I think one of the biggest problems with my students not following through with some of the teachings I provide is that they psyche themselves out before they begin. They believe that the process is much more difficult than it really is so...they end up saying, "Screw it!"
And then do nothing.
But here's the problem with the financial track that you're on now. I don't care if you make nothing a year or $500,000 a year. Without setting yourself up for some type of passive income in the future, you're going to be exactly like that rat on a wheel that you see in a pet store. Running and running and running his ass off until his heart explodes.
Because you won't have the option to stop working otherwise.
And if you're dumb enough to think that Social Security checks or some other "means" of paying you out is going to suffice, you're only fooling yourself. Pensions are ending up in company (or even government) bankruptcies, people are living much longer, and with super inflation on the horizon, expect that you'll be working until the day you drop dead.
Not a very encouraging future, is it?
Here's a better scenario for you:
Say you're only able to snag one small apartment building. Maybe it's only 10 or 14 units. Nothing big. Nothing ridiculously large. Nothing intimidating.
And maybe it only kicks out a monthly cash flow of $2,900 per month, net in your pocket. (I'm working on a deal like that right now which is why I'm using this as an example.)
So, here's how that would play out provided that you listen to me and keep is as a buy-and-hold-forever investment property.
Since I'll assume that you're still working (whether at a job or business), you can sink that $2,900 per month back into the property's mortgage principle. This will allow you to pay off the property in 7 years on average. (Sometimes it'll take 10 years...sometimes 5 years. Depends on what's owed on the mortgage.)
Once the property is paid off, this will give you more on cash flow each month since you're off the hook on paying a mortgage. In the case of the property I'm working on where the mortgage is a million bucks, I'm going to be able to add another $5,400 per month to my bottom line cash flow. Yep, that's a huge difference. However, because what the principle is (a million bucks), it'll take me a little more than 15 years to get to this point of paying off the mortgage early.
But guess what else happens in 15 years?
Rents will double.
So, 2 things are going to occur here. My mortgage will be paid off and my rents will double at the same time. For the building deal I'm working on, this will bring rents up from $1,086 to $2,172 per month.
So, my $2,900 per month cash flowing property (today) will turn into $8,300 once the mortgage is paid off and will rise to about $13,400 per month with the new rents (less the higher expenses/GOE).
How many other retirement plans will you be able to get where you will be getting $13,400 per month in 15 years from now?
But here's the real clincher. In order to get anywhere 15 years from now (except older), you have to start investing today. You can't derive the benefit if you don't do any of the work or acquire any properties. Right? Pretty obvious, isn't it?
Maybe now is the time for you to start. After all, the process isn't that difficult once you know the precise step-by-step strategy that I have laid out for you.
See you at the top!