. Someone in the comment said, at least my house value will go up. That's exactly what they want you to think. In Weimar, Germany, people owned houses worth millions of marks, but a loaf of bread cost a billion marks. Your property value means nothing if you can't afford to live in it. Here's the pattern. Inflate asset prices, tax the gains, force sales, repeat. Your property becomes a government ATM machine. And it's starting right now. Let me show you how each scenario drains your wealth. Scenario one, the growth plan works. Tax cuts create a boom. Property values soar. Your $300,000 house hits $600,000. Congratulations. You now owe property taxes on $600,000. When you sell, you pay capital gains

on $300,000 of fake gains. The government just doubled their take from your property. Scenario 2. Inflation takes over, and this is most likely. They print money to fund the debt. Your house doubles in price, but so does everything else. You're not richer. You're just paying higher taxes on inflated values while your purchasing power shrinks. Scenario 2 is already happening. And here's the proof that nobody's talking about. Average property tax bills have increased 30% in the last three years, not because of new services, because of inflated assessments. They're already using your property to pay their bills. Now, scenario three, economic crisis. Values crash, but property taxes stay high based on old assessments. You're underwater on your mortgage, but still paying taxes like it's worth peak value. If you can't pay, tax sale. Government wins again. So here's how to protect yourself from becoming their ATM machine. And I know you're thinking, hey, there's nothing I can do here. That's what they want you to believe. But here's the truth. Strategy one, the assessment challenge. Fight every property tax increase. Most people never challenge assessments.

Those who do win 60% of the time. Make them prove your property's worth what they claim. Strategy two, the homestead advantage. Max out every homestead exemption in your state. Some states cap property tax increases on primary residences. Use every protection available. Strategy three, the real estate investor flip. If you can't beat them, join them. Buy rental properties with fixed rate mortgages. Let inflation make your debt cheap while tenants pay the inflated property taxes. In the comments yesterday I read, the system is rigged against regular people. You're absolutely right, but here's how to rig it back in your favor. Don't just own your home. Own income producing real estate. Make the inflation tax work for you instead of against you. They can cut spending. They won't

default and they can't stop printing money. So they're going to use your property wealth to make the debt look smaller and you can do the same thing with income property. Smaller scale, but same game. And it's the only way to win in this system. The Treasury Secretary just revealed their playbook. Now, I'm going to show you mine. It's the same strategy used by the wealthiest people that I know when governments try to steal their wealth. It's called the exploit and escape strategy. How to win while they drain everyone else. Step one, hedge with gold and Bitcoin. Remember what I said about Weimar, Germany?

People who held paper money got destroyed. People who held real assets survive. You don't put all your eggs in one basket. You hedge. Gold represents 5,000 years of stability when governments collapse. Bitcoin, the anti-dollar that can't be printed into oblivion. So allocate 5 to 10% of your portfolio across physical gold, cold-stored Bitcoin, and maybe some gold-backed ETFs.

Here's the key. Gold doesn't go up. The dollar goes down. And they just told you the dollar is going down. Step two. Flip your thinking about debt. Most people fear debt. The wealthy use it as a weapon against inflation.

Bad debt buys liabilities. Good debt buys cash flow. When they inflate away the debt using your property taxes, you can inflate away your debt using the same strategy. Get long-term fixed, low-interest debt to control assets that pay you monthly. Step three, secure cheap debt while you still can. Remember those three scenarios that I showed you. In all of them, credit gets tighter and more expensive.

But right now, you can still get access via seller financing, subject two deals, wrap-around mortgages, zero percent business credit cards. Check it out at loophole lending.com. It's not for buying property, but maneuvering to buy property. Lock in credit before the system locks you out because when this debt crisis hits, banks won't be lending to regular people anymore. Step four, buy income producing real estate. Here's where you flip their game against them. They want to use your property to pay their debt.

Fine, you use rental properties to pay yours. Real estate gives you rising rents, inflation protection, leverage, control big assets with small money, and tax breaks, legal wealth protection. Look for small multifamily properties, single family homes and landlord-friendly markets, creative financing deals. That's how you pull it off. If it cash flows now, just wait until you refinanced later or watch your debt disappear completely during their collapse. Step 5.

Inflate your way to wealth. Here's the real cheat code they don't want you to know. Inflation makes your debt cheaper and your assets more valuable. Buy your assets with fixed rate loans. When inflation says, spikes and the Treasury Secretary just told you it will, you're paying back that loan in weaker dollars while your rent and property values go up. That's how wealth is built quietly while everyone else gets crushed. And if the dollar collapses hard and fast, like if they reset the dollar's

value, and this is another possibility like Russia in 1998, Turkey in 2005, Zimbabwe in 2009, and Argentina just last year. If it were to happen here, your gold spikes, your debt shrinks, your assets survive. What once took a pound of gold to pay off today might only take an ounce to pay off tomorrow. That's the exploit and escape strategy. The Treasury Secretary just told you exactly how they plan to use your property to pay their debt. So the only question here is, will you be transferring your wealth to them or will they be transferring wealth to you? There's no third option. Be their victim or make them yours. Choose. quick thing before you go, I'm running this weird experiment where I basically pay people to do

real estate deals for them. And then I split the profits with them 50-50. And you can watch this right here to get all the details. And yeah, I know it's probably the most ridiculous offer that I've ever made, but it's working like crazy. And if you're thinking there's a catch, you would be right. I can only work with two to three people per city. So if you're curious, check out to see if your market's still open or don't. It's not for everyone. I'll see you next time. Take care. And that wraps up the epic show. If you found this episode valuable, who else do you know that might too?

There's a really good chance you know someone else who would. And when their name comes to mind, please share it with them and ask them to click the subscribe button when they get here and I'll take great care of them. God loves you and so do I. Health, peace, blessings, and success to you. I'm Matt Terrio. Living the dream.

Yeah, yeah, we got the cash flow. You didn't know, home boy, we got the cash flow. This podcast is a part of the C-suite Radio Network. For more top business podcasts, visit c-sweetradio.com.