Category: leverage
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Why your housing costs should not exceed 25% of your take home pay.
A lot of people need guidelines in life to help them know whether or not they are doing what they are supposed to do. Or put another way, the way that will help them be successful. The 25% rule is one that many of the financial experts use. But where does it actually come from?…
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Deal Deep Dive: Is it cheaper to rent or to buy a home?
A question that is debated quite often: Is it better to buy a home/apartment or rent? Financially speaking it is way better to rent a home especially if you don’t plan on living there longer than five years. But if you are looking to start a family or raise a family and are looking to…
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More bad news for your hard earned money!
I don’t want you to think I am an expert on this subject. However, I do follow it enough that I understand what is going on and what the consequences are if the US Dollar is no longer the worlds reserve currency. Earlier this week Russia and it looks like Saudi Arabia will soon follow.…
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These are extremely rare in baseball and in real estate investing.
Recently, I was talking with another real estate investor about our rental portfolios. And like all real estate investors, we love to tell you about a deal we bought. As we were talking I made the statement that I have yet to hit a homerun on a deal. They have all been base hits that…
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5 Attributes of great Real Estate Investors
I have watched over the last 15 years of my real estate investing career the different attributes in myself as well as others and what made me and them successful real estate investors. Some of these I may have had pieces of naturally, however, I have had to continue to develop and grow in each…
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If you are a W2 employee you need to get you some of this now
Half of your money is going to taxes. If you don’t believe me, add it up. I am not just talking about on your paycheck. W2 employees pay the most taxes. Regardless of your effective tax rate and marginal tax rate, W2 employees pay the highest percentage of their earned income in taxes. And that…
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Leverage: Good or Bad?
Leverage is one of the most powerful tools we as humans can use. Think about it. With the right amount of leverage a person can move a large boulder weighing hundreds and even thousands of pounds by themselves. When it comes to business and finance and most specifically real estate, leverage is the way individuals…
Pennies into Fortunes 