skip to Main Content

Explore how real estate generates long-term riches and benefits that persist beyond one’s lifetime. This course investigates the lasting value of real estate, revealing its potential as a source of generational wealth. Join us to understand its principles and advantages in the upcoming sessions.

Welcome to the next lesson.
Real estate is real.

One of the many reasons why I love real estate investing so much is that it is what we call a hard asset or a physical asset. You can touch, see, smell, taste if you want to, real estate. It has a physical presence and body to it, which by definition will always have some sort of utility. And you can take that to the bank. Like any investment, there is always risk involved. However, compared to other investment options, many of which we’ll get into momentarily, I personally feel that real estate is one of the safer investments available to the everyday individual.

Let’s say for argument’s sake, in a doomsday scenario, that the value of real estate plummeted such that you couldn’t sell the property. Either no one wanted to buy it. Let’s just, let’s just say it was worthless again for argument’s sake. Well, you could simply go live in the property. It’s likely that because in this doomsday scenario, things have gotten very bad in many places, going to live in your property may not be such a bad idea, or instead you could dismantle it for parts or scrap.

Again, this is a very far-fetched scenario, but hopefully, you can start to see that it will forever have some sort of utility and therefore value. Additionally, the fact that people will always need a place to live further contributes to real estate having value indefinitely. Until everyone in the country goes full van life, they will be living in homes or apartments. And even if everyone decided to go full-time van life, we as investors would probably look to buy a fleet of vans and rent them out. Which is actually not a half-bad idea. I actually did this with my wife. We lived in a converted van full-time for about eight months, and believe me, we thought about starting a van rental business, but enough about that. Let’s, let’s get back to real estate.

So as long as people are living in properties, there will be housing providers, i.e. real estate investors, to own and maintain the homes that people live in, which therefore constitutes a large value proposition. Hence why I do not believe in our lifetimes, we will ever see the value of real estate go to zero. Unlike in the stock market, which is where we’re headed to in the next lesson.

See in there.

Read More

Back To Top