Without fail, every time, over the decades, with very few exceptions, whoever purchases Real Estate in America, under correct conditions, and settles in for the long haul will discover the truth and magic behind what we call the American dream. Anyone can do it and the results are fabulous. Owning pays off guaranteed and its big money too
PUT YOUR SAVINGS DOWN
I have clients whose properties that I manage that were left to them by their parents. When their parents made the purchase, yes, it was worth the value of its time and having a job made having a home easy to do and people did it. It was affordable, slightly calling for a small sacrifice of a down payment
LET'S BUY
There was no race to become wealthy, properties were in normal demand, and having a place to come home to made perfect sense. It still does. At the end of each day, you have to come back to a roost. It is as simple as that. The next step in logical thinking and to secure ones place was to purchase it!
MAKING MONEY IN OUR SLEEP
Then, a marvelous thing had begun. This place, wherever it is, becomes a piggy bank without calling any attention to itself. If you do your part, it will do its part namely go up in value, appreciate and become pregnant with equity. This is and was the dream. Amazing too. Stop and think about it
YOU CAN'T LOSE
All the monthly making payments, year after year, went to work just like you did only they did more than you did. They made an enormous amount of money as you paid down the mortgage up went the values and we call it America. That is why people want to flock here for the good many reasons.
WINNER EVERY TIME
My clients parents paid $10,000 dollars for an average home four decades ago and today, it is worth $350,000 dollars. In another example, my clients parents paid $40,000 for a triplex and today it is worth a million dollars. There are millions of examples like this and for this point. Real Estate just pays off
UH-OH?
What do you think attracted Wall Street to start tempting people to borrow against their homes? It was this principal, this gold mine that was just standing there and not doing anything. Thus campaign to borrow against the funds began. It was hard to dispute it too. After all, who doesn't like free money?
EACH ONE THEIR OWN
Some people understood the dynamics of this pitch quite well. One group responded by saying, NO, I wont touch this money, I don't need it and I pass and they held this position. Another group said, this is perfect! I will buy more Real Estate, vacation, fix up the place, by a car or send the kids to college
THE WHY NOT GROUP
Somewhere in between these two groups, where the average guy who went down the middle of it all and because it made sense & it was there and it was easy to tap into, they did just that. What they didn't have at the time was disclosure, warning, cooling off periods, and counseling on worst case scenarios
THE GO & NO GROUPS
If they did, many would have said NO and many would have said GO as in live it up because things look good and what can go wrong? I ask you, what does the average guy know about Real Estate, economics, Wall Street, regulations, recession, inflation and acts of God and man when they come? They don't!
LEARNING THE HARD WAY
These average Joe's learn at that time and if they have leveraged themselves into a position where harm can reach them, sort of like corner that they paint themselves into, it is hard to get out of. Foreclosure was and is a dirty word and more than that, in many cases a destroyer of lives too
RARE TO LOSE A HOME
When I was just starting out about four decades ago, the words foreclosure, auctions, default and courthouse sale were unheard of. In fact, when a property came up and someone said it was a foreclosure, it was the result of a a death or an illness. In other cases, a divorce forced the sale
WHY ARE YOU SELLING?
There was a stigma that went long with selling or losing a property. That is how the popular question of why are you selling was born? People did not sell their homes but kept them. Everyone wanted to know out of curiosity but it later turned into wanting to know out of opportunity, to prey on someones misfortune. Those were lucrative deals at the time too. The banks just wanted their loan back & that's all. Imagine that? They passed on selling at market. Many became wealthy from this alone
BUY NOW...KEEP IT
Here is what we learn for today's lesson. Yes, buy a home. Buy a starter unit anywhere and either live in it or rent it out. Pay for it month after month and in time, the magic is there. Do not blink, hesitate, or doubt the outcome and stay with the purchase as it goes through Real Estate cycling's
PLAY BY ALL MEANS
At some point, your investment is beyond danger or risk and becomes what it was meant to be. A place to put money away, to lay ones head and to build for a better life. The system works because America does. You can't lose unless you don't play or you play incorrectly
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