Epic Real Estate Investing - Your Only Chance for Escaping the Rat Race - Epic Wealth Wednesday | 293

Episode Date: September 13, 2017

Epic Wealth Wednesday challenges listeners to make some choices. Which way is the path to financial freedom? The old way of saving for the pile of cash? Or the new way of generating streams of passive income? Continue to shift your focus and learn how to build an investment portfolio for long-term wealth. Discover how you can dodge the traps that keep most people chasing active income and get more out of life. Realize the power of cash flow with Epic Real Estate Investing and grow Epic Wealth. ______   The free course is new and improved!  To access to the two fastest and easiest strategies to a paycheck in real estate, go to FreeRealEstateInvestingCourse.com or text “FreeCourse” to 55678. What interests you most? • E.ducation • P.roperties • I.ncome • C.oaching Learn more about your ad choices. Visit megaphone.fm/adchoices

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Creditbump.com. That's creditbump.com. And now, back to creating your epic wealth. Now, if you had passive income working for you like it is now for Michelle, what type of impact would that have for you? I mean, if you go back and you think about all of the time that you haven't had passive income working for you to where creating passive income just hasn't been your focus, how much has it cost you?

You know, because right now you've got a choice to make. And I'm going to keep asking you to make choices. That's really my job here. I want you to be better after you're here than you were before you're here. So it's my job to help you make some really good choices while you're here. And here's the choice you have to make. can keep going about creating your financial freedom in the way you've been, or you can try a new way, a way that's actually going to get you there to your financial freedom.

This new way, it's passive income. If that's not the way you've been doing it, that's the way you've got to start doing it now. It's the only way you'll ever escape the rat race. And let's talk some more about that. You know, we talked about a little earlier, the rat race just being a metaphor for, you know, a person's situation, their circumstances in life in which they find themselves. financially trapped, they're stuck. They're out of options.

They've got to get up and do the things that they don't want to do every single day just to maintain their position. I mean, regardless of the amount of effort they put forth, the best they can do, the best that they seem to do, it's just, it stands still. Because those financial obligations that we collect over life, over a lifetime, you know, like mortgage and rent and cars and Dr. Bill, student loans, daycare, insurance, all that stuff.

And countless other expenses, the list is seemingly endless. All those expenses can render us enslaved to our jobs. As I previously mentioned from Forbes magazine, 56% of Americans say that they have less than $1,000 in their checking and savings accounts. Combined. 76%. 3.4ths of Americans are living paycheck to paycheck, and they're at serious risk of financial absolute destruction

should the slightest thing in their lives go wrong. And the highest paying jobs of society, it's not enough to escape. No, it's not about getting a better job. And what happens there is a result, people tend to stick with jobs that they dislike for their fear of jumping out of the frying pan into the fire. You know, with very few exceptions, it's our pursuit of active income.

that keeps us in the rat race. It's the pursuit of active income that has us enslaved. It's passive income that will enable us and empower us to escape. As I start at the top of every show, you just don't have a chance at any sort of financial freedom, any sort of financial freedom, unless you do figure out how to create passive income and maintain it. So why the challenge, though? Why is it so difficult? Why do so many people struggle with creating passive income? Well, we really don't have to look any further than our mindset, really, than our personal definition of wealth, what our idea of wealth is.

You know, most of us were raised thinking to be wealthy meant that you just had this big pile of cash somewhere. That's what wealthy was to us. Now, that may have been true a while ago. Actually, it's been some time ago now when that was true. But without getting too deep into the economics, In a nutshell, it's like this. In 1974, when President Nixon took us off the gold standard, took the U.S. dollar off the gold standard, it essentially guaranteed inflation.

And it was from this day forward that the pile of cash people started to lose. Because it's inflation that now causes savers of money to actually be losers of money. They changed the rules on us. they pulled the rug out from underneath this and then they never told us you see those today that work work work and save save and accounts like 401Ks IRAs and other qualified retirement accounts

they're in for a very rude awakening when it comes time to do the retirement math so here's the question if saving money is a losing strategy what is there to do it's actually very sense simple. You need to do only one thing just one time. Just shift your focus from making piles of cash to creating streams of cash. Make that one shift just one time and support it with correlate action

and these new rules of money are going to work for you in your favor. You don't even need to know what the new rules are. It's just going to work indirectly. Let me explain. You know, it's rather ironic that we're all taught to save a giant pile of cash with the end goal, the end game being creating a stream of cash. That's the ultimate goal. We're just taught to go about it in a funky, weird way. We're taught to go to school, get good grades, go to college, get a good job, work, work, save, save, we'll live below our means, clip the coupons, buy used cars, don't take on any debt,

limit our trips to Starbucks because, you know, those daily lattes, they add up. We're basically told to wait to live our life until our pile of money is so high that it can then spin off a residual income, a passive income, a stream of cash, of which will then allow you to live later, right, around the age of 65. Once the best and most active, most productive years of your life are behind you. That's what we're taught. No, it's what we're taught. No, it's what we're told to do. And 99% of the population is failing with this approach. And I'll show you in a minute. But for now, let's try a different approach. Rather than focusing on the pile of cash to create the stream of cash, let's flip that equation. Let's flip it around and focus on the

stream of cash to create the pile of cash. So we're not going to do the pile of cash to create the stream of cash. We're going to do the stream of cash to create the pile of cash. And what you get, you get the same result, but way better. Meaning, you still get to live later in life at 65. You're still going to have everything you need to survive then. But you also get to live now. After all, when is life happening? It's happening right now, right?

Here, per the Department of Health and Human Services, when it comes to today's 65-year-olds, 54% of them, more than half of them, are dependent, either on their church, their family, or their government to subsidize their living. 36% are still working. Yep, they're still working. 36%, more than one-third of today's 65-year-olds are still working.

And we know what types of jobs are available to 65-year-olds, right? 65-plus-year-olds. You know, may I take your order? Or, welcome to Walmart. Those are phrases that come to mind. 5% no longer with us. They're deceased. Some people consider them the lucky ones.

4% actually do manage to achieve a status of financial independence. But don't get too excited there yet. Not about this 4%. Because per the government's definition of financial independence, all that means is that your investments will spin off a minimum of $36,000 a year. $36,000 a year. That's financial independence per the government. There aren't too many places left in the United States where $36,000 a year translates to independence.

Now, the last piece of this pie, if you've been keeping track, we've got 1% left. This last piece of the pie belongs to the 1%. Only 1% of our population that hits the age of 65 are considered wealthy, having a net worth of $5 million or more. And I'm going to show you what they did to get there in a minute. But the point I want to make to you by showing you this or sharing this with you is that 99% of our society is failing financially. And the reason why is that they're playing by the old rules of money.

So now you know the difference between active income and passive income. You now know that although passive income is not entirely passive, it's still better than active. You know the new rules of money, and you now know if financial freedom is to ever be yours, you have a little option other than to create passive income. You've seen how those that don't do it, you've seen how they end up financially dependent.

But again, I'm not concerned with them. I'm more concerned about you. And I ask you again, if you had passive income working for you right now, what kind of impact would that have for you? If you think about all the time you've been pursuing piles of cash instead of streams of cash, how much does that cost you? You know, right now, you have a decision to make.

And it's my job, like I said, you know, every time we get together to help you make a couple really good decisions. And the next decision here is, are you going to continue to focus on building piles of money? Or are you going to shift your focus to creating streams of money? Are you going to keep playing by the old rules or the new rules? The old way or the new way? The new way, right? Yeah, absolutely. And for right now, all I'm talking about is a shift in focus. That's all I'm talking about. Life isn't going to change overnight with just a mindset shift. And I'm going to get to what there is specifically to do. But what I'd like you just to consider right now, is work full-time on your active income for now,

and part-time on your passive income. Do that, and it won't be long before the two are reversed. And that's how you will exit the rat race. So what did you notice here? What did you learn? What would you like to share? And I think the big takeaway here is if financial freedom, financial independence,

a life of options, escaping the rat race, whatever you want to call, it goes by all kinds of things, if you aspire to having more free time to do what's most important to you in life, you just don't have a chance unless you do create passive income for yourself. And the more you create, the more free time you will have. There's a connection there. Passive income, it's the only road to financial freedom.

Now, the vehicle you choose to travel that road, that's another conversation. Because you do have options. There is more than one way to skin this passive income cat. And we're going to discuss those options right after this. Do you have doubts about your current plan for retirement actually panning out? Imagine revolutionizing your retirement plan so that it pays you right now. And in retirement. Change one thing one time and that revolution can be yours.

That's bad news for Wall Street. But great news for you. We are cash flow savvy and we'd like to offer you free information that will show you how one simple tweak can cause your retirement plan to pay you right now. And in retirement, and it's yours for free. For the secret your financial planner doesn't want you to know, go to cashflow savvy.com. That's cashflow savvy.com. And now, back to creating.

Your Epic Wealth. All righty, now that you know the road, the road to financial freedom, the only road to financial freedom, that passive income road, let's talk about the vehicle that you're going to use to drive that road. Imagine this. It's late night. You know, it's just you and the computer. The rest of the family is upstairs or fast asleep.

So you got CNN money playing in the background. You got that on the TV playing in the background. You're kind of half listening to it. And then you're also half searching, going through Google, looking for a viable means of generating passive income. Because you're getting the idea and you're all about it. So you're ready to go that direction. And while you're going through Google, you're seeing articles about dividend yielding stocks. You're coming across articles on how to start an online business.

You're seeing lots of articles on rental real estate. You're seeing others on getting rich with vending machines and coin-operated laundromats and car washes. And it's all feeling a little overwhelming. And it certainly can be. Because if you get this part wrong, you can blow a lot of time, wasting the little extra time you do have. You can run through your savings before the ROI ever kicks in. And it doesn't take long before it starts to cause tension. between you and your spouse.

And then you start to wonder if you're ever actually going to figure out how to create passive income. And that underlying fear is that you could be enslaved to your job forever. Oh, with a horror, right? All you really want is to know which vehicle is going to get you to where you want to go

and get you there in the time you want to get there. And you'd prefer to start receiving a return on your invested time and money right away. I mean, at the very least, you want to see some results of your efforts. You want to see some results. You want those results to give you the confidence to stay the course knowing that the streams of passive income are in your imminent future. So you can eventually take your foot off the gas a little bit.

And ultimately take your foot off the gas entirely. So there are many ways to create passive income. That's the great news about this. but they all really, as many ways as there are, they fall into really three major categories. We've got royalties, we've got business ownership, and we've got dividends. And a few examples include rental income from properties, properties specifically that other people manage and repair. You've got royalties from books and music and other creative works. You've got income from businesses you own but don't operate.

You've got inventions that you could license. You got vending machines, laundromats, automated car washes, and other hands-off enterprises with, you know, one or two employees maybe. You've got peer-to-peer lending, and you've got dividends from stocks and other income-oriented market investments. So if you've got three million bucks lying around and you invest in stocks with a 4% dividend payout, you're going to make a cool $120,000 per year in passive income. There's your six figures right there. You just need $3 million, a pile of $3 million. Put that in a nice conservative dividend-paying stock at 4%. And you've got your six figures.

Now, if your name is Bon Jovi, hey, you've got those songs you wrote, remember? You give love a bad name and want a debtor alive. Those are certainly going to keep that passive income rolling in, right? Or if you say you're that guy that created Napster who helped from behind the scenes also create Facebook. Say you're that guy. You know, that roaring river of income isn't stopping any time soon. Or if your name is Myles Cyrus, at age 65, you'll surely still be collecting royalties for... Actually, we'll go ahead and we'll stop there.

I think you get the point. Real estate, that's my primary passive income vehicle. And I didn't choose it solely due to my flagrant lack of guitar and twerking skills. There are more compelling reasons than just those. But because I've built my freedom from real estate doesn't mean. I'm against the other avenues listed? No. I mean, everything I mentioned are actual vehicles for creating self-sustaining wealth,

passive income, and overall freedom. Now, they all have their own timelines, and of course, some have an element of timing, and each carries its own risk profile, but sooner or later, with focused effort and some patience, they'll all get the job done. I mean, I even dabble in a few of them myself. But real estate was my first choice.

And if I were to start from scratch, it would still be. It would still be the first place where I'd get started to begin creating passive income. But Matt, real estate, that's not passive, is it? Uh-uh. I mean, you still have to buy the house. You got to fix it up. You got to manage it. I mean, that takes work.

Yeah, I get that all the time. I get this question all the time. And I'm going to address that shortly. Don't worry. But let's look at why I would choose this as my passive income starting. point every day of the week and twice on Sunday. Overall, this is why. It's the most dependable vehicle.

It was the most dependable vehicle for me, and it is the most dependable vehicle for you. And here's why. Number one, we talked about this a little earlier. It fulfills one of man's basic needs, the need for shelter. And it's the most important bill that people have each month. They don't want to let go of that shelter. So that's the bill that gets paid first. And unless the need for a roof over our head

somehow goes out of style, somehow goes out of fashion, we all become accustomed to living under the stars if that happens. Unless that happens, the passive income derived from this need will provide sustainable passive income for not only you,

but your future generations. And their future generations. Two, the demand for shelter is not only in place for the foreseeable future. The demand is here, but it's also growing. And this is what I mean by that. Each generation, it's bigger than the previous. You know, the millennials who are just entering home buying age

are the largest cohort in history. And don't forget the baby boomers. No, we can't forget them. They are still healthfully walking the earth, expected to live at least a decade longer than their previous generation. And more babies were born in 2007 than any other year in history.

And it won't be long before, they too are looking to seek shelter of their own. You know what they call that? They call that a crystal ball. Demand for housing, it's here to stay. And it's going to be growing. That demand is going to be growing long after we've created our own wealth. And long after we've passed that baton down to our other generations.

You know, with built in demand like that, there's no better investment or business to be in. Number three, unlike dividend yielding stocks and bonds, real estate, it's controllable. You know, one of my more favorite aspects of real estate is that you have control. It's real. It's not just a number floating out there in cyberspace somewhere. No. It's a tangible physical object that can be altered or improved instantly. Buy me.

By you. I mean, I can improve the income. I can improve the property. I can change its use. I can force appreciation on real estate. Try doing that with a stock where you're nothing more than this passenger, this passive passenger. With real estate, you're in control. You're at the wheel.

You're free to steer that in any direction you wish. And if all of this isn't a number, enough, there are five more reasons that very few of the aforementioned passive income alternatives can offer. And none of them offer all of these benefits like real estate does. Making real estate the ideal vehicle to drive to financial freedom. And we're going to go over those next week, along with the rocket fuel to fill your tank with. That's going to get you to your financial freedom goal faster and easier than any other option available. I'll see you next week as we continue to create your epic wealth. If opening up your financial statement each month is about as

exciting as watching paint dry. The Epic Wealth Fund may be the next investment opportunity for you. The Epic Wealth Fund invests in distressed real estate and shares the profits with its shareholders. If you're an accredited investor who has already enjoyed success elsewhere in their business or investing life and you're seeking a broader exposure to real estate in your portfolio on a passive basis, the Epic Wealth Fund's executive summary is available for your review. Go to EpicWealthfund.com to review the fund's executive summary. Epicwealthfund.com

Real estate investments involve a high degree of risk. Residential income and returns may vary and are not guaranteed. Past performance has no indication of future performance. Nothing herein shall be construed as investment, tax, legal, or accounting advice. This podcast is a part of the C-suite Radio Network. For more top business podcasts, visit c-sweetradio.com.