🏠 What's special about REI? (4 things)

Last issue, we got tactical on what to do with the excess cash you’re generating, and you might remember the last step in that “Excess Cash Order of Operations” is to deploy capital opportunistically.

My favorite type of opportunity? Real estate.

I’m a fan of a healthy portfolio where all your eggs are not in the same basket … that could and likely should include things like a stock portfolio, bonds, metals, crypto, and cash-flowing businesses.

But the people who build considerable wealth (and the people who reach financial freedom faster)… take concentrated “smart risks.” 

💪🏼 They followed this mantra: Concentrate to build wealth and diversify to maintain it.

And my preferred concentration is the thing that’s made more millionaires than anything else: real estate.

Why Invest in Real Estate?

Increasing 401K contribution or index funds are solid options with your extra cash, but I like a heavier exposure to real estate for these reasons:

1) RE typically APPRECIATES in value over the long run as do its cash flows (great inflation hedge) 🦔

Since the 1960s, home values have risen 2.4 times faster than inflation. 🤯 

Rents typically keep up with or outpace inflation as well.

2) RE can be acquired with “SMART DEBT” / leverage 🧀

If you’re like me and don’t come from money, this is a BIG DEAL.

With real estate “smart debt,” you have an opportunity to acquire a special type of asset (and the only type of asset debt should be used to acquire):

one that holds its value, ideally appreciates + generates cash-flow.

3) RE is a very TAX ADVANTAGED asset class. ✅

From passive cash flow to depreciation (and other stuff) that makes your accountant squeal with delight. 🤓

4) With RE, you HAVE MORE CONTROL. 🎮

[I talk about this in this 58 second video.]

You cannot control the overall housing market.

But you can choose your local market. You can choose the particular property. You can negotiate a great deal. 🤝

And you can run my favorite play, forced appreciation. (See this issue for more on this.)

🥞 In other words, you can stack the odds in your favor.

BOTTOM LINE: real estate is not the only way, but those 4 reasons make it my favorite for the average guy to build wealth.

There are lots of ways you can get involved in REI, and I’m a huge advocate for keeping it LOW risk.

🙋🏻‍♂️ Have questions or ideas to run by me? Just hit reply to this email (a newsletter reply makes me the happiest).

In your corner,

Blake Bozarth

When you're ready, here are 3 ways I can help you:

1. ​Free Live Session: upcoming topics include The HYSH: how to choose a High Yield Side Hustle, Low Risk REI: how to build a small real estate portfolio in today’s market, and Getting a Raise: positioning for more comp in your day job. It’s a closed session with Q&A, ask me anything – submit this form to get calendar invite (usually on a Friday afternoon).

2. ​Net Worth Coach: flagship course, coaching, + community to reach financial freedom faster (for 20 & 30 somethings working 9-5 jobs)

3. Entrusted Mastermind: mastermind community for men earning 150K+ (in a job they may or may not want to leave one day). Faith. Family. Wealth Building.