I was recently contacted by a well-known real estate guru whose name you would instantly recognize. I’d never spoken with him before but apparently he got my phone number from a mutual friend.
This guru told me he had a big project in development and wanted me to be part of it. But first, he wanted to know how I was making money these days and what I was personally doing. I told him that today I was doing a lot of subject-to’s and that I was trying to acquire a lot of rental properties to hold onto for the long term.
After all, the real estate market is still in the tank in many places and you can pick up bargain rental properties and just sit on them until the day you die. In fact, that’s the dirty little secret that nobody wants you to know.
The “Not-So-Secret” Formula to Wealth: Build Your Rental Portfolio
If you really want to become wealthy as a real estate investor you need to own multiple (quality) rental properties and you need to pay them off over time until you own them free and clear. That way, when you retire you’ll have a nice “pension” of $10,000 or more coming in every single month thanks to your properties.
Anyway, when I told the guru this is what I was personally doing these days he said “ohh” and there was a long silence. I was then informed it wasn’t “sexy” enough and that he didn’t think I’d be a good fit for his project. I told him I understood, but that’s what I was doing.
Don’t Forget: Gurus are Marketers
I realize he makes his living selling courses and boot camps and to tell you the truth, I have no problem with it. If people are willing to pay up for his material, then good for him.
However, I do not make my living selling products, therefore I can tell you the truth of what works in real estate without the worry of losing sales or not appearing “sexy” or even without the worry of offending people, because I don’t really care.
Because I know that if you accumulate a “buy and hold” portfolio of just 10 properties… and if you pay them down over the years with money from your other deals, then you’ll have enough income coming in to live a very comfortable life.
It may not be sexy, but at least it’s true, and at least if you follow it you won’t be broke in retirement like far too many Americans.