Did you miss our first class in the Millionaire series? Here’s a recap.

How you think about money is just as important as where you invest it. Your beliefs & habits regarding saving, investing, building wealth and budgeting determine your success.

Gary Keller & Dave Jenks, authors of The Millionaire Real Estate Investor, define financial wealth as the unearned income to finance your life mission without having to work.  How do you define wealth?

The MREI builds a foundation consisting of criteria, network & terms. Criteria determine how you’ll invest; network determines where you’ll invest; and terms determine when you’ll invest.

The MREI knows that actions and results start with thoughts.  Here are 7 ways MREIs think differently than other investors (or non-investors.)

Think powered by a big why:

Before you dive into how to make a million, you need to decide why you’ll make a million. Everyone’s why is different but everyone must have a reason.  It’s what will keep you going when the deals are scarce, your tenants are being difficult and the odds for success seem overwhelming.  Your why is the reason to get out of bed and apply your creative energy to the task of becoming a MREI.

 

Think big goals, big models & big habits:

 

Learn from experience – other people’s. Sure, you can try to devise your own system, but isn’t it easier to copy what works?

 

Think money matters:

Do you work for your money or does it work for you?  A life based on consumption and cash is an illusion of wealth.  Living from paycheck to paycheck, even if it’s a great paycheck, doesn’t lead to wealth. It leads to bankruptcy.  You create real wealth when you invest in assets and creating passive income.

 

Think net worth:

MREI Class #2 is all about net worth, so jump over there to read more on this subject.

 

Think real estate:

Real estate will always be a great investment because it’s:

Accessible-anyone can buy it.  No accreditation or license needed.

Appreciable-as a long term investment, real estate meets or beats the stock market.

Leverage able-even at a conservative 80% loan to value (putting 20% of the sales price down in cash and borrowing the rest) real estate is the most leverageable investment available. Using debt* increases your return on investment.

 

Think value, opportunity & deals:

Learn about the market where you want to invest so that when the deals appear you’re ready to act. Talk about deals with everyone you meet.

 

Think action:

When you find an investment that meets your criteria-BUY IT!

 

Want to learn more about becoming a MREI?  Call our office to get a copy of the class outline, a free book and to reserve your place in our next class.

 

*Real estate debt is good debt as long as it’s conservative (no more then 80% loan to value) you acquired the property at the right price and your paying at least all the interest (and preferably principal & interest) each month.

 

 

Posted By: Betty Kincaid