Working as a financial advisor for well over a decade has helped me realize that most people surrender their investment decisions to others because they simply don’t feel like they know enough about how money works.

This confusion is for a good reason, especially given our current times. 

We all suffer from a deluge of information, misinformation, and sometimes even disinformation.

Often, we’ll take a memorable phrase as fact when in reality, that saying deserves more scrutiny.

Let’s take the phrase “Get your money to work for you.”

Getting your money to work for you simply doesn’t work for most people.

Most of our population hasn’t saved enough to get money to work for them. In fact, 66% of people have less than $5,000 accumulated in their retirement accounts. Even if you save 10% of your salary towards a 401k plan, it won’t likely be enough.

To add to our confusion, compound interest can be made to look stellar in proposals by any financial sales professional. More often than not, taxes, fees, emotion, and most importantly, inflation are left out of the equation.

So, what is the answer? 

In my experience, the most accessible path to wealth creation and wealth preservation is done by using Other People’s Money (OPM). This is where real estate and real estate investing comes in.

Buy and hold real estate gives people the leverage of OPM. 

How can we use this to our advantage? 

1. Tenants

The tenant will give you money in exchange for quality housing at a reasonable price.

2. Banks

The bank will lend you money and collect interest as profit which the tenant also pays.

3. Government

The government “gives” you money in the form of tax benefits.

4. Federal Reserve

The Fed constantly increases the money supply. Tangible assets like real estate go up in price because of inflation.

So, although we can easily feel helpless and hopeless looking at our financial situation on a micro and macro level, passive real estate investing provides an answer that has been proven repeatedly to increase economic prosperity.