The Ramsey Show - App - Tell Your Ex-Husband To Pound Sand! (Hour 1)

Episode Date: July 27, 2022

Dave Ramsey & Ken Coleman discuss: Switching to a job you love and making more money, The timing of a career change, Why you shouldn't be business partners with an ex-spouse, Using an inheritance to buy a house (aka bachelor pad), Is now a good time to invest in real estate? Want a plan for your money? Find out where to start: https://bit.ly/3nInETX Listen to all The Ramsey Network podcasts: https://bit.ly/3GxiXm6

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🎵 🎵 🎵 🎵 🎵 🎵 🎵 🎵 🎵 Live from the headquarters of Ramsey Solutions, it's the Ramsey Show, where debt is dumb, cash is king, and the paid-off home mortgage has taken the place of the BMW as the status symbol of choice. We help people build wealth, do work that they love, and create actual amazing relationships.

Open phones here as we talk to you about your life and your money. Ken Coleman, number one best-selling author, Ramsey personality, host of The Ken Coleman Show, is my co-host today. As we answer your questions, the phone number is 888-825-5225, 888-825-5225. Robbins in Charlotte, North Carolina, starting off this hour. Hey, Robbin, what's up? Hi, Dave. Hi, Ken.

Thank you for having me. Sure. What's up? I am currently 51 years old, and I live in my primary home, which I owe $205,000 on. I have a rental property that I owe $115,000 on. I was thinking about selling my primary residence and with the proceeds, paying off and moving into the rental, which I could pay off that house and have no mortgage. I would leave my current job, where I make about $90,000 and find

a new job which I may enjoy more and not need to make $90,000. Does this make any sense? I think it makes total sense. I mean, we got to walk through the financials on this, assuming that you can sell the house at what you believe that you can get for it, and you can move through this. Because if you're sound financially, then moving back in pay to do work that you love, move back and pay just to do something you enjoy at the risk of putting yourself in bad financial shape or putting yourself in, you know, a tight situation is never a good move. So if you've got the margin and you can do it, sounds good to me. So let's play this out. You gave us all the other numbers. I want to ask.

What would be wrong with making 120 000 a year doing something you loved why do you always have to move back and pay to do something you like well that's an assumption well it depends on the job so what's that job that you would look at that would be less money that you love do you know dealing maybe more with animals okay we're how working with animals and how much sounds like you haven't done a whole lot of research on this because the goal is to pay off the house right it's a peace of mind i get that but here's the deal the way you set that up uh is assuming that you can get a job that you really really enjoy and still pays you plenty whatever plenty needs to be And I don't think you have a specific idea in mind,

which means you don't have a plan and you really don't know what that could look like. So I'd have to say, no, this doesn't make any sense until we have a clear destination of what we'd want to pivot into professionally. Because there are times, Dave, there are times if you move completely different line of work where, you know, you don't have the earning potential that you would in another place. But that's not what's going on here. There's no work destination. It's just an idea. I want to work with animals and have less stress.

Because people suck. Yeah, I'll go with that. But you got to know how you're going to work with animals. You've got to know where you would work with them, what it takes to get qualified, how much that costs, how long that takes. There's a lot there that you need to have clarity on before this makes any kind of sense professionally. Yeah, so I'm going to go with ken on that part of it the um yes robin if you want to sell your house and pay off the rental and move in the rental and live debt free that's not a bad idea at all that's an awesome idea uh what i don't like is the assumption that in order to do

something you love you have to make less i do something i love i paid off my house and i made more every year since then every single year for 30 years my income's gone up every single year and i made more in my life than i ever dreamed i would ever make in my life sure and i'm not saying you have to go do that much but um but you know you can work with animals and uh i don't know maybe you become a veterinarian and make $200,000 a year. That's working with animals, so it falls in the bucket. Yeah, it's very expensive to get that. I got it, I got it, I got it.

But I'm just saying this idea that we have to make less to do something we love. Well, I agree with that. That runs around all over the culture, and it just irks me. Yeah, sure, I get that. You ought to make more when you're doing something you love, because you ought to be better at it, more enthusiastic, more productive. Learning becomes fun because you're learning about stuff you want to fool with. Well, I just want to give, and I agree with you, Dave, you're right about the sentiment. However, just for the broader audience here, I've talked to people on our show here and then on the Ken Coleman show where people said, hey, I want to transition from I was in a corporate job and I want to be a teacher.

That happens. So there are times where you're capped as a teacher. There are certain professions where you can't every year just keep going, going, going. You may get some incremental increases. That's the only caveat, and that's what I'm talking about if you're really if you feel like that's what you really want to do and financially you're able to absorb that then that is a case where you'll go do something work you love and you'll make enough money so Robin uh hang on we'll send you a copy of book Ken's book and it'll help you with the clarity part of the process uh from paycheck to purpose read through that but you need to get a clearly defined career path and start asking yourself

the question what have i got to do to do that um because otherwise you may end up making fifteen thousand dollars um you know working part-time in the back of a veterinary clinic uh shoveling animal stuff i mean i don't know i mean that's what could happen if you don't have a plan here you could really right you could really take a dive i mean it could be bad so you really need to have this exactly what i want to do oh and by the way that pays 65 000 and not 90 and then that makes my move into the debt-free rental a lot of sense okay i'm i'll shut up and go with you then but you need to have this very very much clarified neil is in raleigh north carolina hey ne, Neil, what's up? Hey, Dave, how you doing? Great, man.

How can we help? Well, my wife and I are in Baby Steps 4 and 6, and in part to your guidance, we really appreciate that. Cool. My question for you today is about a career path change. So I like the company that I work for. I've been there almost a decade. I make about 75 a year with quarterly bonuses, and that amounts to close to about $100,000 a year. My problem is that there's no real career advancement. I've been available for a

promotion for some years now, being told that I could move up and it hasn't happened. And it seemed to be at a bit of a stalemate. I certainly want more of a challenge. I received a job offer for another company, but it's commission only. And it's not necessarily an investment. You cut out. It's what only? It's commission only. Okay. out it's what only uh it's commission only okay um and uh their advancement plan it's it's a current sale uh field that i'm totally familiar with and um necessarily comfortable with

but i do know that uh that it would be a new challenge and the income potential would be much higher okay cool i'll tell you we'll come back from this break. We'll come back and talk about it. We'll also see if we can get your phone dialed in because whatever it is, it's skipping all over the place. I hope you're not selling that cell phone. That's true. We'll be back in a minute. This is The Ramsey.

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RamseySolutions.com slash events. Now, before the break, we were talking to Neil in Raleigh, and, Neil, it sounded like you had a good job currently making, it was like 150-plus bonuses, was it? About 100,000. About 100,000-plus bonuses bonuses but there were no uh no promotions coming and so you're thinking about jumping to this other place but the problem was it was straight commission and i think that's about how far we got before the break is that right

yes sir okay so what do you think you'll make if you took the straight commission job um i think i would probably start a little bit slow, be a step back based on my calculations, probably about 75. And then up from there, I think I'm pretty good at selling. I'm certainly not selling a cell phone, as you mentioned. But I think I could probably make a good living. I don't know if that's something that I'll be passionate about and would end up looking for another career path. Does it give you the ability to get promoted there?

It kind of has its upper ability, but I'm not quite sure about the structure of it all yet. Have you gone through the interview process, or are you still in the middle of it? I've been given the job offer, but I've actually got a few more conversations coming up with some additional questions. Okay, you've got to dive in. You've got to dive in there. You've got to ask questions like, hey, listen, what is the company's policies or what is the behavior like as it relates to developing people? And if you crush it, opportunities to get promoted. You say it that way.

You don't ask for demands. Just, hey, what's the process like? How does a person get promoted in this company? That's a really good and thoughtful question. And it gives you a chance to kind of look at them in the eye and also process their answer. I would dive into that. The concern I also have, Dave, is Neil, you mentioned, you know, I don't know that I would love the work. And you don't have to always love the work if we're climbing the ladder. Okay, you do what you have to do so you can do what you want to do. That's just the reality. But I would dive in a little bit more. You can get a hold of some people who are probably doing that kind of sales work. Maybe you can talk to some

people who are currently employed there. I would dig in a little bit and go, what's an average day look like? What's an average week look like? And I think you're smart enough to know yourself and be aware, is this something that I'm going to actually enjoy? Just because he's got a lid where he is, Dave, I don't want us to take the first thing that comes our way. We see a lot of regret in this job market where people moved for a paycheck, but they didn't do their whole homework to go, is this a place where I can grow? Yeah, we're seeing like 30% of the people that took new jobs in the last two years

wish they didn't. That's correct. They took it for more money and walked into a toxic environment uh you know crazy these crazy companies doing all this crazy stuff and they walk into one of those things and you know they thought the place they used to work was everywhere and it wasn't and so you got to watch out for that but um so what i'm hearing if i'm getting the details right on neil's situation is you know he's making 100 plus bonuses but he's stuck he's got a ceiling um and he's frustrated with that yep and he should be sure okay uh uh but i'm not sure the right move is to take a straight commission job

that you really don't even know if there's any promotion yet available that's correct and he said it kind of sounded like yeah you can make more money and you just move up but it's up to you you just gotta sell more and so that does not sound like a move that satisfies that scratches his itch i have a lot of questions that's why i really challenge him to dig a little bit more you're right this could be a good job but is it the right job yeah it doesn't i mean okay so you down to 75, but you could make up to 200 someday all on commission. But none of that involved really a promotion. It really just, or working your way or developing your leadership skills or moving up through

leadership or something like that. It just involves selling more. That's correct. So let's say he gets in, as he said, I don't know if I could be passionate about it. So let's just break that down in reality. He gets in, starts making money. Let's say he gets in as he said i don't know if i could be passionate about it so let's just break that down in reality he gets in starts making money let's say he makes 200 but he's bored he doesn't have any juice for what he's selling the culture's not really great doesn't see a great future there you get you get over that paycheck quick he shouldn't take the job i don't think so you know and i'm gonna throw another twist on see what you think of this oh i like this they offered him a straight commission job that's not a hard offer to make you're right

but they are willing to hire a guy who admittedly is not super passionate about this that's not somebody i want to work for they're hiring bodies it's true they're not doing a good job it's absolutely this is the number one because i what went That's not somebody I want to work for. They're hiring bodies. It's true. They're not doing a good job. It's absolutely right. This is the number one fault. What went through my head is I wouldn't hire him if he told us, oh, you know, I'm not super passionate about this.

That kind of is like ding, ding. Then we don't want, you know, we actually want people that are like super passionate. I mean, you know, so we don't hire people that, you know, well, I'm just really looking for a job. You know, you need to go somewhere else, dude, because we don't do that here. We're crusaders. We're mission driven. We're passionate about what we do, all of us.

And you won't fit in around here. And so, yeah, you shouldn't work for them because I'm not sure that they're not just throwing bodies to see what sticks. It's absolutely right. A lot of leaders do that. They're going, hey, we just need to fill the position and not thinking about this. And then the cost of time and money to replace him when he leaves really hurts the company. So you've got to be careful. Don't take a good opportunity.

Take the right opportunity. There's a difference. I've actually kind of – our leadership team in the last three or four weeks has slowed down our hiring here. Yeah, great. we had a lot of positions open and we could still fill them but we started getting worried that we were uh adding people that were not as jazzed and jacked up as they should be well you're right and the data bears this out people have gotten on average about a 14% bump. We've had 48 million people, folks, the last 12 months, 48 million people have changed jobs in this country. Wow. It's extraordinary.

And they're doing it because of, wait, it's my chance to get paid. But here's the deal. If you take a position that you do not have any meaning in the work, there's no passion for it, it doesn't produce results that you care about, We call that mission. And then the check wears off and it will. You'll feel great for a couple of months, but then the buzz of the promotion and the new job and the check wears off and then you're stuck again. I'm telling you, it happens all the time. We're seeing, they're calling them boomerang employees, people that are coming back to, or they're trying to. They're calling their old companies and going hey can i come back yeah well you may have burned a bridge there there may not be a path back well i'll just tell you we have a

policy we we occasionally rehire but so occasionally our actual policy is we almost never rehire and the reason is that the reason you left the first time will be the reason you leave again and i really don't have time for this. I'm trying to get work done. That's correct. And so, you know, the same thing that buzzed you out the door before will buzz you out again. And so there's a few times we've let people come back. Very, very rarely, though.

And some of them have worked out. But in the early days, I was just like, oh, yeah, come on back. I've got a friend that owns a bunch of restaurants. And he goes, I got people who work for me four different times. They just keep coming back. You know, like a server will leave and go to another place, and they'll go around the server horn and end up back at the same restaurant five years later. And he goes, so we just, he looks at me like I've got one eye in the center of my head when I say we don't rehire. Because he rehires all the time.

He doesn't have to spend the time and money we do to train and properly put somebody in there there's certain the restaurant business is two to three hundred percent turnover big time so white wicked wicked business this is the ramsey show Your memories are meant to be relived, not chewed up by the VCR or worn away with time. Converting your old media with Legacy Box stops fading in its tracks, so your home movies are safe forever, and you can trust Legacy Box. I've met the founders. They're right here in Tennessee, and they've helped over 1 million folks protect their memories for a limited time you can get started for just nine dollars a tape at legacybox.com slash ramsey that's legacybox.com slash ramsey Ken Coleman, Ramsey Personality, number one best-selling author, is my co-host today.

Lisa is in Phoenix. Hi, Lisa. Welcome to The Ramsey Show. Hi, Dave. Thank you. What's up? So I purchased a home in March of 2021 for $675,000. I did a remodel of about $200,000 and of that I had a partner, my ex-husband, he donated $157,000 in the remodel. And the intention was that we would sell it in March of 2023, make a profit, do that a couple more times, and then be mortgage-free. So the issue is this month, my ex-husband has decided instead of waiting until March, he wants his money in August. So I have to come up with $157,000. And so my question is, should I take a home equity line of credit out of my current home, or should I sell one of my

investment properties, which I really don't want to do, because I have equity in both of those homes? The home in question, are you living in it i am okay but your game plan your game plan was to sell it next spring yes but the market has been really crazy husband was your husband at the time that this all went together right no no no he was my ex we were just Just business partners. Okay. That's awkward and weird. All right. So I'm guessing then, based on the way this conversation is going, that you two did not do a partnership agreement.

Correct, because he could not qualify. You did this on a handshake. You have no written agreement. Correct, because he could not qualify. You did this on a handshake. You have no written agreement. Correct. So he has no more right to decide he wants the money now than you do to deny it to him legally. Correct. So tell him to pound sand. Yes. Well, he has hired an attorney. So good to court and a lot of money on attorneys. Good. That's what he's going an attorney. Good. He's going to go to court and spend a lot of money on attorneys. Good. That's what he's going to have to do. He's going to use up some of his money on attorneys, I guess.

This is what happens when you're partners with your ex-husband. Oh, my gosh. Why is this not predictable? So what's the downside of selling it now? Not to make him happy because there's nothing in this conversation that now? Not to make him happy, because there's nothing in this conversation that makes me want to make him happy. And both of you ought to have your butts kicked for not doing a partnership agreement that dictates

the actual deal. Because this would have been solved. Right now, it's a complete handshake, and so everybody just gets to freaking make it up as they go. And no wonder you ended up in a disagreement. But, so, what's the downside of selling it now? Why don't you just go ahead and sell it and get out of it?

It would be the capital gains. I wouldn't make the profit on it that I thought I would. And interest rates are twice as high as what I paid before. So I would be getting a much smaller house for probably the same payment. Yeah, but this is not going to change substantially by next spring. I could sell one of my investment properties. No, wait a minute. The reason you just gave me for selling this house doesn't change by next spring.

Interest rates are not going to be back down to 3% by spring. And you're still going to have capital gains in the spring. On a primary home? If it's two years? Oh, you haven't held it yet two years. No. What's the two-year mark? March of 2023.

Oh, that's the deal. Okay. That was the deal. Okay. That was the deal. Okay. And what is his basis that he thinks he's due this money right now when it wasn't the agreement? He wants me to quitclaim the title over to him and him and me instead of just me. And because I won't do that, then he's calling for all of his money back yeah but that wasn't the deal so he just thinks he can just change deals whenever he wants

yeah even if they're handshake deals right yeah so he just makes up crap as he wakes up in the morning and goes i want a different thing right yeah i'm curious do you think he's hurting financially right now uh i think he is um he also has um he's going to get a kidney transplant so i think he's getting worried that um i if anything happens to him in the surgery that i would keep his money okay so you're absolutely that woman I mean you just keep people's money all the time this guy's a clown show man um we have a son together and it would just go to our son hypothetically but you know I wonder if he's

bluffing Dave because he's hurting financially he doesn't want to accrue a bunch of legal fees so you owe 675 it's worth what 1.2 million okay um so here's what i would tell here's what i would tell him number one i would go hire an attorney and i would spend two thousand dollars on that and give somebody two or five thousand dollar retainer and say um okay the first thing we're going to do is we're going to punch this guy's lights out all right let's start with that. And then when he wakes up from getting punched in the face, metaphorically speaking, then what we'll do is we'll say, listen, if you really want out of this, our deal was real clear. House was in my name.

That was our deal. It was going to sell in March. That was our deal. You're freaking out over your kidneys, and if you want to change the deal and you want to be bought out early, you're going to have to do it at a discount. I'll give you $100,000. Okay. And I'll go borrow that on a home equity loan.

Mm-hmm. And then you sit on this puppy and move it in the spring. Mm-hmm. So let me just throw in. I'm going to play Dr dr john deloney for a second this guy's been pulling your strings a lot of years and he kind of enjoys it and you've been letting him get away with it and i'm listening to you acquiesce to him on this call yeah that's kind of what i do yeah instead i think this is the time it changes this is the

time you decide uh-uh i'm done with you by the way you're the ex-husband for a reason because you were this twerp that's why we call you x okay and so you don't get to call stuff in my life you don't get to make up stuff you don't get to jerk me around anymore and oh by the way everybody out there listening don't go in business deals with your ex just there's a reason they're an ex so you know this is a simple simple equation so yeah yeah lisa this is you're just really a sweet person and i'm more pissed off at him right now than you are. And that's weird. So you need to metaphorically double up your fist and throw your shoulders back and say, uh-uh, I'm done. The days of you pushing this little Lisa around is done. So here's what you get, Bubba.

Nothing but an attorney bill. Or if you're freaking out, you want to be a bozo, you want to continue to be a clown show, I'll buy you out for $100. If you don't want to do that let's fight because by the time you get to court it's going to be spring dumb butt you know you're not even going to get your money on any sooner by going to court unless he intimidates your butt with this that's the only way he's getting money this does not go to trial before spring not a chance the courts are all backed up with covid right now it does not go to trial that fast so you need a good attorney and someone that'll give you enough information that gives you some courage and um and you need to put this guy in a completely different box than you've ever put him in before

in how you handle him going forward on issues related to your son. Because other than that, you shouldn't have any further relationship with this guy at all. Yeah, call his bluff. It's that simple. Call his bluff. I think he's bluffing. As you just admitted, he's manipulated you before. You have the leverage.

He doesn't. He's not going to spend any money to fight this in court because he doesn't have a case and he knows it. No one will take it. I don't think he's got that either. That's my point. I'd call his bluff. I'd hate to see you take out a home equity line of credit when you could at least draw a line in the sand and say, no. If you can buy him out at $0.65 on the dollar, I'll buy him out.

Yeah, I get it. You want out early? There's a cost to that. But if you want to stay in the deal, this is what it is. But here's the thing. He's not going to get any money unless you give it to him in any scenario before spring. Yeah. Unless you cave.

Absolutely. That's the line. Yeah. Because he can't get it through courts that fast. This is The Ramsey Show. We'll be right back. number one best-selling author ramsey personality ken coleman is my co-host today open phones at 888-825-5225 austin's in springfield illinois. Hey, Austin. Welcome to the Ramsey Show. Hey, Dave. Hey, Ken.

You guys are rock stars. How are you doing today? Better than we deserve, sir. How can we help? Pretty good. So I'm going to give you a little bit of background. I'm 26 years old, a couple years out of school, just started a new career about three months ago.

Absolutely love it. And I just feel like I have a lot going on in my life right now, and I have an inheritance of about $600,000 that my grandmother left me. She was kind of my Dave mentor before I discovered you, before my roommate showed me your podcast and whatnot. So I'm 100% debt-free, never had debt ever before, and I'm looking to buy a house within the next six to 12 months, and I don't know if I should be looking at the $150, $250, $350 range, if I should put 100% down, if I should try and convert this non-retirement to a Roth. That's where the money's invested. It's invested in a Vanguard Index 500 non-retirement account.

Okay. You can't convert it all to a Roth? Okay. Yeah. Not an option. Okay. So that's not an option. So the only question is how much do you leave invested, how much do you spend on the house?

And, of course, we're going to tell you to pay cash for the house. You knew that. And I got a feeling your grandmother would tell you to pay cash for the house. Yeah, definitely. Yeah. tell you to pay cash for the house you knew that and i got a feeling your grandmother would tell you to pay cash for the house yeah definitely yeah so we'll honor her memory with uh with you with your actions here so whatever price range home you buy um you pay cash for and the rest of this is investments for the future obviously and for other things uh you said you got a lot going on so you got a new job uh you've got this chunk of money that's kind of come at you said you got a lot going on, so you got a new job. Uh, you've got this chunk of money that's kind of come at you and it's a little bit kind of blows your mind a little bit that you got that lay in there as a little bit of a stress around it. Probably like, Oh God,

I gotta, I gotta be careful with this. Right. And, um, so what else is going on? What else makes you a lot going on? Well, I'm newly single and I'm just trying to make the right move with this money. I want to convert it out of that non-retirement somehow, whether that's invested in real estate. I'm a pretty ambitious person. I've always dreamed about getting into rental properties, but I don't know. I kind of did the math on an Excel spreadsheet and it's really difficult to outperform just a regular mutual fund that you know 12 a year unless you're really good at um you know buying at the right price and things like that and i feel like i would only be you know average yeah well i i think the

first thing is you decide on a home you newly single you get been through a divorce no no just a breakup okay all right cool well i i think um you're buying a bachelor pad um yeah so um the thing i would recognize when you're buying this property is that if when you do meet someone in the future and uh they become your wife you will discover that you've bought the wrong house and you get to make you get to trade it in for one that she thinks is a better idea um so this is just for you for a few years here uh probably statistically speaking i'm not saying you have to follow that path but um you know that that so uh buy something that's um uh conservative and that would be easy to resell and that you get some joy out of in the

short term and that could be that could be a condo in a cool location okay i'm more of an acreage kind of guy it could be some acreage then where you got some room maybe a double wide or something uh no no not a double wide no that goes down in value we're buying things that go up in value but yeah if you get some acreage that's fine and a little cabin on it or something that as long as it's something that you can visualize reselling easily it's not such a weird property that it's hard to sell are you handy austin like would you do some of the work and some of this yes future see i wonder dave if if this is a chance for him to go all right i gotta learn how to do this you learned

how to do it buying the right house could he buy something in the 150 or less that has a lot of potential that it's his he's got some acreage it's still the bachelor pad it's not a dump i wonder if he could kind of ease into this because he's paying cash and it becomes an investment property whatever you're going to do pay cash and as far as the investment rentals go later take your time and don't pay full price you don't make money on rental real estate that you pay full price for. It's the returns, as you said. The returns are not good on that. So I simply do not buy investment real estate at appraised value, period. I just don't do it.

I say I don't. There's very rare exceptions. I think one time I did. But the numbers just don't work because your return on investment when you pay cash for it is not great enough to screw with it. You're better off, as he said, to do mutual funds usually. But a well-purchased piece of property, including its future appreciation, including its tax deductions due to depreciation, those three things together called the internal rate of return will far exceed the rate of return on mutual fund. But it's a lot more hassle, too.

Is there a price range? Dave, is there a price range if you were giving somebody advice and they had cash and they did it the way that we teach? Is there a price range where you can get deals right now or is every basic size, if you look at your 1,500 square feet, 25, 35, whatever, is there a price range or a certain size that's a good deal? None at all. Bargains are not on every corner. Got it. You can find a bargain.

You always can find a bargain, but they're harder and harder to find in a market this hot. And the market is, even though it's slowed down, is still very, very hot. Grant's in Baltimore. Hey, Grant, welcome to the Ramsey Show. Hi, how are you doing today? Great, man. What's up? Oh, not too much. So, uh, calling cause I've got a, you know, somewhat similar question,

the way that you turned it to at the end on the, you know, sell real estate on the younger guy and, uh, you know, have a good amount of cash saved up, make it, you know, decent living. I've let a couple of about $600,000. Way to go. Good for you. Yeah. Yeah. So, um,? I've let a couple of about $600,000. Way to go. Good for you. Yeah. Yeah. So, um, and I've let a couple investments, you know, go by that, you know, I live at home with my parents, you know, cause we work out of the house.

And, uh, if I'm going to hold onto the place for, you know, basically forever for the full 27 years of, uh, depreciation, does it make sense for me to buy something now and pay a little bit more and then I'm going to hold on to it and not be, you know, $1,000 positive a month? No. Just because, you know. Okay. That's what we were just talking about.

Don't buy investment property and pay full price for it. Yeah. Take your time. Okay. Take your time. Okay. Now, I'm okay if you're going to buy a home to live in and you pay retail for it. That's not the end of the world.

But, you know, you have nothing pushing you here except just your ambition. Yeah. And so just the money in real estate is made at the buy. That's when you make your money in real estate at the buy and then you collect it monthly and you collect it big time on the resale someday but the money is made at the buy i bought a bunch of stuff in 2008 for 15 20 cents on the dollar and man don't you think i'm smiling right now on that stuff because of what i paid for it because the 2008 crash right i got it was a bar it was bargain city man it was everywhere and um i only turned one of those pieces of property and

it was a dump and it's still a dump the guy that bought it from me it's still a dump it was a nasty piece of commercial but um my son-in-law winston hated that property he manages our property he's like i hate this building so you it's a building you're not allowed to hate buildings it's just a piece of concrete they didn't know i hate this building when i drive near it my heart rate changes i'm like all right let's get rid of it so we sold it but anyway that most of the time you buy it and you hold it but it's even sweeter and sweeter and sweeter, and your cash-on-cash returns, all those kinds of things that you're looking at, are based on the buy.

The money in real estate is made at the buy. So do not pay only by investment real estate where you're paying cash, and do not, under any circumstances, pay full price for it. Just take your time. Yeah. Take your time yeah take your time yeah i you know years ago i was buying ken back in 40 years ago i was buying properties that's what i did for a living then um i was i would buy some from this little local bank and the guy called me up one day and he goes hey i've got a guy that's in a situation he needs to get rid of this house okay

and he goes you know ramsey you're a vulture, okay. And he goes, you know, Ramsey, you're a vulture. And I went, yeah. He goes, but you're the nicest vulture. Oh, the nice kind. So I'm the nice kind of vulture. Right. But I'm always circling, and I'm patient. Swooping into hill people.

I'm just swooping into. Not to eat roadkill. That's it. No roadkill involved. The nicest of the vultures. This is The Ramsey Show. Hey folks, Ken Coleman here. Did you know The Ramsey Show is one of the most popular podcasts in the world? Get your daily dose of advice on life and money. Check out all of our shows from the Ramsey Network wherever you listen to podcasts.