Home
Videos uploaded by user “Graham Stephan”
The Fastest Way to Build Wealth Investing in Real Estate: The BRRRR Strategy
 
10:05
It’s no surprise that this is my favorite way to invest in real estate, and also one of the fastest ways you can grow your wealth….and this is called the BRRRR strategy of real estate investing. Enjoy! Add me on Snapchat/Instagram: GPStephan Learn my exact strategies to help grow your career as a real estate agent to a six-figure income, how to best build your network of clients, expand into luxury markets, and exactly what you can do to begin taking your career to the next level…these strategies took me to $120,000,000 in sales volume: https://goo.gl/UFpi4c Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ The BRRRR Method: This basically uses the equity and profit from one property to fund the next property through strategic leverage. And then the next property can fund the next one…and so on, until after a few years you’ve amassed an army of homes that just throw cash at your every month. 1. The first step is to buy a property, obviously. But the difference here is that you can’t just buy anything - the property not only needs to cash flow, but there needs to be some opportunity for equity. Your equity is basically just the amount of “worth” tied up in the property, minus your loan balance. So you either need to buy into equity by buying something BELOW what its market value is, or buying something where you can add equity with strategic renovations. Most deals won’t work - you need to be better than the average here and really become an expert in your area to spot the best deals, and the patience to wait around until that happens. 2. Renovate. Once you buy something, you’ll fix it up. Generally this is the best and easiest way to add value to a property. Most places that need work price themselves accordingly. Doing the work yourself saves you from paying someone else’s profit in managing a renovation, and often times you can renovate a property much cheaper than someone else will charge for doing the same thing. 3. The third step is rent…in that you now rent out the property. You should have had an idea of what price you’d get from the beginning when you bought the property, so it shouldn’t be a surprise what you can rent the property for. The property should rent high enough to pay off all of your expenses AND cash flow on top of it. Like I said, not every property will do this - you will need to find the 1/30 where it makes sense to buy, at the right price, that’ll rent for high enough, with enough equity to add to the deal. 4. NOW WE REFINANCE! This is where the bank pays off your previous loan, and gives you a NEW loan based off the new, higher value of the property. This means that you’ll have some “Cash at closing,” as it’s called. Now you pretty much got some money back, you have a cash flowing house, and you can do this entire process over again. 5. And then…you repeat the process and start over again with the next one! The advantage here is that every time you buy something under market value, you increase your net worth. By fixing it up, you increase your net worth and cash flow at the same time. The higher your net worth and the more equity in a property, the more banks are willing to lend you to do it again and continue to increase your cashflow. This is by far my favorite strategy, and you’ll finish this up with a trail of cash flowing properties behind you. Yes, it takes some work to identify and fix up a property - but it’s worth it. For business inquiries or one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq Favorite Credit Cards: Chase Sapphire Reserve - https://goo.gl/sT68EC American Express Platinum - https://goo.gl/C9n4e3
Views: 73748 Graham Stephan
The 5 BEST Credit Cards for Beginners (2019)
 
12:20
For anyone just starting out or who wants the best beginner / starter credit cards to build their credit score fast, these are the BEST options currently available, all completely free. Enjoy! Add me on Instagram / Snapchat: GPStephan Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $125 million in sales: https://goo.gl/UFpi4c Number 5: The Discover It Secured Card https://www.discover.com/credit-cards/secured/ This is the BEST card to get if you don’t have a credit card or if you’re just starting out. The good thing about this credit card is that they’ll give 2% cash back at gas stations and restaurants, and an unlimited 1% cash back on all other purchases. The dashboard also allows you to check your FICO credit score so you can keep an eye on how you’re doing. All of this, with any annual fee. Number 4: Citi Double Cash Rewards Card http://citi.us/2ruNn49 This card gives you a whopping 2% cash back on ALL PURCHASES…it gives you 1% when you make a purchase, and then another 1% when you pay it off. And the best thing about this 2% cash back is that it’s consistent among all of your purchases. All with NO ANNUAL FEE. Number 3: The Chase Freedom https://bit.ly/2rx86Vc For signing up, they’ll give you $150 back after you spend $500 on the card within the first 3 months. They also offer 5% cash back on revolving categories up to $1500, as well as 1% cash back on everything else. Not AS good as the Citi Double Cash rewards card in the long term if you have a lot of spending, BUT the $150 sign up bonus definitely makes it worthwhile in the beginning. All for the low annual fee…of NOTHING. Number 2: Quick Silver Capital One https://www.capitalone.com/credit-cards/cash-back/quicksilver/ Just like the Chase Freedom, you’ll get $150 back after spending $500 in the first 5 months. The reason this can be SLIGHTLY better is that you’ll get 1.5% cash back on EVERYTHING, AND you’ll get no foreign transaction fees. So for people that like to travel, but who still want some cash back, this one is AWESOME. And again, all of this for the low fee…OF FREE. Number 1: Bank of America Cash Rewards Card https://www.bankofamerica.com/credit-cards/products/cash-back-credit-card/ This one offers a slightly higher signup bonus than the others…$200 back when you spend the first $500 on the card within the first 3 months. That’s really, really good. In addition to that, you’ll get 3% back on gas stations, 2% back at grocery stores, and 1% back on everything else. AND you’ll get a 10% bonus on these rewards when you redeem your cash back into a Bank of America checking or savings account. And again, like every other card I’ve mentioned here, this card costs you absolutely NOTHING…so this is meant to be a card you get and just keep forever. For business inquiries or paid one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq
Views: 256024 Graham Stephan
The TRUTH about Fundrise Real Estate Investing
 
18:31
Fundrise. Real Estate Investing with some pretty substantial returns. Is it worth it? Is it legit? Should you invest in it? Here’s what I discovered. Enjoy! Add me on Snapchat/Instagram: GPStephan Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $120 million in sales: https://goo.gl/UFpi4c Fundrise is a real estate investing service that allows you access to private market real estate deals that they say should “deliver superior risk-adjusted returns over time versus a portfolio of publicly traded stocks.” The biggest difference is that Fundrise is NOT publicly traded on a stock exchange, but they are publicly available. By being publicly available, this means that anyone can invest because they comply with the SEC disclosure regulations, and by doing so, they don’t limit themselves to accredited investors So there’s gotta be a catch, RIGHT? So I read through all 225 pages of their fine print. Here’s what I found. First concern is lack of liquidity. By investing through Fundrise, you’re pretty much tying up your money for 5 years. Even though they say that if you pull out your money prior to then at their redemption rate, which is 97% at its lowest - they still make it very clear there is no guaranteed return of your investment with no immediate plan to buy back your shares. As from their fine print: “If we do not successfully implement a liquidity transaction, you may have to hold your investment for an indefinite period.” It goes on to say “Fundrise Advisors, LLC, our wholly-owned subsidiary, has the authority, in its sole discretion, to limit redemptions by each shareholder during any quarter, including if the Manager deems such action to be in the best interest of the shareholders as a whole.” Second concern I have is their fees…which they say are 1% annually. This seems a bit high compared to other lower cost options, namely a Vanguard REIT - which charges 0.26% annually as a fee, or 74% LESS than FundRise. But, in FundRise’s defense, they’re a smaller company which invests in riskier assets that should generate higher returns to compensate to the higher fee. My third concern - and also a major reason I’d never invest in this - is that the dividends are taxes as ordinary income at your ordinary income rate. One of the many advantages of holding long term investments is capturing the long term capital gains tax rate - this is typically SIGNIFICANTLY lower than the tax rate for ordinary income. My fourth concern is how this investment will hold up in a down market. While I agree with their market strategy and can’t find any faults with where they’re investing, at some point there will be a plateau in growth, while these returns are possible NOW, I’m unsure how sustainable these are long term - and again, if you want to re-balance your portfolio, you may be stuck with your investment. And they very much acknowledge this in their fine print: “The significant growth we have experienced, particularly with respect to assets under management and revenues, will be difficult to sustain.” Fifth, I’m always a little hesitant about companies that give referral fees. While often it’s a nice gesture to give customers SOMETHING for referring business, and I totally agree with this business model, in the age of the internet, there will be people out there who will write falsely positive reviews just to get the referral bonus. When this happens, honest criticism becomes buried or harder to find. For someone wanting exposure to real estate, I believe there are many other REIT options out there that offer the liquidity and tax treatment that put you in a much better position, even if they’ll give you slightly lower returns. I’d rather sacrifice a percent or two JUST to have access to my money when I need it. So overall, no it’s not a scam - and there are some positives about what they’re doing - but from what I see, the downsides just outweigh the upside, rendering other options as more attractive when put side by side. For business inquiries or one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq Favorite Credit Cards: Chase Sapphire Reserve - https://goo.gl/sT68EC American Express Platinum - https://goo.gl/C9n4e3
Views: 134778 Graham Stephan
Credit Cards 101: How to build your credit score ASAP and leverage your money
 
11:35
This is one of the most important videos I’ve made so far: how to get a credit card, why you should care, what factors increase your credit score, and how that can ultimately help make you money. I got my first credit card at 21 years old, after banks turned me down for a loan on real estate - this is from my experiences building my own credit. Your credit score shows banks how responsible you are with your money. The scores range from about 300-850, with the best rates being available to those who have a score above 740. It shows banks how likely you are to potentially default on a loan and they adjust their interest rate according to their risk. They calculate your credit score based off several factors: -Length of credit history - the longer you’ve had it, the higher the score -How much credit you have available to you - the more money you have available, the higher the score -How much of it you actually use - the less money you use, the higher the score - this is called utilization rate -On time payments - if you’ve never had a late payment and always pay on time, the higher the score -The diversity of loans you’ve had - if you have variety of credit cards, auto loans, home loans, the higher your score. -Total inquiries - this means that every time you apply for a loan or credit card, it’s marked. The more times you apply, the higher risk you’re seen, since people who apply for a lot of credit in a short amount of time might be desperate for money, so this temporarily lowers your score. But lets not worry about this since for most people just starting, it won’t make a difference. Credit card misconceptions: -You do NOT need to pay interest to increase your credit score. Pay it off in full, you do not need to keep a small balance each month. -It does NOT hurt you to check your own credit score. I use CreditKarma regularly to keep track of my score and where it’s at. -It’s also false that having too many cards will decrease your score - the opposite is true. The more credit you have available, generally your debt-to-credit ratio will be a lot lower, which will increase your score. -Do NOT close out a credit card, especially if it’s an old account. When you close a credit card, it also closes all that credit history - which is a huge component of a good score. Keep your credit cards open even if you don’t use them, or if you pay an annual fee, see if they can downgrade the card to a free account. -NOT all debt is bad. There can be good debt - like a mortgage, or an auto loan where your money is better off invested somewhere else - or bad debt, which is that expensive Hawaiian vacation for $7000 that you couldn’t afford but you did it anyway because you put it on a credit card. Debt is a great way to leverage your money and have it work for you, earning MORE money in your investments than you pay off in interest. Now keep in mind, a credit card is something to use responsibly. Just put a normal amount on the cards each month as you would cash or a debit card, and pay it off in full. That’s it. It’s really, really simple. Eventually you can take advantage of great credit card rewards that’ll get you free trips and perks. Look up credit card churning for more information. My favorite credit cards: -Bank of America Cash Rewards: https://goo.gl/1xwB4B -Amex Gold Card: https://goo.gl/d2y4Gc -Chase Sapphire Preferred: https://goo.gl/Iq0BiX -Chase Sapphire Reserve: https://goo.gl/22mf4I Add me on Instagram: GPStephan Add me on Snapchat: GPStephan Thanks for watching!
Views: 457724 Graham Stephan
Real Estate Investing for Beginners: Expectation vs Reality
 
14:27
Let’s debunk some common myths about real estate investing, and share what it’s ACTUALLY like, no sugar coating - enjoy! Add me on Snapchat / Instagram: GPStephan Jeremy’s Channel: https://www.youtube.com/channel/UCnMn36GT_H0X-w5_ckLtlgQ Financial Growth Conference: https://financial-education2.teachable.com/p/building-wealth-conference-2019-presented-by-financial-education Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $120 million in sales: https://goo.gl/UFpi4c First expectation: Real estate investing is passive. The reality is that creating the type of rental property to the point where it’s passive income takes a LOT of work. But the work is, at times, still ongoing. Eventually you’ll have a vacancy. Eventually you’ll need to fix things up again. Nothing will last forever. Sure, you can get a property manager who’ll handle much of this for you - but you will need to do SOME work yourself, even if it’s as small as choosing between finishes or approving bids on work. It won’t be an insane amount of work, but it will be something. So yes, real estate CAN be fairly passive…but it’s not passive if you don’t put in the work UPFRONT. Second Expectation: In order to invest in real estate, you need to do the repairs yourself or be a good handyman. The reality is that I can’t do anything besides change a lightbulb. While I do know some landlords who do the work themselves to save the money, this is absolutely not a requirement - and depending on how much your time is worth, it’s often cheaper just to pay someone else to do it the right way. It’s also worth noting that since all these repairs are a write off, you can write off the costs against your income…but, if you do the work YOURSELF, you cannot deduct the cost of YOUR OWN LABOR. Third Expectation: It takes a lot of money to start. The reality is that it often takes 10%-25% down to begin investing in real estate. This COULD be a lot depending on your definition of “ a lot,” and also on your area. Buying a property in Los Angeles would be significantly more expensive than in Kentucky, for instance. Where one person might be able to buy a property for $20,000 down, someone else might need $200,000. Fourth Expectation is that it’s often like the TV shows. The Reality is that it’s NOTHING like what they portray on TV. Oftentimes those TV shows will be loosely scripted around creating drama and creating a show that’s actually interesting enough to watch all the way through. Every episode needs a goal, a problem that arises, a solution to that problem, and then a resolution at the end. The real life problems that come up just aren’t that exciting or interesting. It’s often boring and mundane. The fifth expectation is that you’ll make a lot of money investing in real estate. The reality is that oftentimes one property won’t make you rich. Most mom and pop landlords won’t make a lot early on, but as they scale up, they can earn a significant amount of money from a lot of smaller sources. This is how many landlords start making money, enough to quit their jobs and invest in real estate full time. It’s growing your portfolio over one or two DECADES and accumulating those properties that might make you only $900 a month….but buy one of those every 18 months, and in 15 years you’re making $9000 per MONTH. That’s how most landlords make their money, and make a LOT of it. But the beginning will be slow and frustrating until you begin adding more and more to your portfolio. For business inquiries or one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq Favorite Credit Cards: Chase Sapphire Reserve - https://goo.gl/sT68EC American Express Platinum - https://goo.gl/C9n4e3
Views: 360359 Graham Stephan
House Hack: How to live FOR FREE by investing in multifamily real estate
 
11:11
House hack: Forget having to make a rent payment or come out of pocket for a mortgage every month. This is exactly how you can essentially live for free by investing in multifamily real estate as a primary residence. Plus - if do it right, you can literally GET PAID to live for free. Here's how. Learn how to make money as a Real Estate Agent, build your network of clients, and the exact steps I’ve used to grow my business from $0 to over $120 million in sales: $50 off with code ThankYou50 for a limited time: https://goo.gl/UFpi4c When you already have some savings and want to make the jump to becoming a home owner, one thing most people overlook is multi-family properties. These include duplexes, triplexes, and fourplexes. What makes this unique is that in addition to your unit, you have other units that you can freely rent out which can cover your entire ownership cost of the property. When you buy these properties correctly, your rental income from the other units will cover your entire mortgage, property taxes, insurance and repairs, essentially letting you live in one of the units for free. Not only that, but you can apply the rental income towards your loan, meaning you can often qualify for a much larger loan than normal. You’re also paying down your loan and building equity at the same time. My biggest recommendation to maximize the rental income is to look for vacant multi-family buildings that need cosmetic upgrades. This means you can immediately begin updating the property when you buy it - new floors, paint, bathrooms, landscaping are all cheap and make a significant improvement for rental income. Now of course, there are downsides of doing this. First of all, you will have to manage tenants and that can be a part time job in and of itself. You will also have some shared common areas - it’s not any worse than an apartment, but you will be in close proximity with your tenants. It’s not for everyone. But the good news is that when you’re ready to buy a house or upgrade, you can rent out your unit and you have a great cash-flowing rental property for you to keep long term. Essentially when this is paid off, it could be your retirement money that keeps cash flowing month after month. Or, you can live there long term and bank as much money as you can knowing that you don’t have be out of pocket every month for housing payments. Add me on Instagram: GPStephan Add me on Snapchat: GPStephan Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq
Views: 428044 Graham Stephan
Buying vs Leasing a Car 101: How to pick the BEST choice
 
11:34
Here’s a common questions I’m asked…is it better to lease or buy a car, and which one is a financially better move? I’ve done both, and these are my thoughts as to which one is better - enjoy! Add me on Snapchat/Instagram: GPStephan The short answer is that it really depends on your situation and how long you plan to keep the car, but I’ll describe the pros and cons of each and what might work best with you. Lets start with owning and buying a car. First of all, you can buy pretty much whatever car you want, unlike leasing where it’s almost always a new or newer car. Generally, unless you just buy your car outright in cash, you’ll end up financing the car. This is when you take the cost of the car, minus your down payment, and get a loan which you’ll pay off over a specific period of time - the most common being 48-72 months. And then you’ll also pay whatever state sales tax is on top of your purchase. Factor all that in…and then once you pay off your loan, congratulations - you own the car free and clear. And then when you go to sell it, you’ll get whatever price the car is worth - minus whatever you might still owe on the car. However, a few drawbacks of this - unless under warranty, you’ll generally be responsible for maintenance and wear and tear items during your ownership, especially on an older car, and this can add to the cost…you’ll also need to pay sales tax on the purchase price upfront…and totally separate from that, your monthly payments tend to be higher with owning than with leasing. Leasing generally works best if you’re the type of person who always wants to have a newer car every few years. If you plan to get one car and drive it forever to the ground… don’t lease your car. But depending on how long you plan to keep the car, leasing could actually save you money. With leasing, you’ll generally be leasing a brand new or newer car. You’ll usually have a down payment and then generally you’ll have a 24-36 month term where you have a fixed monthly payment, along with a set number of miles you can drive each year. You’ll need to return the car with your set amount of miles or less or risk paying fees and penalties. Now when you lease a car, you’re not paying the full amount of sales tax upfront - which can save you a TON of money. The lease price is determined but the depreciation the car is going to see during ownership, plus some finance charges. You’re basically just paying a monthly amount of the depreciation, rather than the entire cost of the car. Therefore, with leases, you’ll generally pay LESS per month to drive the car because your financing only the deprecation…not the entire thing like when owning a car. With a lot of leases, too, maintenance is often covered…so you can pretty much just pay a set monthly price and not have to worry about normal wear and tear/maintenance costs that come up. And when the lease is done, you don’t have the hassle of needing to sell it…you just turn it back and you’re done. So here’s my thoughts. Both leasing and owning have their own advantages and disadvantages, and what makes one better than the other is dependent on your situation. If you plan to keep your car more than 5 years or so…it’s almost always better to buy the car. Whether you buy a brand new car or an old used one, the longer you plan to keep the car, the more it starts making sense to buy it. But if you’re like me and you want the privilege of owning a new car every few years… it’s cheaper just to lease it - it means I pay less per month since I’m only paying for the depreciation, I don’t need to pay sales tax on the entire cost of the car - only on my monthly payment, and I can simply swap it out when the lease is done to get a new one. Ideally, for most people out there who just need a car to get from A to B…the BEST option is to buy a car that’s 3-5 years old and has already hit most of its depreciation. After about 5 years, most cars depreciate at a much, much slower pace - so buying a car like this and keeping it forever would be the most financially “sane” thing to do. Then just finance it at a low interest rate, re-invest whatever money you would’ve spent on the car, and hold it. Then when the car falls apart and you can’t drive it anymore, do it again. For business inquiries or one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq Favorite Credit Cards: Chase Sapphire Reserve - https://goo.gl/sT68EC American Express Platinum - https://goo.gl/C9n4e3
Views: 223579 Graham Stephan
How To Live Frugally and Achieve Financial Independence
 
19:13
How to live frugally and achieve Financial Independence: Here are the steps I follow, and this is how I was able to achieve this goal by 28. Enjoy! Add me on Instagram: GPStephan Merch: http://www.GrahamStephanStore.com/ GET $50 OFF FOR A LIMITED TIME WITH COUPON CODE: THANKYOU50 The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $125 million in sales: https://goo.gl/UFpi4c Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ The first rule of Financial Independence: Saving. In order to achieve financial independence, you must save your money and live below your means. And how long it will take you to achieve financial independence depends entirely on this: how much income you make, and how much of it you save. This is what Mr Money Mustache, a financial independence blogger, calls “The Shockingly Simple Math Behind Early Retirement” - and based on your own income and expenses, you can calculate within a few minutes how long it’ll take you to retire. The second rule of financial independence: cutting back expenses. For the sake of saving more money and moving up your FIRE timeline, you MUST do what you can to save more money. The first, and biggest expense we ALL have is housing. It’s reported that 30-50% of a person’s income JUST goes to housing… that’s too much. And there’s a better option where you might be able to cut down your housing costs ENTIRELY, and this is what I’ve been doing: This is where you buy a multi-family home, like a duplex, triplex, or fourplex, then live in one of the units and rent the others out. You could also buy a single family home with a detached guest house, or maybe a basement you could rent out to bring down your cost of living. Typically, when done right, those other units will cover the entire cost of owning the building - and all of a sudden, you’ve got a free place to stay. Besides housing, another large expense we tend to have is our car. If you’re a car guy like me, and want to drive something fun and cool, you can buy a car at the bottom of its depreciation curve, drive it a few years, and sell it for about the same price you bought it for. Then, lets focus on entertainment…and when it comes to achieving financial independence, I think it’s important you find a healthy balance. Go ahead and enjoy life, you don’t need to be locked inside all day just for the sake of saving money…but, be mindful to spend money where it matters the most FOR YOU. Or with travel…some people LOVE traveling. I found it doesn’t need to be expensive: you can learn the art of credit card churning for signup bonuses…and travel for free. The third step of achieving financial independence: Staying out of high interest debt. This kinda goes hand and hand with cutting back and saving, but most people don’t realize just how much high interest credit card debt or high interest medical bills or huge student loans hold you back. Throughout my entire life, I’ve made sure to stay out of ANY debt that’s not a low-interest car payment or a low-interest, fixed rate mortgage. That’s IT. The fourth step of financial independence: INVEST. This is another very, very simple one. The principles are as easy as this: -First, take advantage of your 401k, Roth IRA, and HSA accounts because these save you on taxes -Second, Invest consistently, long term - put a set % from each and every paycheck into your investments, no matter what. Ideally, at least 20% of your paycheck, minimum. Preferably more. -Third, don’t time the market - invest long term consistently, regardless of where the price is. -Fourth, invest in a low-fee index fund that covers the entire market - like VTSAX. Vanguard and Fidelity both offer extremely low index fund fees. -Fifth, wait. Let the markets do their thing. And here’s when you find out when you’re financially independent: you can retire when your investment portfolio becomes 25x what you spend every year, also known as The Trinity Study. For business or one-on-one real estate investing/real estate agent consulting inquiries, you can reach me at [email protected] My ENTIRE Camera and Recording Equipment: https://www.amazon.com/shop/grahamstephan?listId=2TNWZ7RP1P1EB
Views: 135516 Graham Stephan
Becoming a Millionaire: Roth IRA vs 401K (What makes the MOST PROFIT)
 
11:07
Here’s a topic that’s been coming up a LOT recently, and this is an extremely confusing decision: What’s better to invest in - Roth IRA or a Traditional 401k? Here’s my thoughts, enjoy! Add me on Instagram: GPStephan Roth IRA vs 401K Calculator: https://www.bankrate.com/calculators/retirement/401-k-or-roth-ira-calculator.aspx Merch: http://www.GrahamStephanStore.com/ GET $50 OFF FOR A LIMITED TIME WITH COUPON CODE: THANKYOU50 The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $125 million in sales: https://goo.gl/UFpi4c Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ So lets first start with some background on the almighty Roth IRA: First, like I just mentioned, all of the profit generated in this account is tax free after the age of 59.5. That could save you a LOT of money by the time you retire, especially if you begin investing in this early on. Second, with a Roth IRA, you can withdraw whatever money you contribute to this account, at any time, tax free, without paying any penalties. However, here are the downsides: First, with a Roth IRA, you contribute POST TAX MONEY - this means the money that’s left over after you’ve already your paid taxes on it. And as we all know, the money you have left over AFTER taxes is a LOT smaller than before the taxes were taken away…this means you’ll have LESS of your money to invest upfront, all things considered. Second, if you want to withdraw your PROFIT from this account before the age of 59.5, you’ll be subject to a 10% penalty, and you’ll have to pay normal taxes on that profit. Third, the contribution limit for a Roth IRA is capped at $6000…so if you want to contribute more than this, well, you can’t. But how does this all compare to the Traditional 401k? Well, the 401k is an employer sponsored retirement account where you contribute PRE TAX money…meaning you won’t pay any taxes on the money you invest in this account. Now because you don’t have to pay taxes on the money you contribute, you have even MORE money left over to invest instead of paying it to the IRS, allowing that extra money you saved in taxes to make YOU even more money. Pros of a Traditional 401k: You contribute pre-tax money, meaning you don’t pay taxes on the money you put in this account, and can be a huge tax deduction. Secondly, you can contribute up to $19,000 per year in a 401k…that’s more than 3x HIGHER than you can contribute to a Roth IRA. Third, some employers offer a 401k employer match - which means they actually match your contribution, dollar for dollar Downsides to the traditional 401k: The first is that you’ll end up paying taxes on your money when you begin withdrawing it from your account after the age of 59.5. With a 401k, you’re basically saving money on taxes NOW so you have more to invest upfront. Secondly, if you want to withdraw the money prior to the age of 59.5 for anything other than financial hardship, you’ll be subject to paying a 10% penalty on your money and you’ll owe taxes as though this money is ORDINARY INCOME. Third, you’ll be forced to begin withdrawing your money at the age of 70 1/2…and for some people who prefer to continue saving it and letting it grow, well…you can’t. And the right mix is - in my opinion - a slight balance between the two. I still contribute a bit to my traditional 401k just to hedge my future options, even if I have no idea if it’ll be the smart choice in the future…again, JUST IN CASE. I also go heavy on the Roth option, too, because I know it’ll be tax free in the future, and I don’t have to question what future tax rates may or may not be. For business or one-on-one real estate investing/real estate agent consulting inquiries, you can reach me at [email protected] My ENTIRE Camera and Recording Equipment: https://www.amazon.com/shop/grahamstephan?listId=2TNWZ7RP1P1EB
Views: 140900 Graham Stephan
Buying Real Estate for only $100: REITs vs Rental Property
 
13:41
Here’s a way you can invest in real estate with as little as $100…it’s a REIT. But how does this compare with just straight up owning rental property, and is it even worth owning a REIT in the first place? So lets analyze the pros/cons of each! Add me on Snapchat/Instagram: GPStephan The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $120 million in sales: https://goo.gl/UFpi4c Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ Like I mentioned, this is an investment trust which acts as a holding company for real estate. By investing in this company, you thereby are entitled to some of their profit, in the form of dividends. Pros to doing this: -There’s pretty much zero barrier to entry. Anyone with $50-$100 can invest. -It’s also really easy to buy into a REIT…open up any stock trading website or app, and boom, you’re done. You don’t need to go out looking for properties that cash flow for weeks or months. -There’s also no management aspect of this. With a REIT you don’t do ANYTHING. You just buy it and forget it…done. -It’s also really, really easy to sell…no need to pay a 5% commission, no need to show your home to buyers, no need to negotiate prices…it’s just as easy as buying a REIT. You just click “sell” and you have your money almost immediately. -With a REIT, you’re really well diversified. Negatives: -How the income YOU get is taxed…you get paid in the form of a dividend. This is usually an amount that’s paid out quarterly, but it’s taxed as though it’s earned income, which means it’s taxed at your highest marginal rate. -Because REITs pay high dividends, they usually don’t increase much in price. -The third downside is that you don’t have any control over your investment…unlike a property where you can pick the color to paint the walls, how to remodel the property, or how to manage the property and how much to rent it for - with a REIT, you have zero control. -You also can’t build equity in a REIT like you can with real estate. Investment Real Estate Downsides: -High barrier to entry…you generally need a large down payment and will need to have the income to support the loan payments. -The second downside to owning real estate is the time commitment. Finding the right deal is essential - and it can take a lot of time. Then you have the time aspects of managing a rental property. -Lack of immediate liquidity. I can’t just sell my property for top dollar within a day - it just doesn’t happen. Rental Real Estate upsides: -You can leverage your money. While yes, a REIT does invest in leveraged properties and you own a portion of that, generally the returns aren’t as high as when you do it yourself. -Your income from rents is generally tax free. When owning physical real estate, you can depreciate the cost of the property against your rental income. Compare this to paying 22-37% taxes on dividend income. -You have total control over your investment. This means you can find a really, really good undervalued deal where you make a significant amount of money. -You’re able to borrow against the equity in your home - completely tax free. So at the end of the day, this is what it really comes to… If your goal is long term equity, owning physical real estate is the way to go. When you buy an investment property, you’re continuously building equity in a tangible asset. Having more equity in your asset also gives you the ability to refinance over time and use the proceeds to buy additional assets and grow your portfolio. More work, more time involved, more money long term. However, if you have a little money and want some exposure to real estate, a REIT could be a nice way to diversify. However, since dividends are taxed as ordinary income, it’s best to hold the REIT in a tax advantaged account like a 401k or Roth IRA to avoid paying taxes. This way you get all the benefits of having exposure to real estate, without the tax consequences of paying a stupid amount of taxes on it. Not financial advice ;) For business inquiries or one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq Favorite Credit Cards: Chase Sapphire Reserve - https://goo.gl/sT68EC American Express Platinum - https://goo.gl/C9n4e3
Views: 57433 Graham Stephan
The 5 things I wish I knew before becoming a Landlord...
 
13:34
These are the 5 things I wish I had known before becoming a landlord, and why learning these NOW can make you a better real estate investor in the long run. Enjoy! Add me on Instagram/Snapchat: GPStephan Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ Get $50 OFF + FREE Coaching Call FOR A LIMITED TIME: Code THANKYOU50 - The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $120 million in sales: https://goo.gl/UFpi4c First, I wished I had treated it more like a business rather than a hobby. When I first started, I was 21 years old. At this point, I had been working as a real estate agent for a little over 3.5 years and even though I had been doing a lot of rentals for OTHER PEOPLE, I had never done it for myself. All of a sudden you have a hard time thinking objectively, you throw your own emotions into the mix, you have self doubt, you worry if what you’re doing is right, and there’s a blurred line between running this like a business vs a hobby…and when I started, I ran it like a hobby. Don’t do that. This brings me to my second point…keep things professional, and STICK TO THE CONTRACT. In the beginning, I treated the contract more like a guide…as long as you roughly followed it, that was fine. No, NO, NO. Do NOT do this. Enforce the contract word for word. The contract is written for a reason - there should be no misinterpretation from what’s allowed and what’s agreed on. This clarifies everyone’s expectations for not only the tenant, but also for the landlord. When that contract is signed, all parties must abide by it. The third thing I wish I knew was that I’d need to be on call 24/7. If there’s ever an emergency, I have my phone on me to handle anything as it comes up. Most situations that come up, even though I’m technically “on call 24/7,” just aren’t that urgent; usually little minor things that are usually sent over email and you can handle them when you have the time. The fourth thing I wish I knew is that anything that can possibly break, will break. As a landlord, you walk into the brutal reality that most people simply don’t care about how they live or how delicate something is. Just like you baby proof a house, you will need to renter-proof your house. This means making things indestructible. If something is likely to break, make sure you don’t spend too much money on it. Just buy good quality DURABLE, not high end BREAKABLE. This will prevent you from fixing and buying new things after every tenant. The fifth thing is that the biggest learning experience of all of them is simply dealing with people. On a bigger picture, deeper down, you really have to learn to communicate effectively, be ok with saying no, be okay with standing your ground, while still being able to hear the other person out. You need to learn how to explain yourself in a way that makes sense to the other person, without coming off as insensitive or inattentive. The other person needs to be heard and their thoughts validated before you can say what you want. Just like anything else, people skills are incredibly important and can make a huge difference in whatever business your in. For business inquiries or one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq Favorite Credit Cards: Chase Sapphire Reserve - https://goo.gl/sT68EC American Express Platinum - https://goo.gl/C9n4e3
Views: 92494 Graham Stephan
DON’T HOLD CASH: Use THIS Instead
 
13:07
Unfortunately, if you have any amount of cash whatsoever, most likely you’re losing money without even realizing it…here’s why, and 4 alternatives to prevent this from happening. Enjoy! Add me on Instagram: GPStephan Merch: http://www.GrahamStephanStore.com/ GET $50 OFF FOR A LIMITED TIME WITH COUPON CODE: THANKYOU50 The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $125 million in sales: https://goo.gl/UFpi4c Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ Ok, so first things first: Holding cash is bad. Now when I mean “holding cash,” I don’t mean like you’re actually just holding cash...don’t take that term literally. Instead, I’m referring to either keeping a ton of cash laying around under couch or a mattress because you don’t trust banks or something, or maybe you just keep your money in a checking account or regular savings account - which, unfortunately, is what most people do, and that ends up unknowingly costing them money. Don’t do that. And this is why you should avoid that: INFLATION. This means that the value of your money DECREASES every single year, because…summed up…the country prints more money than there is value. In 99% of situations, when you just keep cash as cash…you lose money. If you keep money in a checking account, you lose money. If you keep cash in a normal savings account earning .1% interest, you lose money. This is bad. And that’s where most people make the mistake of losing money without even realizing it. So with that said, here are 5 options so you can avoid this: The FIRST place you can put your money is a high interest, FDIC-insured savings account: Ally Bank: 2.2% Interest on their savings account Marcus by Goldman Sachs: 2.25% on their savings account PNC bank: 2.35% on their savings account CIT Bank: 2.45% interest for accounts that have a balance above $25,000. SECOND, if you want a SLIGHTLY better return and don’t need the money immediately, your next option is a CD. Ally Bank 12-month No Penalty CD: 2.3% interest Capital One 360 12-month CD: 2.7% interest Marcus By Goldman Sachs 12-month CD: 2.75% interest Syncrhony Bank 12-month CD: 2.8% interest with $2000 minimum deposit Third: TREASURY BILLS. This is basically a short term “loan” you give, and in return for lending them money, they pay you back with interest. The good thing about Treasury Bills, and a HUGE advantage over anything else, is that they’re not subject to local or state level taxes…so for people in high tax states like California or New York, this could save you a TON of money in taxes! So the way this works is you can go on TreasuryDirect.gov, make an account, and then purchase 4-week treasury bills, which currently pay 2.428% interest annually. You can also set this up to re-invest every 4 weeks, so that way you’re constantly getting a high rate of return - tax free on the state level - without thinking about it. Fifth Option: buying a bond. For instance, we have the Vanguard High-Yield Corporate Fund Investor Shares (VWEHX)…this pays a whopping 6.1% right now, which works out to be 5.87% after fees. Now this is NOT a risk free return, the price of the bond COULD go down, the payout of the bond COULD go down…or they could both go UP and you make more money. But for someone willing to take a little more risk with their money, this is a decent way to take a LITTLE risk with some decent upside. https://investor.vanguard.com/mutual-funds/profile/VWEHX Or, you have the total bond market index VBMFX…after expenses, you’re looking at about a 2.9% annual return. And this one is much less volatile. https://investor.vanguard.com/mutual-funds/profile/VBMFX Nonetheless, this could be a decent option if you want to take on a little more risk with your money, while still maintaining liquidity in the event you need it immediately. So there you go…don’t hold on to cash, because if you do, you’re gonna have a bad time and you’re going to lose money with inflation, which is EASILY avoidable if you just put your money in a few of the options I mentioned here. And ALL of these options take you under 10 minutes to setup…it’s really simple, and a great way to PRESERVE your wealth and keep it liquid until you need it for other investments. Like avocado toast. For business or one-on-one real estate investing/real estate agent consulting inquiries, you can reach me at [email protected] My ENTIRE Camera and Recording Equipment: https://www.amazon.com/shop/grahamstephan?listId=2TNWZ7RP1P1EB
Views: 196339 Graham Stephan
How To Manage Your Money Like The 1%
 
13:59
Here’s how you can manage your money like the 1%, and how you can follow this simple formula to Financial Independence - Enjoy! Add me on Instagram: GPStephan GET $50 OFF FOR A LIMITED TIME WITH COUPON CODE: THANKYOU50 The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $125 million in sales: https://goo.gl/UFpi4c GET THE MERCH: http://www.GrahamStephanStore.com/ Step one: Having a budget by tracking your expenses and reducing unnecessary spending. If you just do this single step, you’ll be ahead of 99%. From doing this, you can determine if you’re spending money on things that don’t matter, if you’re making impulse purchases, or if you’re just otherwise wasting money without even realizing it. When you do this, you will find a way to reduce spending without missing anything…you can likely save about 10% of your income just by tracking your expenses, and then reducing spending on the things you don’t even realize. Step Two: Creating a Rainy Day Fund. Every single wealthy person I know has a rainy day fund of AT LEAST 3-6 months worth of expenses. This means that you already know, from tracking your expenses, how much you need to spend every month to live…now save up 3-6 times that amount, in cash. You do not spend this money, EVER, unless you absolutely need to. Step Three: Take advantage of employer sponsored retirement plan matching. This means that if your employer offers a 401k match…ALWAYS TAKE IT. THIS IS FREE, GUARANTEED MONEY. There is no other investment in the history of the world that will give you a risk free, guaranteed 100% return on your money like an employer match. And if you’re self employed, you can make your own employer contributions with a SEP 401K…google that, because that’s a great way to reduce your taxes. Step Four: Pay off high interest rate debt. This means that if you have any outstanding debt over a 5% interest rate, begin PAYING THIS OFF NOW after you have your rainy day fund, and after you’ve got your free employer match. When it comes to paying off debt, there are two strategies to go about this: The first is called the avalanche method, and mathematically, this should leave you with the most money left over as possible. This means you should start paying off the highest interest rate debt you have first, and then once that’s paid off, you to go the next highest interest rate…until it’s all paid off. The second method is the Dave Ramsey approach, and that’s called the snowball method. This means you pay off the smallest balance, first, regardless of interest rates, and then move up to the next largest balance…and the next largest, until you leave the biggest balance for last. The downside, of course, is that you likely end up paying more money in interest and that costs you more in the long run - but if doing this means you pay off debt, I’m all for it. As long as long as you pay off high interest debt. Step Five: Invest in yourself. This could be buying books, this could be learning a new skill, this could be investing back into your business…self education, in my opinion, is absolutely vital at this stage. If you’re in a position RIGHT NOW where you’ve already done as much as you can, and you don’t have any money left over after doing all of this..then there’s no way around it, you’ve gotta work to increase your income. Step Six: Invest in a Roth IRA. This is an account that allows you to invest your after-tax money, and when you’re 60, all the profit you make in that account is completely TAX FREE…this means that you can get decades of investment growth and compound interest working on your side that you don’t have to pay tax on. And when it comes to growing your wealth, having this available to you is absolutely priceless…watch this: https://youtu.be/z-53ZTJmDUA Step Seven: Invest in Taxable Accounts / Anything Else. This means that you have your brokerage account where you just trade stocks in, maybe you buy some real estate, maybe you spend some money starting a business…from this point on, it’s really about just doing what you can to increase your income even further and build up your net worth. The hardest part about doing all of this, and managing your money like the 1%, is just starting. And it all starts right here, at step number one. For business or one-on-one real estate investing/real estate agent consulting inquiries, you can reach me at [email protected] My ENTIRE Camera and Recording Equipment: https://www.amazon.com/shop/grahamstephan?listId=2TNWZ7RP1P1EB Favorite Credit Cards: Chase Ink 100k Bonus Point Offer - https://www.referyourchasecard.com/21/ZVSGGIXM8U American Express Platinum - http://refer.amex.us/GRAHASOxHd?XLINK=MYCP
Views: 238937 Graham Stephan
Roth IRA: How to be a TAX FREE MILLIONAIRE with $12 PER DAY
 
13:29
Here’s EXACTLY how you can become a Tax Free Millionaire by opening up and investing within a Roth IRA in 2019 - Enjoy! Add me on Instagram: GPStephan MERCH NOW ON SALE! LIMITED TIME DISCOUNT: https://grahamstephanstore.myshopify.com/ Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ GET $50 OFF FOR A LIMITED TIME WITH COUPON CODE: THANKYOU50 The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $125 million in sales: https://goo.gl/UFpi4c A Roth IRA just stands for Individual Retirement Account. Think of it this way…just like you have a bank account where you have access to a savings and checking account, you can open up a Roth IRA account and have access to your INVESTMENTS. And here’s how the Roth IRA works: You’re able to open up one of these accounts and deposit up to $6000 PER YEAR if you’re under the age of 50…and if you’re over 50, you can contribute $7000 per year. The MASSIVE advantage to doing this is that ALL the money you deposit into this account will grow entirely tax free. For example, if you contribute just $400 per month into a Roth IRA starting at the age of 18…and you average a 7% return on your money annually…you’ll have nearly $1.2 MILLION DOLLARS completely tax free at the age of 59.5…all from $400 per month. Even more remarkable, if you contribute the maximum of $6000 per year starting at the age of 18…and you average a 7% return…you’ll have a staggering $2.1 MILLION Dollar by the age of 65. Let me say that again…$2.1 MILLION DOLLARS TAX FREE from just a $6000 investment per YEAR. And I’ll show you exactly how to do that. The other HUGE advantage to opening up one of these accounts is that you can withdraw WHATEVER money you’ve deposited to that account, at any point, without any penalty, and without paying any additional taxes on it. And the BEST time to start doing this is NOW when you’re young. This is because when you’re young, you have the power of COMPOUND INTEREST working on your side. This means your money makes you more money, that makes you more money, that makes you more money. The other advantage of starting when you’re young is that, like I said, you invest with post tax money…meaning, again, your taxes have already been taken out of what’s left over. This means that when your young, chances are you’re not making much money and you’re already in a low tax bracket to begin with…meaning you have MORE of your money left over to invest. So here’s exactly how to do this and how this works: You can setup a Roth IRA through websites like Vanguard.com, Charles Schwab, or Fidelity to name a few…but there are dozens of options out there. Once you open the account, you’ll then have the option to make investments WITHIN that account…remember, the Roth IRA itself isn’t the investment…it’s just an ACCOUNT for you to invest in for your money to grow tax free. In terms of which investments to make, I PERSONALLY just chose an index fund that follows the stock market…but it’s up to you. You also have the choice to invest in stocks, as well, within a Roth IRA. However, pay attention to this because there are FOUR very important rules you MUST abide by: First: As of 2019, you’re limited to $6000 per year that you can contribute to this account. This is your maximum. Second: Anytime you take money out of the account, you can’t just put it back at a later time. So once it’s out, it’s out. You’re limited to just $6000 per year that can go into that account. Third: If you take out your PROFIT prior to the age of 59.5, you’ll have to pay a 10% penalty + pay taxes on that profit. And that defeats the entire purpose of opening up this account, if you have to pay taxes. Fourth: If you make MORE than $120,000 per year…you’ll need to do a Backdoor Roth IRA. Just google that because I have a feeling not many people are watching this making more than $120k…and if you’re making $120k, you can just google this. It’s simple. So basically…as long as you can follow those four rules, you could be well on your way to becoming a tax free millionaire with just a small investment each and every month! My ENTIRE Camera and Recording Equipment: https://www.amazon.com/shop/grahamstephan?listId=2TNWZ7RP1P1EB Favorite Credit Cards: Chase Ink 100k Bonus Point Offer - https://www.referyourchasecard.com/21/ZVSGGIXM8U American Express Platinum - http://refer.amex.us/GRAHASOxHd?XLINK=MYCP
Views: 195159 Graham Stephan
How To Become A Millionaire: Index Fund Investing For Beginners
 
15:51
Index Fund Investing for beginners: This is one of the best investments that requires very little work, almost no skill, and has some of the best overall returns. Here’s why - enjoy! Add me on Instagram: GPStephan The YouTube Creator Academy: Learn EXACTLY how to get your first 1000 subscribers on YouTube, rank videos on the front page of searches, grow your following, and turn that into another income source: https://bit.ly/2STxofv $100 OFF WITH CODE 100OFF (Limited Time Only) Merch: http://www.GrahamStephanStore.com/ What IS an index fund? An index fund is basically just a group of investments that you can invest your money into, and then you’ll own a small percentage of the entire thing. Index funds track the entire market as a whole, rather than one specific stock. Why Invest in an Index Fund: They have very low fees. This is because indexes are very simple to put together, very simple to manage, there isn’t much overhead, and those savings get passed on to you. This is also what’s known as a PASSIVELY managed fund. You’re getting an entire portfolio of stocks that automatically gets balanced and adjusted over time, without doing any work, and you pay as low as 0.04% annually. This is the opposite of a MUTUAL FUND, which employs professional stock pickers who aim to generate market-beating performance. However, the additional overhead expense associated with this, as well as the fees incurred by buying and selling, ultimately gets passed on to you, as the investor, in the form of higher fees. And that is WITHOUT the guarantee of actually beating the market. Second Advantange: The majority of investors will get a HIGHER return long term with an index fund than they will by investing in individual stocks on their own. Several studies have suggested that over 92%-95% of portfolio managers could not out perform the market index over a 15-year period. And these figures are SO MUCH WORSE for the average individual investors. Third Advantage: Diversification. Even if you have 20 individual stocks in your portfolio, one of them dropping in price could cost you a lot of money. On the other hand, if you buy the SP500 500 index fund, your investment will depend on 500 different stocks, only three of which account for more than 2% of the entire index. This means having a few companies go down or up won’t make a huge difference in your portfolio, but you get the advantage of riding the entire market as a whole as they rise in value over time. Fourth Advantage: It’s easy. I also acknowledge that I am not a stock market expert. I cannot buy and sell stocks that will consistently beat the market long term, nor do I have an interest in spending that much time watching stock charts and reading news so I can make the proper decisions. Source: https://mymoneywizard.com/3-fund-portfolio/ How to do this: My favorite index fund investing method is called THE THREE FUND PORTFOLIO: * US Stocks: Vanguard Total Stock Market Index Fund (VTSAX) * International Stocks: Vanguard Total International Index Fund (VTIAX) * Bonds: Vanguard Total Bond Market Index Fund (VBTLX) That’s it. This gives you the broadest diversification at the absolute cheapest cost. Not only that, but because you’re investing in multiple asset classes, you’re diversified through three mostly uncorrelated markets, and that protects you against any swings from one individual market. Sources: TIME IN THE MARKET beats TIMING the market: Charles Schwab. https://www.schwab.com/resource-center/insights/content/does-market-timing-work Warren Buffet Millionaire Bet: http://fortune.com/2017/12/30/warren-buffett-million-dollar-bet/ Beating the market: http://www.aei.org/publication/more-evidence-that-its-very-hard-to-beat-the-market-over-time-95-of-financial-professionals-cant-do-it/ https://www.marketwatch.com/story/individual-investors-are-destroying-their-wealth-2012-10-19 For business or one-on-one real estate investing/real estate agent consulting inquiries, you can reach me at Grah[email protected] My ENTIRE Camera and Recording Equipment: https://www.amazon.com/shop/grahamstephan?listId=2TNWZ7RP1P1EB
Views: 113679 Graham Stephan
The 5 WORST Money Mistakes To Avoid In Your 20’s
 
13:52
These are the Top 5 WORST Money Mistakes people make in their 20’s, and how to avoid them - enjoy! Add me on Snapchat/Instagram: GPStephan Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ Get $50 off for a LIMITED TIME with code ThankYou50 - The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $125 million in sales: https://goo.gl/UFpi4c Shout out to Phil Towns #1 Rule investing for the video inspiration! 1: Substantial student loan debt. A recent study determined that the average student loan amount for the class of 2016 was $37,172. Even worse, it’s forecasted that the total outstanding student loan balance will reach 2 TRILLION DOLLARS by 2022. Absolutely re-consider if college is the right choice and if you need a degree for what you want to do. If so, consider a community college for 2 years to save the money, then transfer. It makes no difference (except to your bank account. 2. Waiting to invest. One of the BIGGEST advantages that you have in your 20’s is TIME. Not only can you ride out any short term fluctuations in the market, but you can fully take advantage of what’s called COMPOUND INTEREST. This is why the money you SAVE and INVEST in your 20’s is arguably the most IMPORTANT money you have your entire life. You can basically get 40 years for your investments to grow into something massive, simply because you have time on your side, working in your favor. 3. Buying an expensive car. Assuming you’re just a car enthusiast and want a fun car to drive, there’s nothing wrong with buying a nice car in your 20’s…just make sure you can afford it. Ideally, less than 10% of your take home salary should go to a car payment…this means just get a Miata or S2000 instead of a Porsche 911. Take the budget route until you’re in your 30’s. 4. Renting an expensive apartment. Renting a place is awesome, especially if this enables to you to save and invest elsewhere. And you should also live somewhere you’re happy with. But throwing a TON of money at a cool apartment in your 20’s is a waste. An expensive apartment in your 20’s is simply going to take away from the lifestyle you can live when it DOES matter…it’ll take away from future financial security, from future investments, and from future retirement. The more money you can save here, the more money you can have elsewhere. 5. Not keeping track of your finances. Very few people actually do this, but it will make a massive difference. To do this, just sign up on Mint.com or PersonalCapital.com - it’ll automatically track your spending. From there, you can reasonably start a budget, track your finances, and then cut back or save as needed. If you do this, you’re going to be ahead of 99% of the population…and it doesn’t take much time to do this. Maybe 10 minutes a week, if that…this is really, really simple stuff. The time it takes you to watch one of my videos and hit the like button…that’s how long it takes ;) For business inquiries or paid one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq
Views: 163218 Graham Stephan
How To Invest In Real Estate: The ULTIMATE Guide to Calculating Cashflow (EASY)
 
13:55
Here is EXACTLY how to calculate and analyze the cashflow of a rental property anytime you invest in real estate…and make as much passive income as possible! Enjoy! Add me on Instagram: GPStephan 70% OFF FOR A LIMITED TIME: The Real Estate Investing Blueprint - Complete Guide To Investing in Real Estate: https://the-real-estate-agent-academy.teachable.com/p/the-real-estate-investing-blueprint/ Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ Brandon Turner from Bigger Pockets video: Calculating Numbers on a Rental Property [Using The Four Square Method!] https://youtu.be/T_7vhsSBi7c This is probably THE MOST important step anytime you’re looking for an investment…this one single calculation tells you EVERYTHING you need to know about the property….it’s going to tell you how much money you’re going to make, it’ll tell you how much a property is worth, and it’ll tell you how much you should offer on the property to get your ideal ROI. Anytime you’re evaluating a property, you’re going to have to calculate the GROSS INCOME. This is the TOTAL amount of income the property will be generating, BEFORE expenses. In addition to rents, it’s important to calculate any other income that property generates. For example, I’ve seen some properties that have laundry unit income I’ve seen some that charge separately for storage. Some that charge separately for parking. Now we need to go to the next step: EXPENSES. Anytime you own a property, you’re going to have FIXED EXPENSES NO MATTER WHAT - this means that even if you bought the property outright IN CASH, NO MORTGAGE, you’re still going to have these expenses…they’re fixed, and there’s no way around it. These expenses include: Property taxes - that’s unavoidable Insurance - you better have insurance If there’s an HOA - I don’t like HOA’s If you pay utilities for the tenants - make sure they save water Normal upkeep - like a gardener, pest control, etc. Repairs that need to be done If there’s any management fee And vacancy when inevitably a tenant will move out and you’ll be missing out on that rental income After that - we’ll need to calculate our NET RENTAL INCOME. Subtract EXPENSES by GROSS INCOME and this is your net income. From this, your can calculate your CAP RATE: Divide the NET rental income by the purchase price, then multiply that by 100, and what you have left over is your percentage return. Next, we need to calculate the Mortgage Payment. Use http://www.MortgageCalculator.org to calculate your mortgage payment. From there, subtract your mortgage payment from the NET RENTAL INCOME and that is your return! But then we also have the RETURN ON EQUITY. Remember, every month you pay down your mortgage, part of that payment is interest on your loan balance, the other part is EQUITY towards paying down the loan…because remember, after 30 years, you’ll have no more mortgage and you’re owning this out right. So every month that goes by gets you closer to that goal. In order to calculate how much equity you’re paying down, lets go back to MortgageCalculator.org, look under “calculate” where it says “show amortization schedule.” Then click “show annual amortization.” Then hit calculate. So now, we add this back into our income, and that becomes your TOTAL ROI. And that’s exactly how I calculate the cashflow of a property. With this entire formula, you can pretty much just plug in your own numbers and spit out the expected return!n! For business or one-on-one real estate investing/real estate agent consulting inquiries, you can reach me at [email protected] My ENTIRE Camera and Recording Equipment: https://www.amazon.com/shop/grahamstephan?listId=2TNWZ7RP1P1EB Favorite Credit Cards: Chase Ink 100k Bonus Point Offer - https://www.referyourchasecard.com/21/ZVSGGIXM8U American Express Platinum - http://refer.amex.us/GRAHASOxHd?XLINK=MYCP
Views: 89599 Graham Stephan
How to get your Real Estate license and become a Real Estate Agent
 
17:17
As a full time real estate agent since 2008, this is the most common question I get asked - so this is my video addressing anyone interested in getting into the real estate sales industry. It’s been the funnest “job” I’ve ever had and I couldn’t imagine doing anything other than working as a Realtor and investing in my own properties on the side. Feel free to add me on Snap/Insta: GPStephan Learn how to make money as a Real Estate Agent, build your network of clients, and the exact steps I’ve used to grow my business from $0 to over $120 million in sales: $50 off with code ThankYou50 for a limited time: https://goo.gl/UFpi4c Benefits of becoming a Realtor: -You don’t need a college degree -You make your own hours -You don’t have to be in an office all day -You can wear what you want, for the most part -You can directly control your income -You can meet people you’d never ordinarily meet -You get to see some crazy cool homes -You can represent yourself when you buy/sell your own properties -You get great tax advantages and tax deductions On the downside: -Many people fail -Many people never make money -Your income can be very sporadic (high highs, low lows) -The hours can be odd/inconsistent -Not everyone can handle working with people and multiple personalities You don’t need any prior knowledge in the real estate industry, although you will need to learn a significant amount as you go along. It also doesn’t take a ton of money to get started - as long as you have some savings to cover yourself until you start earning consistent money, which could be 6-12 months from when you start, the fees are manageable. The cost of actually becoming licensed could be as little as a few hundred dollars. It’s also a great career to start when you’re young - since you have very little overhead, it’s a great time to begin learning and honing your skills. By the time your older, you’ll already have established yourself in the industry. First step is getting your real estate license. The requirements vary from state-to-state, so google “How to get your real estate license in (your state here).” You’ll usually need to enroll in a real estate course which is generally about 135-hours of education. You can take it online (what I recommend) or in person. If you’re in California, I took my real estate license course from PremierSchools: https://goo.gl/IDVxCf (use code grstp for 5% off). www.AlliedSchools.com is also another great option, as is Kaplan for most other states in the US. Once you pass these courses, you’ll sign up to take your state test. This is what you’ll need to study for - generally there are plenty of exam cram products you can buy, many of which are helpful. Passing your tests and getting your license is easy. Really, really easy - the barrier to entry is very, very low. Actually making money is another story. Once you get your license, my BIGGEST recommendation is to work as an assistant to another Realtor. This will give you all the experience you need with very little risk, since you’re getting paid for your time. When you feel comfortable enough, you can go off on your own and begin working your own clients. Even if you have to intern for free to see if you like it, it’s worth it for the experience. If you decide to go off on your own, you’ll need to join a real estate brokerage as a new agent who will oversee your salesperson activity. My recommendation is to first find a brokerage that works in the area that you want to work in. If you want to work in the high end luxury market, find brokerages that work in the area you want to be in. Make sure that brokerage also offers training and support - this is crucial as a new agent who’s still learning. A good book I recommend is “the millionaire real estate agent” by Gary Keller. This pretty much covers everything you’d need to know! This can be bought here: http://goo.gl/TPTSVC Thanks for watching!
Views: 182016 Graham Stephan
The 7 BEST Tax Write-Offs when Investing in Real Estate!
 
14:18
Here are my 7 favorite tax write offs when it comes to owning real estate or investment property and a few examples of how each of them apply. Enjoy! Feel free to add me on Snapchat / Instagram: GPStephan Owning real estate is much more than just owning a cash producing property that provides monthly profits, what makes it really unique against almost every other investment is the tax write offs associated with it. In real estate, a return could be calculated in so many different ways besides “I get $1000 per month in rent.” What makes real estate really special is that you could often make money every month, but on paper show a loss…and this cancels out your tax obligation. Here are some of the tax write offs that make real estate a phenomenal investment. 1. Mortgage interest write off - On an investment property, the interest that you pay on your mortgage is a write off against your rental income. On a primary residence, the mortgage interest on the first $750,000 could also be a write off, potentially saving thousands in owed taxes. 2. Property taxes - This is another deduction you can write off against your rental and personal income. As a primary residence, you’re allowed to deduct the first $10,000 of your property tax against your personal income As an investment property, you can still deduct 100% of your property taxes against your rental income. 3. Depreciation - This is what often leads you to be positive in your bank account each month, but on paper you could show a loss, lowering the amount you’d pay taxes on. With rental property, you’re allowed to depreciate the asset over a certain period of time. Cost segregation analysis can sometimes speed this dramatically. However, keep in mind that because you’re depreciating a property, eventually the tax you depreciate will need to be paid at the time of sale if you DON’T 1031 it, so it’s not a tax avoidance entirely, but this works great if you plan to keep the home as a rental or eventually do a 1031 exchange later on. 4. 1031 exchange. This is a very popular real estate tax benefit that almost every real estate investor uses. This means that you can sell your property and “Exchange” it for a like property of similar or greater value without paying taxes at the time of the same sale. This is how many people can buy and sell millions without ever paying capital gains taxes, as long as they don’t sell and continue 1031 exchanging properties. 5. Capital gains exclusion on a primary residence: As long as you’ve lived in the home for 2 of the last 5 years, you can sell a your primary residence up to $250,000 HIGHER than you bought it for if you’re single, or $500,000 if you’re married, without owning capital gains tax. 6. Cash out refinance - When used against a rental property, you can refinance the extra equity in the property and pull out the profits tax free. Even though this is technically a loan you have to pay back, you’re borrowing from the existing equity and using that money without paying taxes on the money that hit your account. This gets a little more complicated as a primary residence, but on a rental, this is a huge advantage because the new mortgage you pay on the amount pulled out counts against your rental income…so you can use this money for pretty much whatever you want, hopefully just to re-invest. 7. Finally, rental property income is not taxed as self employment income, which carries a 15.3% self employment tax (not fun). But keep in mind this is also dependent on how you hold the property and specific ways you’re treating your income. Disclosure: I am not a tax consultant or CPA. These are just a few tax advantages I have used myself and I have simplified these significantly for purposes of explaining them on YouTube. Check with your own accountant or CPA because every situation is going to be unique. For business inquiries or one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq Favorite Credit Cards: Chase Sapphire Reserve - https://goo.gl/sT68EC American Express Platinum - https://goo.gl/C9n4e3
Views: 24929 Graham Stephan
A warning about Robinhood's 3% Checking Account…
 
12:17
If it sounds too good to be true, it probably is…but does that apply to Robinhood’s new 3% Checking and Savings accounts? After reading the fine print, here’s what you need to know. Enjoy! Add me on Snapchat/Instagram: GPStephan Join Robinhood and get a FREE STOCK: https://share.robinhood.com/ericd461 Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ GET $50 OFF FOR A LIMITED TIME WITH COUPON CODE: THANKYOU50 The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $125 million in sales: https://goo.gl/UFpi4c Robinhood just announced that it will now be offering a 3% Interest Rate on their Checking and Savings accounts to begin in 2019. What makes this an amazing offer is that “Robinhood Checking & Savings accounts come with no fees, minimum balances or deposit requirements.” Also, interest is paid out DAILY…that’s absolutely incredible. The “catch” here is that because Robinhood isn’t technically a “bank,” you’re actually opening a brokerage account where your money isn’t FDIC insured. So instead, they offer SIPC Insurance. SIPC protects you up to $250,000 in cash, or $500,000 in assets upon broker failures…this means that if Robinhood ever closed down due to financial difficulties and assets went missing, SIPC steps in to help return client’s money. This does NOT apply if Robinhood mismanages funds or breaks regulation. It’s not quite as strong as FDIC insurance, but it’s relatively safe as long as Robinhood is in compliance. Another small risk here is that the President and CEO of SIPC claims that “SIPC protects cash that is deposited with a brokerage firm for one limited purpose...the purpose of purchasing securities. Cash deposited for other reasons would not be protected.” Robinhood claims that because the checking and saving products are technically part of a brokerage account, they would be protected by SIPC like other brokerage assets. People can trade stocks and other assets through the brokerage using the money in these checking and savings accounts. Personally, this sounds a little sneaky of Robinhood to call this a “checking account”…but characterize it as a brokerage account. So how are they able to even pay out a 3% in the first place? The way I see it, this is their cost of customer acquisition. This is how much they believe ONE customer is worth to them, long term. They want people to talk about it, they want people to be Robinhood customers, and in order to do that, they have to do something DRAMATIC…otherwise no one would bother moving their money over. Fortunately for them, this is just going to be a Short Term loss…I have a feeling we’ll see ALL checking accounts offering a 3% interest rate in the next 10-15 months. And by then, they lose the early mover advantage of offering this before anyone else. Here’s what I think is going to happen…this is going to be a loss leader for the company. I also think Robinhood is going to SIGNIFICANTLY underestimate how many people will sign up for this service, as well. But as long as they have the funds, they will manage just fine. Now of course you run the small risk of them being a newer company that’s not FDIC insured…and the “Risk” is really only for an extra 1% compared to keeping your money in Ally, for instance…so is it worth the risk? Maybe. Also if something happens to Robinhood and they break the law, and SIPC insurance says “you called it a checking account, we’re not covering it”…you might be out of luck. The good news is that Robinhood doing this forces OTHER companies to be more aggressive with their checking and savings account returns, and I bet we’re going to see many other companies follow this move coming in January! For business inquiries or paid one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq
Views: 251878 Graham Stephan
He PRETENDED to buy a $40,000,000 house...and I believed him!
 
10:02
Here’s a hilarious story when I first started selling real estate, with a gentlemen I met at an open house. Turned out he wasn’t who I thought he was, entirely my own fault, and this is that story. Enjoy! Snapchat/Instagram: GPStephan Learn how to start and grow your career as a Real Estate Agent, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $120 million in sales: $50 off with code ThankYou50 for a limited time: https://goo.gl/UFpi4c Thanks again for watching! For business or one-on-one real estate investing/real estate agent consulting inquiries, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq Favorite Credit Cards: Chase Sapphire Reserve - https://goo.gl/sT68EC American Express Platinum - https://goo.gl/C9n4e3
Views: 62394 Graham Stephan
How To Invest in 2019 (How ANYONE can be RICH)
 
16:55
Here’s a step by step guide of How to Invest in 2019 and the basic strategies to begin investing and growing your wealth - enjoy! Add me on Instagram/Snapchat: GPStephan Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ Get $50 off for a LIMITED TIME with code ThankYou50 - The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $125 million in sales: https://goo.gl/UFpi4c First, for those just looking for a basic place to put their money, we have the almighty Ally Bank Savings Account that currently offers a 2% interest rate. You can also use a few other high interest bank accounts, like Barclays, Sychrony Bank, or American Express Savings…they all currently offer around a 2% return. Second…and this is arguably the most important part of this entire video…when it comes to investing, especially if you’re JUST starting out, is set up a Roth IRA. This is basically an account that you can put money into, and by the time you’re 59.5, you can pull ALL of your profit completely tax free without paying ANY capitals gains tax. Vanguard has a great option for a Roth IRA if you chose to invest with them. Now third, in terms of WHAT to invest in, my BIGGEST recommendation for MOST people out there is to invest in an index fund with a low expense ratio. When people always ask “how can you get an averaged 8% return”…this is pretty much my advice. Long term, historically, over the last century, the stock market has returned about 8% annually, adjusted for inflation, with dividends re-invested. Ok…number 4…and I figured I’d put this here instead of listing it back to back with the Roth IRA…but that’s setting up a Traditional 401k. This is an account where whatever you contribute is deducted from your total taxable income, and you can grow your investment tax free until you take it out at 59.5. This means that you’ll have MORE money to invest because you’re paying LESS in taxes. The “catch,” however, is that you’ll pay taxes on whatever you take out of your account after the age of 59.5. Now number 5…back to investment options. If you want to, or you’re interested in doing a little more work, you can invest in individual stocks. I personally recommend you try to do this within a Roth IRA or 401k to avoid getting taxed on your profits…but this isn’t required. You can just as easily open an account on Robinhood, invest in individual stocks commission free, and reap some pretty great returns. Now Number 6…my favorite…obviously…is investing in real estate Real Estate. Now unfortunately, this is one of those things that you’ll probably need to work up to. Especially if you’re just starting, unless you have a decent amount of money to already work with, I’d probably recommend saving up or investing elsewhere and then coming back to real estate one you have some capital to work with. Typically, you’re going to need about a 15-20% down payment - which could be a lot of money depending on where you’re planning to invest. But real estate is my favorite for a few reasons: The first if that you get immediate cashflow from renting it out. Second, because of all of the tax deductions, most of that income you make is tax free Third, you’re able to BORROW most of the money to buy real estate and slowly pay that off over time Fourth, you’re building up equity as you pay down the loan - so eventually you’ll own it outright And finally, the property is likely to increase in value over time This is why it’s no surprise that 90% of the world’s millionaires are created through investing in real estate…and I’m absolutely no exception! And finally…number 7…drum roll…is investing into a business. And this is probably where you can get the highest return from just about ANYTHING I’ve mentioned so far, or pretty much ANY other investment out there. Now these are just a few ideas for you to go out and consider…some people might say forex trading, swing trading, etc, the list goes on. But as I mention time and time again, the higher the return, the riskier the investment, and that’s absolutely something to take into consideration. For business inquiries or paid one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq
Views: 450734 Graham Stephan
How To Save For A House (Plus EVERYTHING else you'll need to know)
 
15:40
Lets get back to the basics in terms of saving enough for a down payment to buy real estate, what you’ll need for lenders to give you money, and some things to prepare for before you start buying a house. Enjoy! Add me on Instagram/Snapchat: GPStephan Learn my exact strategies to help grow your career as a real estate agent to a six-figure income, how to best build your network of clients, expand into luxury markets, and exactly what you can do to begin taking your career to the next level…these strategies took me to $120,000,000 in sales volume: https://goo.gl/UFpi4c Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ It begins with the following: Good credit - Anything above a 740 generally gets the best rates. 2 years worth of tax returns - This shows that your income is consistent and that you’ve built up some work history. Bank Statements and proof of income for the last 2-6 months - this way you can prove how much money you’re actually making and spending. With that, they can calculate what your debt to income ratio is - banks prefer those who save a lot, and spend very little. Cash reserves - sometimes it can be 3-6 months of mortgage payments, taxes, insurance, and a buffer in liquid cash or assets. Pretty much any time you buy real estate, you’ll need a down payment. Banks want to see that you have your own money at risk when you buy a house…this down payment forms your initial equity in the property. Generally 15-20% down is about what I’m seeing. If you don’t put down 20%, you’ll generally need to pay PMI which stands for private mortgage insurance. This is an extra cost that helps assure the bank you’ll be making your payments, since the less money you have in the deal, the higher the risk is that the bank will lose money in the event you foreclose. If you can qualify lower down payments and the numbers make sense, go for it. But in more expensive markets, you’re going to need more money down. Some other options might be available like a VA loan where you can buy with 0% down - so this will be up to you figure out what’ll be best. When saving for a property, it’s really about setting your priorities and deciding what comes first - if buying a property is your number one priority, it might make sense to cut back in other areas just for the sake of accomplishing this. What I use that helps a lot is Mint.com and PersonalCapital.com - I use these to track all of my expenses. You need to know where every penny is spent and exactly how much you earn. It’ll be nearly impossible to save as much as you can without doing this. One other strategy I like to use is to automate my savings. I have one bank account where all of my money is deposited and saved - this is Ally Bank. Then I have a Bank of America account for my expenses. I’ll only transfer a certain amount of money every month to bank of America, this means that everything else I have is pretty much already stashed away. Finally, generally banks won’t want the mortgage payment to exceed about 44% of your total income after expenses. Again, with this, it’s all cutting back as much as you can. You really have to make this a priority to save as much as you can. Now for those who just don’t earn much money in the first place, the reality is that you’ll need to either cut back on your expenses as much as you can and save the difference - or work to increase your income. There’s no way around it, there’s no way to sugar coat this - if you’re not earning enough money, you’ll need dedicate yourself to making more money. This is one of those things where if you want it bad enough, you will somehow find a way to make it happen. Now one more thing I do when it comes to saving is to keep it all in a high interest savings account. Most people want to invest it, although in the short term, there could be too much volatility to risk it in the markets. Ultimately, when saving up for a down payment, it really just comes down to income vs expenses - and once that’s handled, banks will look at the bigger picture to determine what you’d be qualified to receive. And patience and discipline here goes a long way - you will need to do this long term consistently. For business inquiries or one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq Favorite Credit Cards: Chase Sapphire Reserve - https://goo.gl/sT68EC American Express Platinum - https://goo.gl/C9n4e3
Views: 172500 Graham Stephan
Couldn’t handle it...why I just hired a property manager
 
15:46
The time has finally come. I finally hired a property manager while I invest in real estate, after 7 years of managing the my rentals myself. Here’s why and what led me to that choice - enjoy! Add me on Snapchat/Instagram: GPStephan Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ Get $50 OFF + FREE Coaching Call FOR A LIMITED TIME: Code THANKYOU50 - The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $120 million in sales: https://goo.gl/UFpi4c I ended up buying two houses and a triplex in late 2011 and early 2012. Since then, managing them has been extremely easy. For the most part, it took me 1-2 hours per MONTH of work to manage 5 tenants at the time. Most of this time was spent making sure rent had been paid, cashing rent checks, making sure bills were paid, and just generic accounting. If something broke, I’d just call a contractor to go out and fix it. I also rarely had vacancies.. My rental landlord philosophy was this… I generally don’t raise rent, unless it’s a unique situation or cash flow issue. For instance, on my original 3 properties, I’ve only raised rents when a unit becomes vacant. I’ve had some tenants since 2011 that are paying the SAME rent since back then. Am I leaving money on the table? Sure. But on the upside, I have really, really great tenants that take really good care of the place, treat it like their own, always pay on time, and are all around really awesome people, making it easy for me to manage. They have zero desire to move since they’re paying so much less than they would if they went somewhere else and in return, it’s easy for me. It’s a win win. But recently the unthinkable happened…a tenant had to move and relocate for work. And now my vacant place needed a little work - just minor fixes, re painting some stuff, etc. And finally, at that point, I thought about it…the time it would take for me to drive an hour each way just to go there, the time it would take to coordinate a walk through, meet and screen tenants, handle payment, etc…just wasn’t worth it. My time was better spent doing just about anything else. And finally, it clicked…I gotta hire a property manager, I just can’t handle it myself. So I did some research online, found a recommendation…did some negotiating back and forth for a day on prices between that and another company, and settled on a flat 8% management fee, everything included, and I moved forward. My reasoning now is that my time is way more valuable doing anything else other than managing a place, and the money I spend will save me more money that I can make elsewhere. So I did it…I hired a property manager for my first house. Now remember, I’m still managing my other 4…that’s really easy. But if I have another vacancy, the management company will get that one too. And eventually I’ll slowly phase the management company in to replace all the work I currently did. I’m only a month into this so far, but overall I like it. It’s amazing to be “Stress free” and have that distance between you and the tenant. I like that someone else handles it all, and all I have to do is simply just collect the check…I’m a little paranoid that something might fall through the cracks if I’m not micro managing it, but I’m doing my best just to let someone else take over. So that’s the story, and that’s why I hired a manager for one of my properties. If this goes well, I’ll slowly phase it in to everything else and have real estate investing become 1-2 hours per month more passive. For business inquiries or paid one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq Favorite Credit Cards: Chase Sapphire Reserve - https://goo.gl/sT68EC American Express Platinum - https://goo.gl/C9n4e3
Views: 116497 Graham Stephan
Pros and Cons of Stocks vs Real Estate: Is one better than the other?
 
12:58
So which is the "better" investment...stocks or real estate? In this video, I do my best to break down the pros and cons of each option and weigh the results against the potential return one could possibly expect to achieve. Since picking individual stocks can vary so widely in price, as would flipping a house, I'm comparing long term rental real estate to an total stock market index fund. It’s a hard question to answer, and a lot comes down to personal preference, but these are some things to take into consideration before we break down the numbers. Just for clarification - picking individual stocks, day trading, or swing trading is NOT included - you could achieve much higher returns and many people do this. However, since you could also invest and flip real estate, I felt this would be an unfair comparison with too many variables - which is why index funds vs rental properties were used. Each have their upsides and downsides… Pros for index fund investing: -It’s completely passive. Once you spend a few minutes going to a website and buying a stock, you’re done. -You don’t need tens of thousands, or hundreds of thousands of dollars like you generally need with rental real estate. -There are no hassles of working with tenants, fixing items, or maintenance. -You can buy index funds within a tax advantaged account such as an IRA or 401k. -Stocks are fairly liquid and you can cash out quickly when you want to sell. Pros for real estate investing: -You have total control over what you buy and at what price -You can take advantage of undervalued properties and areas -You can add square footage, remodel, and gain quick equity and increase cash flow -You can leverage your money and achieve potentially higher returns -You can receive consistent rental income In terms of the raw returns, generally real estate CAN yield a higher return, usually if you leverage your money - HOWEVER, the higher return is balanced by the amount of work, skill, and knowledge needed to find the right deal and close on the right price. Real estate is also not an entirely passive investment, so even though you can make significantly more, it also comes with more work. If you’re looking for something entirely passive, stocks will likely yield a little less but it comes with the ease of not having any responsibilities or obligations. So much of it comes down to personal preference. My recommendation is to do both :) Add me on Snapchat: GPStephan Add me on Instagram: GPstephan For business inquiries, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq
Views: 77008 Graham Stephan
$5500 per year to tax-free Millionaire: Why you need a Roth IRA
 
12:55
This is one of those things I wished I would’ve learned and had done when I was younger - open up a Roth IRA retirement account. And because it saves you from paying taxes on your earnings and profits later on, I’m all about it. So this is what a Roth IRA is and this is why it’s so important to have one! Click “SHOW MORE” to read my full thoughts. Also feel free to add me on Snapchat / Instagram: GPStephan So here’s what it is - and because this confused me when I was younger, I’ll break it down as simple as possible. A Roth IRA is a type of investment account that you can set up where you invest your money today - up to $5500 per year with no immediate tax deductions - and can pull out your profits and earnings tax free when you’re 59.5. That means you pay NO TAX on YEARS of compounded interest and earnings. Your tax free profits just makes you MORE tax free profits. And it snowballs into a LOT of money. This is best done when you’re young for a few reasons…the money you invest in a Roth IRA is done post tax, which means taxes are already taken out of the money that you earn at the time you invest it. So if you make $20,000 from a job, you might be left with only $17,000 after paying taxes…so this $17,000 is now “post tax” money. The reason is best when you’re young is that chances are, you’re not earning a ton of money compared to what you WILL be earning. When you’re earning a lot of money, it’s about reducing what you owe in taxes because the more money you make, the more money you’re generally taxed. When you’re not earning a lot of money, you’re already in a lower tax bracket, so it’s advantageous to take advantage of that and pay the taxes now to invest - because in the future, you’ll hopefully earn a lot more money. Especially if you’re 18-30 and not earning a lot of money, this is PERFECT for you. When you start earning more money, there are other accounts that might make more sense for your situation. So here’s what I would do: If you’re under the age of 18 and have a job that you’re making money with, you can ask your parents to open a Roth IRA account for you. From there, you contribute money you’re making from your job - keep in mind you cannot contribute more than you earn, so if you earn $1000 that year, you can only contribute $1000. If you’re over the age of 18, right after this video is done, just go online and sign up for a Roth IRA. I use Vanguard and they’re awesome, many people use Charles Schwab or Fidelity - just make sure the account has low fees. You can contribute up to $5500 of earned income every year - if you make too much money, you can look into doing a backdoor Roth IRA contribution. I recommend putting in as much as you can afford and forgetting about it. The advantage is that since there’s compounded interest, the sooner you put your money in, on average, the more you’ll have by the time you retire. Is this a boring investment strategy? Yes. But it’s effective. I recommend just doing this on the side with what you can afford, while continuing to invest elsewhere or investing in yourself. Just to give you some ideas, if you invest $1000 per year at 18 and retire at 60, you’ll have $264,000…of that, you only contributed $43,000 over 42 years, meaning you just made $221,000 of tax free money. If you invest $2000 per year at 18, same situation as above, you’ll have invested $86,000 and made $444,000 of tax free money. If you invest the maximum right now of $5500 per year at 18 years old, you’ll have invested $231,000 and made over $1,200,000 in tax free money. If you just do $5500 per year at 18 years old, you can retire a millionaire without doing anything else. This average figure includes inflation, by the way. I hope this video helps and that this sets you up for future financial independence. Add me on Snapchat: GPStephan Add me on Instagram: GPstephan For business inquiries, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq
Views: 580662 Graham Stephan
How to prepare for the next recession…
 
15:06
It’s inevitable…we’re going to see a recession SOMETIME in the future. Here’s how you can prepare and still make a profit at the same time, enjoy! Add me on Snapchat/Instagram: GPStephan Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ Get $50 off for a LIMITED TIME with code ThankYou50 - The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $125 million in sales: https://goo.gl/UFpi4c NUMBER ONE: The first thing is that you’ll want to pay down any high interest debt. Now this is something you should do REGARDLESS of the market conditions…in a great economy, pay down high interest debt. In a recession, DEFINITELY pay down high interest debt. The LAST thing you need is high interest debt bogging you down. NUMBER TWO: Pay down variable rate debt! Any time you have variable rate debt, you’re really at the mercy of the FED…throughout the last few years, variable rates have been incredibly favorable given we’ve been in negative interest territory…but as rates go up, it’s going to begin costing you a LOT more money. NUMBER THREE: Keep 4-12 months of living expenses saved in cash. This one is huge…keep money sitting on the sidelines in a high interest savings account that you don’t touch. NUMBER FOUR: Keep your spending to a minimum. This means don’t get used to a lifestyle where it’s completely reliant on a strong economy, and if the markets go down, it’s unsustainable. NUMBER FIVE: DON’T over extend yourself! Don’t take on more debt than you’re comfortable with paying…Buy things you can afford to own out right, and only finance real estate on fundamentals with a long term outlook! NUMBER SIX: Don’t rely on only ONE source of income! This is simply too risky in the event you lose your job and all of a sudden you find yourself with no more money coming in, and then you’re frantically trying to take anything you can because you need to pay the bills. NUMBER SEVEN: KEEP SAVING! You should try to keep your savings rate consistent whether we’re in a great market, or a bad recession…if we’re in a great market, that’s awesome because that should allow you more room to save and invest. If we’re in a down market, keep saving so you can deploy cash back into the markets when everything is on sale. Do not stop saving just because you think the money will keep coming in… NUMBER EIGHT…last but not least, stay on course. You shouldn’t concern yourself about when the market is going to drop, if you should wait to buy, if you should try to time the bottom…the BEST thing to do is literally STAY ON COURSE. NUMBER 9…Make sure to smash that like button and subscribe! For business inquiries or paid one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected]om Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq Favorite Credit Cards: Chase Sapphire Reserve - https://goo.gl/sT68EC American Express Platinum - https://goo.gl/C9n4e3
Views: 69746 Graham Stephan
Why I DON'T flip houses  (revealing my favorite real estate investing approach)
 
09:01
Even though I’ve had the opportunity to flip the homes I’ve bought, and even though I’ve represented my own clients who’ve flipped real estate for massive profits, this is why I’ve preferred NOT to flip properties and instead, keep them as rentals. Add me on Snap/Insta: GPStephan Learn how to make money as a Real Estate Agent, build your network of clients, and the exact steps I’ve used to grow my business from $0 to over $120 million in sales: $50 off with code ThankYou50 for a limited time: https://goo.gl/UFpi4c To me, my priority and focus has been to build up my passive income as much as possible, year after year- so far, in the 6 years that I’ve been investing, my income from my rental properties covers pretty much all of my expenses, allowing me to save 100% of what I make from working as a realtor. This is the type of investing I prefer - partly due to laziness in that I can continue to increase my passive income and grow that up to be able to retire whenever and have total freedom to do what I want, when I want, and partly because it’s less time intensive than flipping properties. I take a very lazy, easy approach to real estate investing. It’s slow and steady wins the race attitude. Once you set up a rental property with the right tenants, it can pretty much run on its own, making you money while you sleep. Disclosure: People can make a lot of money flipping. This isn’t to say that it’s not very, very lucrative - I know and have represented people that have made hundreds of thousands per deal. It can be a great business to be in and there’s absolutely nothing wrong with it. Everyone’s goals are different and many people prefer the immediate profit of a flip - But here are my own personal reasons why I prefer to keep my properties as rentals. 1. It’s a lot of work to flip a property, especially in a competitive market. Inventory is low and finding a deal worth flipping could take months. While it can generate a lot of profit immediately, it requires your constant work to keep the momentum to continue flipping. 2. When you sell it, you pay taxes as ordinary income - not long term capital gains, which is taxed much less. 3. Market timing. Finding a good deal could take months in Los Angeles…add another 2-3 months of renovation, and another 30-60 days of having the house on the market before closing, and you’re looking at 5-9 months from start to finish per deal. 4. Profit. Given the amount of work and time I’d dedicate to flip a property, it doesn’t make sense for me when it takes my time away from my main focus, which is working as a Realtor. 5. If the property has that much equity in it that you can flip it for a profit, chances are you can charge much higher rents than before, improving your cash flow. For me, I’ll take passive rents without doing much - it just requires some upfront work and an initial upfront investment, but once you get it going, it can run for a very long time. Having this type of passive income really allows you the freedom to do what you want, when you want - and focus on what really brings you the most joy. For this reason, I prefer rental properties over flipping. For business inquiries, you can reach me at [email protected] Add me on Snapchat/Instagram: GPStephan Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq
Views: 63033 Graham Stephan
5 Mistakes that RUIN your Credit Score
 
12:31
Building your credit is easily one of THE most important things you can do to improve your financial future. However, these 5 common mistakes will RUIN your credit score - this is how to avoid it. Enjoy! Add me on Instagram: GPStephan The YouTube Creator Academy: Learn EXACTLY how to get your first 1000 subscribers on YouTube, rank videos on the front page of searches, grow your following, and turn that into another income source: https://bit.ly/2STxofv $100 OFF WITH CODE 100OFF (Limited Time Only) Merch: http://www.GrahamStephanStore.com/ First: Missing a payment or by paying it off late. This is probably the most detrimental mistake you could make, because your payment-history makes up 35% of your overall credit score. And what’s even worse, is that your payment history is stays on your credit report for up to seven years. So when it comes to preventing this from happening, here are two things I always do: First, I ALWAYS make sure to have auto-pay enabled to make the minimum payment. This way, NO MATTER WHAT, I’ll always at LEAST pay off the minimum amount I owe, on time. Second, I use a combination of Mint.com and CreditKarma.com to keep track of all my credit cards and credit card balances every few weeks. If I see something with a balance, I’ll always just go in and pay it off immediately so I don’t forget about doing it later. This usually takes a few minutes every other week to manage, it’s fairly simple. Second: Maxing out your credit card This is because 30% of your credit score is calculated by what’s called your credit utilization - this is the amount of credit you have available to you, versus how much of it you actually use. So when it comes to avoiding this mistake, thankfully it’s fairly easy to do in a few steps: First, try to keep your credit utilization under 30%. This means for every $1000 of credit that you’re given, you keep a balance under $300 at all times. The second thing you can do, IF you need to make larger one-time purchases on your credit card, is pay it off as soon as you exceed 30%. Third strategy I’ve used is to have MULTIPLE lines of credit so that it lowers the overall credit utilization. But…the GOOD news with this is that even if you DO max out your credit card…your drop in credit score is only temporary until you pay it off! Third: Opening up too much credit, too quickly Each time you apply for new credit, it’s called a “hard inquiry” - which just means that a third party has run your credit, indicating you’ve applied for a loan. Each time this happens, it’ll lower your credit score about 3-5 points…and this affects your credit score for the next 6 months. On one hand, the more credit cards you have, generally the more diverse your credit history is, and because of that, the HIGHER your score will be - LONG TERM. In the short term, however, the more cards you apply for at once, the higher risk you become to lenders, and because of that, the LOWER the score you’ll have. So when it comes to this, here is my advice: If you’re planning to buy a house or car in the next 6-8 months, or you plan to finance any large upcoming purchases, DO NOT open up new lines of credit. It’s just too risky and if you lower your score at a time where you need it the most, it could be detrimental to your loan! Fourth: Closing an old credit card. This is because the AVERAGE length of your credit history makes up 15% of your overall credit score, so when you cancel an old credit line, you inadvertently also lower the AVERAGE age of your credit. This is why It’s important to ALWAYS keep your oldest credit accounts active, even if you never use them - just because this weighs down your average account age to show it’s been open longer. Fifth: Not having any credit at all! If you don’t have a credit score, you’re an “unknown” to lenders because your entire credit score is NOTHING…and because of that, no lender will ever loan you money for a house, or a car, or anything else you might want to finance. If this is you, learn from my mistake and get SOME type of credit card. For business or one-on-one real estate investing/real estate agent consulting inquiries, you can reach me at [email protected] My ENTIRE Camera and Recording Equipment: https://www.amazon.com/shop/grahamstephan?listId=2TNWZ7RP1P1EB
Views: 55397 Graham Stephan
Beware: The Inverted Yield Curve
 
10:35
The Inverted Yield Curve: Lets discuss what this means, why it’s important, and if this could predict a recession. Enjoy! Add me on Instagram: GPStephan The YouTube Creator Academy: Learn EXACTLY how to get your first 1000 subscribers on YouTube, rank videos on the front page of searches, grow your following, and turn that into another income source: https://bit.ly/2STxofv $100 OFF WITH CODE 100OFF (Limited Time Only) Merch: http://www.GrahamStephanStore.com/ Ok, lets start here: what is the yield curve The yield curve graphs the short term bond returns with long term bond returns. And generally speaking, the longer lend your money, the HIGHER the return you should have. This is because, long term, you might not know where the markets are heading, you aren’t sure of inflation, and there’s more to go wrong, in a sense. So because of that, you should be compensated a little more for the LONGER you invest. However, right now, things are quite the opposite: you can get a higher return investing your money in short term bonds for just 3 months…than you can investing your money in long term bonds for 10 years. That is what’s meant by the yield curve INVERTING. All you need to know is that when this happens, it’s used as an indicator that a recession is soon to come. This is because an inverted yield curve has correctly signaled nine recessions since 1955, with only one false positive in the 1960’s. https://www.frbsf.org/economic-research/publications/economic-letter/2018/march/economic-forecasts-with-yield-curve/ Now…looking back all the way back to the 1960’s, when the 3 month / 10 year yield inverts for more than 10 days, it took an AVERAGE of 311 days from there to actually enter a recession. And once in a recession, it lasted - on average - of 17.5 months. https://www.marketwatch.com/story/the-yield-curve-inverted-here-are-5-things-investors-need-to-know-2019-03-22 https://www.forbes.com/sites/cameronkeng/2018/10/23/recession-is-overdue-by-4-5-years-heres-how-to-prepare/#700a7f4940d8 So here’s what this means, and what you should do about it. Yes, this has predicted the last 9 recessions with one false positive…but this doesn’t ALWAYS mean it will be the case with 100% certainty, and if it IS right, we still don’t know how the market will behave and where the market will end its highs and lows. A recession could happen now, or it could happen in a year from now - the markets could go up another 15% before they decline, or they can go down 10% tomorrow….no one can predict it. Most of this data we get is seen AFTER it’s already happened, so we can’t be completely sure what will happen in the near future to act on it with reasonable accuracy. This leads me to my own thoughts and my own advice…and this is how I basically run my entire life: Focus on the things you can directly control, and ignore the things you can’t. By focusing on what you CAN control, and disregarding everything you can’t…you give yourself MUCH greater power to make the most of opportunities, LONG TERM, without concerning yourself about what the markets may or may not do in the short term. If the markets go down - fine, that’s just part of the market cycle. Use that as an opportunity to continue buying at lower prices, knowing that long term, you’ll be ok. If the markets continue going up - fine, that means your current investments are also going up in price. It’s great to be aware of economics and what drives business, but at the end of the day, focus on what you can control and make sure you’re not in a position where you’ll be hurt if prices fall, so you can ride it out until it recovers. And understand that even IN a recession, even WHEN prices drop - because they will at some point - that those are often the best opportunities to take advantage of. It should be something to embrace, not something to fear. For business or one-on-one real estate investing/real estate agent consulting inquiries, you can reach me at [email protected] My ENTIRE Camera and Recording Equipment: https://www.amazon.com/shop/grahamstephan?listId=2TNWZ7RP1P1EB
Views: 58859 Graham Stephan
The 6 BEST Side Hustles That Pay $20-$200 Per Hour
 
10:01
Lets go over some of my favorite side hustles that pretty much ANYONE can do, In their spare time, from home, to make an extra $50-$1000 per month. Enjoy! Add me on Instagram: GPStephan The YouTube Creator Academy: Learn EXACTLY how to get your first 1000 subscribers on YouTube, rank videos on the front page of searches, grow your following, and turn that into another income source: https://bit.ly/2STxofv $100 OFF WITH CODE 100OFF (Limited Time Only) Comica Wireless Mic: https://amzn.to/2Ew7rZZ Nicolas Cage Pillowcase: https://amzn.to/2tPoTDZ First Side Job: Focus Groups. I’d used to do these every other week, typically schedule it in the late evening or early morning, and they’d pay anywhere from $50-$500 for 1-3 hours of your time. To do this, I went to FocusPointeGlobal .com, and then I’d fill out any applications they would email to me. I probably got selected for 1 out of every 5, and they were honestly pretty fun to do. Second Side Hustle: Credit Card Churning Many credit cards will offer what’s called a sign up bonus. This means when you go and apply for the card, then meet the minimum spending on that card in the first few months, they’ll give you a certain number of points. Those points are them redeemable for free travel, free hotels, or cash back. So all I do is sign up for the card, meet the minimum spending requirement for money I was going to be spending ANYWAY, then just enjoy the free travel. The trick to doing this successfully is to ALWAYS pay off your credit card balance in full, NEVER charge money to the card that you wouldn’t have otherwise spent, and NEVER spend money you don’t already have in your bank account. Basically, treat the credit card as though it were cash - except by doing this, you’ll get all free stuff instead of getting nothing. How to do this: https://youtu.be/IU6SbKEbyRo Third Side Hustle: Bank Account Churning This is EXACTLY like credit card churning, except with bank account churning, they’ll offer you a sign-up bonus for opening a new checking or savings account. The good thing about this option is that these offers usually come up every few weeks, so as long as you have some savings you don’t mind moving around from bank to bank, you can easily make some extra money literally working from your bed, in the time it takes you to watch a full ad on youtube. Now because this takes a little more work to sign up for and keep track of, I don’t recommend going for ALL of them at once… but doing one every other month or so with the spare cash you have lying around could be a great way to make some extra side money with about 15-20 minutes worth of work! Fourth Side Hustle: Affiliate Marketing And the easiest way to do this is through the amazon affiliate program, which anyone can sign up for and use. You can make videos here on youtube reviewing your favorite products, or things that you use on a daily basis, and then make a small commission each time someone buys through your link. In addition to that, there are so many other products out there that pay affiliate commissions. Ronbinhood, the stock trading app, is one of them - you can make up to $500 for any referrals who use your link. Or WeBull pays up to $1000 for anyone you get to sign up. There are HUNDREDS of different options out there. But I am absolutely adamant that YouTube is such a great way to reach an audience, completely free, entirely organically, who you can share your thoughts with and get paid. And this is something you can do any time of the day, as much as you want, or as little as you want, you are your own boss. Learn how to do this: https://bit.ly/2STxofv Fifth: Teaching / Tutoring / Consulting To do this, you need to have some type of skill that you can articulate and teach to someone else…then, one of the BEST ways to start doing this is through your own network - ask through friends and family if they know anyone who might need your services. You can also post ads through Craigslist, or post on college bulletin boards. The good news is that word of mouth works REALLY quickly once you get a small group of students who are happy - you bet they’ll tell their friends, and their friends will tell their friends, and it will grow over time. This could be a really great way to make an extra $20-$50 per hour around your own schedule. Sixth: Airbnb This is a little more time intensive, BUT the payout can be much, much greater. I know several people who rent out their spare bedrooms around Los Angeles and many of them can make an extra $100 PER DAY with very minimal work. And once this gets up and running and you get a backlog of positive reviews, it could be a GREAT side hustle to make some relatively passive income around your schedule. For business or one-on-one real estate investing/real estate agent consulting inquiries, you can reach me at [email protected] My ENTIRE Camera and Recording Equipment: https://www.amazon.com/shop/grahamstephan?listId=2TNWZ7RP1P1EB
Views: 266379 Graham Stephan
The ULTIMATE Beginner's Guide to Investing in Real Estate Step-By-Step
 
19:28
Here's a Real Estate beginner tutorial where I can really cover the blueprints and outline the basics of what’s needed in order to prepare for, and actually invest in real estate. Enjoy! Snapchat/Instagram: GPStephan Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $120 million in sales: https://goo.gl/UFpi4c Step 1: BUILD YOUR CREDIT. This is one of those steps that you can can do NOW. If you’re watching this and you don’t already have a credit card, when you’re done with this video, watch this: https://www.youtube.com/watch?v=ukaWAjgkH9M&t=30s Step 2: SAVE YOUR MONEY. The reality is that you can’t invest in real estate with no money down, no income, no credit…it just doesn’t happen. So this means that in order to save money, not only will you be required to live somewhat frugally so you don’t spend everything you make, but you will need to MAKE MONEY. I know this sounds common sense, but it’s at least every day that I get people asking how they can buy real estate without having any money…it doesn’t happen. Step 3: SHOW YOUR INCOME on a tax return. his means that you can’t just have one great month on Shopify and then expect to use that as a down payment…lenders want to see consistent, stable income before they give you a loan. Step 4: Get prequalified. It’s as easy as going to a few major banks, having them run your credit, giving them your tax returns, bank statements, and some other minor information…and they will give you a pre-approval amount based off those numbers. You can then take that pre-approval and shop that around a few other banks, getting them to match or beat those terms. Step 5: LOOK AT EVERYTHING IN THE MARKET YOU WANT TO BUY IN. Do your research. Find out which areas you feel are undervalued and where you feel people will be moving to. Drive around on weekends through every street and neighborhood. See every open house on a Saturday and Sunday within your price range, plus maybe a few hundred grand so you know what’s out there. The more you see, the better you’ll be able to recognize a good deal when it comes up. Step 6: Make offers on places you feel are a good deal. Know your price, know what it’s worth, and have patience. It’s more important to get the right property at a fair price than wait years trying to find the unicorn of a deal. Step 7: Do your inspections. I usually tell my clients to do all the inspections they can, and usually it’ll be a break even when you re-negotiate a credit with the seller. I also take it a step further and also walk two contractors through the unit who will give me a free bid on how much things cost to repair. This way, I know everything that’s “wrong” from a cosmetic standpoint and exactly how much it’ll cost to fix. Step 8: Close on the property. In the interim here, you’ll be speaking with your lender, getting in all the information they request from you, do an appraisal on the property to make sure it’s worth what you’re paying, and you close. Once the property is yours, this is where the fun begins! Step 9: Do minor renovations. Most people ask “where do you find your contractors?!” And my answer to this has always been Word of mouth, and yelp. Also make sure to get various bids to understand the costs associated with what you want to do, never just hire the first person. Step 10: Rent it out. Here’s how I post my ads on craigslist: https://www.youtube.com/watch?v=gy6JXJKZbSY&t=382s For business inquiries or one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq Favorite Credit Cards: Chase Sapphire Reserve - https://goo.gl/sT68EC American Express Platinum - https://goo.gl/C9n4e3
Views: 217197 Graham Stephan
Real Estate Investing 101: Top 5 Most PROFITABLE Renovations
 
16:15
MeetKevin and I discuss the five most profitable renovations you can do when investing in Real Estate to get the highest return possible, whether it’s a rental or flip…Enjoy! Add me on Instagram/Snapchat: GPStephan AMAZING LED LIGHT-UP TOILET GADGET (MUST HAVE 2018): https://amzn.to/2JRKO7R Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $120 million in sales: https://goo.gl/UFpi4c MeetKevin’s Channel: https://www.youtube.com/user/KevinPaffrath MeetKevin’s IG: RealMeetKevin The Most Profitable Home Renovations: First: Kitchen. This is often the first thing people look at when checking out a new property. Opening the kitchen and creating an open floor plan is often the easiest “bang for the buck,” but renovating a kitchen doesn’t need to be expensive. Oftentimes painting existing cabinetry and changing the hardware can be sufficient. Sale sections at Home Depot also work well! Second: Flooring. Luxury Laminate Flooring is essential, especially in a rental. When flipping real estate, it’s OK to go higher end with real hardwood floors depending on the area - but for a rental, most laminate flooring is just as good, cheaper, and more durable. Third: Bathrooms. Again, this doesn’t need to be overly expensive. New vanities are fairly inexpensive. You can often keep existing tile and re-glaze it a different color to make it more modern. Fourth: Lighting. Add recessed lighting - It makes a massive difference. If you have popcorn / acoustic ceilings, scrape them and add recessed lighting at the same time to save on labor. Dimmable lights also go a long way. Fifth: Landscape. This is frequently overlooked but it’s an easy way to add to the curb appeal on your home and stand out from everything else. For a rental property, DO NOT plant intricate landscape that tenants could neglect. Instead, chose tenant-proof landscape options: gravel, mulch, and low-maintenance greenery. Succulents are great. Sixth Bonus Tip: Baseboard. 4” baseboard around the new floors and around windows/doors adds a sophisticated, upscale vibe to the home for an extremely inexpensive price. For business inquiries or one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq Favorite Credit Cards: Chase Sapphire Reserve - https://goo.gl/sT68EC American Express Platinum - https://goo.gl/C9n4e3
Views: 76075 Graham Stephan
The BEST way to begin building your Credit Score for FREE (For Beginners)
 
12:54
Here’s exactly how you can begin building your credit score - without paying any interest, for completely free, and in only 20 minutes. Enjoy! Add me on Snapchat/Instagram: GPStephan Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $120 million in sales: https://goo.gl/UFpi4c So here’s what you do to build up your credit, and this is how easy it really is: Step 1: Go to your bank - really doesn’t matter which one - and get what’s called a “secured credit card.” It’s secured because they “secure” the card with your own money which is put as collateral against your credit line. That’s as simple as it is. Now if you can qualify for an unsecured credit card, meaning all you do is apply and they give you a card without a deposit, all the better - this isn’t too common for people just starting out, but it does happen. It’s very important that when you do this, make sure the credit card doesn’t have an annual fee. The goal of this should be to build your credit entirely for free - and annual fees are usually a total waste, anyway, unless you’re receiving big rewards, which isn’t going to happen when you’re just starting out - so avoid anything like that. Step 2: This is all common sense. But pay off the card on time. Just charge some minimal stuff to it and pay it off when it’s due - ideally pay it off in full. You do not need to carry a balance and pay interest to improve your credit score - this is a myth and it makes zero difference. Again, the goal is this is that it should be free - so don’t give the credit card companies any of your money. Pay off the bill in full. And you don’t need to charge a ton of money to the card, either. I just recommend putting small charges on it - even if it’s only the occasional gas bill when filling up your car, or when you get some dinner - just minor things. Step 3: Do this for 6-8 months. Charge a few things to the card, then pay it off in full. Super easy. Just repeat this each month and you’ll slowly accumulate some credit history. But this is where it starts getting fun…now that you have some history to show “I’ve paid my bill off on time and in full, and I don’t do stupid things with my credit cards,” other companies will begin trusting you with their cards, as well…so after about 6-8 months, it’s time to graduate from your secured card or a “basic card” to a “Real” credit card. My favorite first unsecured card would probably be the bank of America cash rewards card. Step 4: Slowly add more cards into the mix. Generally, you can improve your credit score with the more lines of credit you have available to you. It shows banks that you have more access to capital, can handle multiple credit lines successfully, and this makes them more confident when lending you money at a low interest rate. But step 4 is where the fun starts…this is called Credit Card Churning. This is where you’ll get a credit card for the sign up bonus, get the points, and then redeem it for free travel, hotel stays, or really almost anything. If you can get it, I really like the Amex Gold. Step 5: Just continue paying them all off on time. That’s it. It’s super easy and the entire process of starting shouldn’t take you longer than about 20 minutes of your time. By far this will be the most productive and profitable 20 minutes of your time in your LIFE if you don’t already have a credit card, or aren’t yet old enough to get a card - just do this the week you turn 18 and you’ll be in great ship to later invest in real estate, get the best deals on just about any loan out there, and just be a responsible adult. For business inquiries or one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq Favorite Credit Cards: Chase Sapphire Reserve - https://goo.gl/sT68EC American Express Platinum - https://goo.gl/C9n4e3
Views: 151800 Graham Stephan
Which is Cheaper: BUYING or RENTING a house? (DEBUNKED)
 
14:14
Which is actually cheaper, buying or renting a house? Lets crunch the numbers to determine which is actually less expensive, and which factors to consider to determine which is right for you. Enjoy! Add me on Snapchat/Instagram: GPStephan Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $120 million in sales: https://goo.gl/UFpi4c I think there’s a common misconception that buying is always the better choice, and that renting is just throwing money out of the window. But you can’t deny that many high-profile people just end up renting their homes…why is this? Lets first start with owning a home. Many people just look at the cost of rent, then look at the mortgage payment - see it’s maybe a little more, but think “I can own this for just a little bit more, buying is a waste!” However, the actual cost of owning is home is much greater than just your mortgage payment. You also have property taxes, insurance, and repairs to take into consideration - not to mention the opportunity cost of the money that you invest into your home. Purely for cash flow purposes, renting is usually cheaper. Even though you don’t get the tax benefits of owning, usually renting and investing elsewhere is cheapest month-to-month out of pocket. Not only is it “cheaper” for cash flow purposes, but you have the mobility to pick up and leave when your rent is up. You’re not responsible for maintenance. You don’t need to bother selling it when you’re done. You just pick up and go. You can also invest your money invested elsewhere, potentially making you even more money. But in terms of NET cost over 7 years, the lease will cost you MORE than owning a home, realizing the tax benefits, seeing some appreciation, and paying down your loan. So what’s the advantage of renting? First of all, this assumes the market goes up over 7 years…if the market is about the same price or drops, you’ll actually come out AHEAD by renting. You’ll also come out ahead by renting if you can make more than a 12% return on your down payment elsewhere. You’ll also come out AHEAD by renting if you’re only going to live in the home for 1-3 years and plan to sell it, unless you get lucky with a rapidly appreciating market. So it takes a lot of averages and assumptions to really decide which one is better. The biggest downside I see with buying is that it ties up capital that COULD be deployed in a business that would generate higher returns. For someone who only wants to buy an live there a few years and sell, it’s dangerous to assume the market will continue going upward in a short period of time. So the “cost” of renting is sometimes much cheaper than just owning the home for a few years. BUT….for those who plan to live in their home for more than 7 years or so, generally speaking buying is better. You basically lock in your cost of ownership by buying - you won’t have rent increases, you won’t have a landlord telling you what to do, and you have total control over the property. You also get the tax benefits of owning and you can build up equity in an appreciating asset. However, you’re tying yourself down and if you decide to sell after a year or two, you’ll likely take a loss unless your market appreciates in price enough to make up the closing costs and commissions. But long term, owning will be cheaper if you intend to live there long term. So like I said, determining which is cheaper really depends on quite a few variables - short term, it’s generally better to rent. Long term, generally better to own. And the longer you stay in a property, the more it usually makes sense just to own it. For business inquiries or one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq Favorite Credit Cards: Chase Sapphire Reserve - https://goo.gl/sT68EC American Express Platinum - https://goo.gl/C9n4e3
Views: 199907 Graham Stephan
Credit Card LifeHack: How to travel anywhere for FREE with just a few minutes of work
 
16:39
Also known as Credit Card Churning, one thing I’ve been doing for fun on the side is racking up credit card points. I’ve been able to fly to Canada to visit family multiple times for completely free, literally just by opening up a credit. I have enough points now to fly round trip first class to pretty much anywhere in the world, and stay a few nights at a world class resort, all for free, and this only took a few minutes of my time. Here’s how. Add me on Snapchat/Instagram: GPStephan One thing most people don’t know - you can actually profit, quite a lot, from credit card sign up bonuses. Lets face it, credit companies make money off people who carry balances and don’t pay off their bill. The interest credit cards charge is astronomical and most people lose a ton of money every year to credit card interest payments. So to lure people in, credit cards will offer a sign up bonus. Usually if you spend a few thousand dollars in the first few months of opening a card, they’ll give you a certain amount of points- this is called the minimum spend. Once you hit the minimum spend, those points are deposited to your account and can be redeemed for travel, hotel, or sometimes it’s cash. 1. Credit Cards make money off people who charge money on the account and don’t pay it off in full. Do not be that guy (or girl) who keeps a balance on a credit card and pays interest. To do this effectively, charge the minimum spend needed to hit the bonus - with money you would have spent anyway - and pay it off in full. 2. This is not for beginners. If you’re just starting out, do not do this. This is meant for someone with already established credit history and a good credit score. 3. . This is not for people who can’t responsibly handle credit card. Do not buy things you wouldn’t ordinarily buy just because you have more credit. 4. Credit Card bonuses can be redeemed for free travel, free rental cars, free hotels, cash back…the possibilities are endless. It costs you nothing other than spending money you would already be spending, anyway. 5. The best ways to use these points is by transferring the points to an airline and then booking directly with the airline. Usually booking plane tickets through the credit cards portal offers you a lower rate. Using this strategy, and browsing reddit, I’ve made thousands in points and gotten free airfare, travel, and hotels for free with almost no work. Do this correctly and you can continue building your credit while getting free stuff at the same time. Favorite website: www.Reddit.com/r/churning My favorite cards: 1. American Express Gold - https://apply.uscreditcardguide.com/credit-card/amex-premier-rewards-gold/apply/?t=0 (Incognito mode for 50k offer) 2. American Express Platinum - https://goo.gl/7ZpUdr 3. Chase Sapphire Reserve - https://www.referyourchasecard.com/19/MO0IMZTC25 4. Chase Sapphire Preferred 5. Bank of America Cash Rewards - https://goo.gl/1xwB4B For business inquiries, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq
Views: 95333 Graham Stephan
Story Time: My 3 BIGGEST mistakes (so far) in Real Estate and life...
 
13:17
Not everything I’ve done has gone smoothly or come easily. Here are my top 3 biggest mistakes I’ve made along the way. Learn from my mistakes :) Feel free to add me on Instagram / Snapchat: GPStephan Learn how to make money as a Real Estate Agent, build your network of clients, and the exact steps I’ve used to grow my business from $0 to over $120 million in sales: $50 off with code ThankYou50 for a limited time: https://goo.gl/UFpi4c Mistake #1: Not getting a credit card when I was younger I didn’t get a credit card until I was 21 years old. This set me back massively when I wanted to get a loan to buy properties in 2012 and couldn’t qualify to buy anything. Lesson learned. Mistake #2: Not properly researching a tenant before signing a lease Worst real estate decision I’ve made. The tenant ended up growing "substances" in large-scale qualities in the garage, stopped paying rent, and then vandalized the house before he was evicted. Do your due diligence when signing a tenant. Mistake #3: Not having a social life when I was younger Making friends and keeping friends is work, and it’s worth it to put the time in to keep in touch. Otherwise what’s the point if you have no one to share your success with? Add me on Instagram: GPStephan Add me on Snapchat: GPStephan Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq
Views: 38218 Graham Stephan
How NOT to Invest In Real Estate!!
 
15:58
When it comes to investing in real estate, it’s important to understand what to avoid…with that said, this is what NOT to do…enjoy. Add me on Snapchat/Instagram: GPStephan Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ Get $50 off for a LIMITED TIME with code ThankYou50 - The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $125 million in sales: https://goo.gl/UFpi4c First: A big mistake is not properly running the numbers. This is why it’s so important that you KNOW how to properly evaluate a property, understand how much it’ll cost to renovate, AND realistically understand what the property will rent for. Second: Taking on too much debt. Since you took on too much debt, your payments become considerably higher because you have a larger mortgage…and unless you either have the income or savings to carry the mortgage in the event of a vacancy, you can lose money really, really quickly. Third: Don’t take out a short term loan, or an adjustable rate mortgage. Interest Tates will inevitably GO UP as time goes on…this means that your payments will get dramatically more expense. I recommend getting a long term, fixed rate, 30-year mortgage - this is the safest option out there, with the likelihood of the most profit long term. Fourth: Picking a bad tenant. Do not necessarily pick the person who offers the highest price, either. Get a tenant who will stay long term, pay on time, no hassle, etc. You’ll make the biggest mistakes when you rush the process. Learn from my mistakes here. Fifth: Overpaying for the property. When it comes to real estate, your money is VERY MUCH made at the time of purchase… Obviously don’t lose out on the perfect deal for a few grand, but also don’t pay more than what the numbers say it’s worth. Sixth: Buying and renovating a property without having enough cash saved up as a reserve. Anytime you buy a property, it’s so important that you have enough money to cover ALL the renovations + 30% extra because that’s going over budget, AND enough to sustain the mortgage and all property expenses for at least 3-6 months. KEEP THIS AT ALL TIMES. That way when something comes up, it’s no big deal and I’ve already got all the money to cover it. For business inquiries or paid one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq
Views: 86109 Graham Stephan
The  HIDDEN COST of buying Real Estate…
 
15:59
Here’s a topic that very, very few people mention when they make videos on buying or investing in Real Estate…these are the hidden costs associated with buying property, and exactly what they are. Enjoy! Add me on Snapchat/Instagram: GPStephan Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ Get $50 off for a LIMITED TIME with code ThankYou50 - The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $125 million in sales: https://goo.gl/UFpi4c What’s the first cost you have to incur? INSPECTIONS. This is when you have the ability to inspect the property for any defects or needed repairs, and then decide if this is a deal you feel comfortable buying. Depending on the type of property and age of the home, a basic inspection can run you anywhere from $350 all the way up to $3000. After you’ve done your inspection, you have to pay for your appraisal. Anytime you’re getting a loan from the bank, they will require an appraisal that proves the home is actually worth what you’re buying it for. Appraisals are usually done within a week after the seller accepts your offer, and usually runs anywhere from $400-$1000 for the most part depending how many units you’re buying, or if it’s just a single family home or condo. While we’re on the topic of loans, the bank LOVES to charge you fees…lots of fees. Many banks will charge about half a percent to upwards of 1% of the loan amount as their origination fee. This means on a $500,000 loan, you could potentially pay $2500-$5000 as a mortgage fee. Next, you have to make sure your insurance paid for by the time you close. And by now, this brings us into our “Escrow” Fees…in some states you have “lawyers” who handle the transaction, in California we have escrow companies. In California, they typically charge $2 for every $1000 of purchase price, plus sometimes a base fee in addition to that. So on a $500k dollar home, you’re looking around $1000-$1500 plus whatever base fee they might have. Then you have TITLE FEES. A title company ensures that the deed to the property can be delivered free and clear of all encumbrances and liens…basically, it means that you can take full ownership to the property without worrying that someone else is out there also claiming that they are the legal owner. I’d say this ranges anywhere from $500-$1200 depending on the type of property, title company, and what’s involved - again, there can be several factors that play into this. And then…last but not least…you have miscellaneous fees that can add up. A $250 notary fee. A $65 overnight messenger fee. A $30 audit fee, etc…we can just chalk this up to an extra $500 in random, miscellaneous things. TOTAL: $6000-$13,982 You’ll see now that we have a wide range of expenses…here in California, I’m assuming the typical $500,000 house. Obviously closing costs of nearly $14,000 IS EXTREMELY EXCESSIVE, but it really depends on so many factors and what type of companies you opt in for, whether it’s single family or multi family, whether it’s owner occupied or for investment, what insurance you get, and whether or not you can negotiate these rates with the companies. I’d always recommend shopping around and negotiating to get the lower rate EVERY SINGLE TIME YOU BUY SOMETHING. For business inquiries or paid one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq Favorite Credit Cards: Chase Sapphire Reserve - https://goo.gl/sT68EC American Express Platinum - https://goo.gl/C9n4e3
Views: 22557 Graham Stephan
Investing For Beginners: My Millionaire Investment Strategy For 2019
 
12:36
Here’s my exact investment strategy for 2019, and precisely where I’ll be investing my money - enjoy! Add me on Instagram: GPStephan Get the Merch Here: http://www.GrahamStephanStore.com GET $50 OFF FOR A LIMITED TIME WITH COUPON CODE: THANKYOU50 The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $125 million in sales: https://goo.gl/UFpi4c Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ When it comes to investing, I ALWAYS think to myself: where can I get the MOST opportunity, long term. What is going to give me the highest return, with the LEAST amount of risk? And also, how much risk do I need to take, how hard do I need to work for that, and what’s going to get me the best value? Here’s my thoughts when it comes to what I want to do in 2019: First, I’m planning to use about 60% of my income this year to diversify and strengthen my stock market portfolio. This is something I pretty much see as a lower risk, lower time commitment, and yes…lower return investment. I think a more beefed-up well balanced portfolio would insulate me from anything outside my control and give me a little more liquidity, in the event I ever needed it. This move is really about spreading out my risk and also taking a more passive approach when it comes to investing this year - just for the sake of rounding out my investments. So when it comes to doing this, because everyone just wants specific information, I’ll likely be investing a significant portion of my income between three funds - this strategy is also known as the “Three Fund Portfolio”: First, I’ll be investing about 70% in Vanguard’s Total Stock Market Index - VTSAX. Second, I’ll throw about 20% in Vanguard’s International Stock Market Index - VTIAX. Lastly, I’ll just throw 10% remaining in the Vanguard Bond Market - VBTLX. This strategy is more about investing in something completely hands off, zero work, just set it and forget about it…and this way, I’ll have the peace of mind knowing that I’m investing in something I consider 100% passive income. Now my SECOND investment will be back to real estate…in previous years, this was my priority…but this year, it’s taking the back seat, but it’ll be a fun one. About 30% of my income this year will be saved up, cash, in high interest savings accounts earning about 2.2% or so. I’ve been somewhat casually looking at real estate to buy this year, but I just can’t find anything that’s worth getting… And when I look at real estate, I look for VALUE…I buy places I’m 100% sure I can make money on…and from the properties I’ve seen so far, I just can’t find anything that’s a sure thing. So instead, here’s where I’m starting to realize there’s a lot of opportunity: DEVELOPMENT. This is where my cash is going to come in handy. For instance, I have one unit where once the tenant moves out, I can spend about $60,000 fixing it up, and I’d be able to make an extra $1100 per month in rent. This is over a 20% CASH RETURN ON MY MONEY. Also, like I mentioned a few months ago when I did the house tour of the new place I just bought, I’d eventually like to spend about $200,000 and create what’s called an ADU on the property - this is an Accessory Dwelling Unit, and this is just a fancy term for a guest house. Basically, I can build a $200,000 guest house and rent that out for about $1600 per month. That works out to be nearly a 10% cash return on my money - pretty much risk free, especially if I paid for this in cash. So right there, with about $260,000 spent…I can make a guaranteed $2700 per month EXTRA with no additional debt, and no risk. To me, that’s the IDEAL scenario, and I can’t imagine any other investment I could possibly make right now that would give me those numbers. So between those, that’s pretty much where most of my money is going this year. Balanced Index funds and save up cash for some development to increase existing cashflow…I see this as lower risk, more diversification, while still increasing value at the same time. Hope that makes sense - this move is all about more diversification, spreading out my money a little more, focusing on investments that might be slightly more passive, and trying to be a little less heavy in real estate - just because that would be the smart thing ANY investor should do. For business or one-on-one real estate investing/real estate agent consulting inquiries, you can reach me at [email protected] My ENTIRE Camera and Recording Equipment: https://www.amazon.com/shop/grahamstephan?listId=2TNWZ7RP1P1EB Favorite Credit Cards: Chase Ink 100k Bonus Point Offer - https://www.referyourchasecard.com/21/ZVSGGIXM8U American Express Platinum - http://refer.amex.us/GRAHASOxHd?XLINK=MYCP
Views: 93244 Graham Stephan
Real Estate Revealed: How to AVOID Paying Taxes...(Legally, of course)
 
17:54
Ever wondered how so many people seem to avoid paying taxes…legally, of course, when investing in real estate? Want to know how YOU can avoid paying taxes, legally? Here’s how - enjoy! Add me on Snapchat/Instagram: GPStephan Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ Get $50 OFF + FREE Coaching Call FOR A LIMITED TIME: Code THANKYOU50 - The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $120 million in sales: https://goo.gl/UFpi4c Number 1: The first is that pretty much anything in real estate that relates to your business is a write off against your income. Just about anything you related to the income you make on a rental property is a BUSINESS expense, and that’s subtracted from your total income - and you pay less taxes. Number 2: Depreciation. This is probably THE best write off in real estate. This is often how people can make thousands of dollars in profit every month, but on PAPER, they’re claiming they LOST money. In some circumstances you can even use this loss to offset other income you made! Number 3: This is probably the most well known, and probably one of the coolest write offs in real estate… but for those who aren’t familiar with it, this is the 1031 Exchange. One of the benefits of investing in real estate is that you can INDEFINITELY defer paying taxes when you sell a property, and “exchange” it for another property to avoid paying tax on your profit. Number Four: This would apply to most of you watching, especially if you own your own home, is the capital Gains exclusion. This capital gains exclusion means that you can make $250,000 TAX FREE PROFIT if you’re single, and $500,000 TAX FREE PROFIT if you’re married when you own a primary residence and have lived there for 2 of the last 5 years. Number 5: There’s no tax on appreciation until you sell. This is similar to owning a stock that goes up in value, you don’t pay taxes on that stock until you actually sell…until then, any profit you’ve made is called an “unrealized gain.” Same thing in real estate. If the property goes up in value 5% annually, your net worth goes up without you owning a dime in taxes. Number 6: The cash-out refinance and HELOC, which stands for Home Equity Line Of Credit. The benefit of this is that you get access to your money, totally tax free, without technically “making” money. In the eyes of the IRS, you don’t pay tax until you actually sell…and because you don’t sell, you don’t owe any tax. Same principle applies to a HELOC. All of the money you pull out is tax-free since technically it’s a loan and you need to pay it back. Number 7: Rental income doesn’t pay self employment taxes, which consists of social security and medicare taxes. This means that rental income, right off the top, is taxed 6.2% LESS than that same income you’d make from you job - or 15.3% less if you’re self employed, not even including all the deductions, tax write offs, depreciation…so you can see, real estate is a good way to make some money ;) Number 8: Mortgage interest deduction. Now this is a great one that not only applies to rental properties, where you simply just use that as an expense against rental income, but this also applies to your personal residence. The IRS says that you can deduct the interest you pay on up to $750,000 of your mortgage against your earned income, lowering the amount of taxes you’d owe. Finally…number 9…the holy grail for real estate people…is the title called “Real Estate Professional.” Becoming a “real estate professional” opens up a lot of advantages. The biggest advantage of being a real estate professional is that you can use your PAPER LOSSES to OFFSET other earned income! Remember: this is not financial advice, and CONSULT A CPA for any of your specific tax questions. Everyone is different and it’s important to hire someone for your own specific tax advice and needs. For business inquiries or paid one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq Favorite Credit Cards: Chase Sapphire Reserve - https://goo.gl/sT68EC American Express Platinum - https://goo.gl/C9n4e3
Views: 119114 Graham Stephan
How To Buy A Home In 2019 (THE STEP BY STEP TUTORIAL)
 
27:40
Here is my Comprehensive, Step By Step guide on How To Buy A House in 2019 - enjoy! Add me on Instagram: GPStephan 70% OFF UNTIL SUNDAY -The Real Estate Investing Blueprint: https://bit.ly/2W5tZZs MERCH HERE: http://www.GrahamStephanStore.com The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $125 million in sales: https://goo.gl/UFpi4c Number 1 - 1:45 How much do you need as a down payment for a primary residence? Number 2 - 3:58 How to build your credit: https://youtu.be/74pIfAOVuEA https://youtu.be/ukaWAjgkH9M Number 3 - 5: 17 Pay off High interest Debt Number 4 - 6:27 Get Pre Qualified by a Lender Number 5 - 9:19 When is the BEST time to buy? Number 5.5 - 11:23 Should you wait for the market to drop? Number 6 - 13:30 Make a list of what you want Number 7 - 14:40 Should you use a Realtor? Number 8 - 17:31 How long does the process take? Number 9 - 18:15 See EVERYTHING on the market Number 10 - 19:16 Making an offer Number 11 - 21:22 Doing your inspections Number 12 - 25:37 Closing Costs: https://youtu.be/cN7n3wC9eAQ My ENTIRE Camera and Recording Equipment: https://www.amazon.com/shop/grahamstephan?listId=2TNWZ7RP1P1EB Favorite Credit Cards: Chase Ink 100k Bonus Point Offer - https://www.referyourchasecard.com/21/ZVSGGIXM8U American Express Platinum - http://refer.amex.us/GRAHASOxHd?XLINK=MYCP
Views: 87957 Graham Stephan
Top 7 Renovation Mistakes - AVOID THESE!
 
09:08
After remodeling 5 properties and spending in the six-figures doing so, these are the top 7 mistakes I’ve made along the way that you can avoid - and hopefully this will end up saving you a lot of money in the future! Enjoy! — Feel free to add me on Snapchat / Instagram: GPStephan 1. Going with Cheap Materials. You save a lot of money upfront going with cheap materials. Especially as a rental, it’s a fine balance between the cost of an item and what gets the most return from rent. Although cheap materials might save you in the short term, they end up costing you more money long term when they break or need to be replaced. Cheap flooring is one of the big ones - spend a little extra money on durable, long lasting floors. Same with paint. 2. Not fixing everything you can. Don’t put something off because it doesn’t need to be repaired right now. When remodeling a property, it’s a lot easier to get it done the right way, immediately, than put it off until it gets worse. For me, this has frequently been electrical and plumbing. Do not let it get to the point of breaking at 1am before you take action to fix it - get it done now, spend the extra money because you’ll need to do it anyway at some point, so get it done sooner than later. 3. Going with carpet for rentals. Carpet is another one of those things that’s cheap to get done, looks good, but needs to be replaced so often. In a rental, carpet gets dirty and disgusting very, very quickly and needs to be changed out between renters. Replacing carpet once will be more expensive than just having done laminate floors from the beginning. 4. Underestimating repairs. It’ll always be more expensive than what you think. When you start remodeling, you begin noticing all the other small items that you should fix. Unexpected items always come up. When you start to open walls, you find more problems. I recommend adding on 10-20% of the project in your mind and expect to go over budget. It’ll cost you more than you think. 5. Underestimating time. It always takes longer than you think for that exact reason. You end up doing more work, it takes longer, people run late, it happens. Give yourself an extra few weeks for every process to give yourself a more realistic time frame. 6. Not knowing what I was doing. Don’t be completely blind to the process and do your own research. Landscape example. Watch youtube videos. 7. Trust the workers entirely. People are people and they make mistakes. Even if they don’t, sometimes what you have in your head doesn’t translate and communicate well to someone else. You’ll need to supervise and watch over the work to make sure it’s being done as you want it. Overall, follow these 7 mistakes that I have made and learn from my experiences. Hopefully this will end up saving you a lot of money if you end up renovating your own place! Thanks again for watching! For business/music inquiries, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq
Views: 20532 Graham Stephan
I’m over $1 MILLION in Debt (Lessons of Leverage in Business and Real Estate)
 
12:50
I’m over $1 MILLION dollars in debt, and here’s why this is actually a GOOD thing and how you can leverage debt can make you more money. Enjoy! Add me on Snapchat/Instagram: GPStephan Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $120 million in sales: https://goo.gl/UFpi4c Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ So here’s why I’m a million dollars in debt - there’s a big difference between good debt and bad debt. The reality is that almost every successful business, at some point, needs leverage if it’s to grow exponentially…especially in real estate…and how you manage debt could either make or ruin you. Think of debt a like fire. Fire could give you warmth, cook your food, bring you light…or it could burn you. Debt is very similar. I grew up in a family that was wrecked by debt…I grew up thinking debt was awful and that credit cards were the worst thing ever. But as I began to associate with people who were just insanely wealthy, I realized…these were people who weren’t afraid of debt. They embraced it and worked the system to their advantage. Bad debt: This is when borrow money to buy stupid things that depreciate in value and doesn’t make you money. I shouldn’t even need to explain it because this is pretty self explanatory. Good debt is money that you borrow to make you more money. Good debt is used as a tool to increase your cash flow by borrowing money at a cheaper rate than your money makes you. And right now, we’re at the end of an opportunity of borrowing cheap money - that’s why I’m trying to grab as much as I can while rates are still overall relatively low. This is why I’m over a million dollars in debt…I have one 30-year loan at 3.375% interest rate, and another one at 4.5% interest rate…my investments make way more than this, and I’m able to profit the difference. It allows me to invest way more long term and increase my cash flow. This is also why there’s absolutely no reason for me to pay this down early…I can pretty much invest my money anywhere and get higher than a 4.5% return, so it makes sense to invest my money than pay down low-interest, tax deductible debt. So what does this mean for YOU and how can this help YOU? Knowing the difference between good and bad debt will help you evaluate what you can do to maximize your profits and the amount of money you make. If you’re borrowing $10,000 at a 5% interest rate, but your money is making you 10% elsewhere…that’s a no brainer. Borrow the money, make 10%, pay 5% in interest, and you’ve just got a “Free” 5% without using your own money. This is basic real estate 101, but it also applies to just about any business. The tricky part, from my perspective, is when you start borrowing money in the 6%+ bracket. The higher your interest rate, the tighter the margins, and the more closely you need to evaluate if it’s worth it. If you’re borrowing in the higher tiers, you need to be absolutely sure you’ll be making a higher return and that it’s sustainable…at a certain point, it becomes more advantageous to pay down debt than re-invest. If I had an 8% loan, you bet I’d be aggressively paying that down as much as I can…but a 3.375% loan like I have on one of my homes? Nope. Keep it forever. So if you get to the point where you need to grow your business or if you decide to invest in real estate, know that debt CAN be good when managed appropriately…it’s a little like playing with fire, as I mentioned earlier. Used appropriately, it’s great…and it’s how I’ve been able to get some pretty good returns in real estate. So don’t be afraid of debt, but manage it carefully and consider what your money is really worth! For business inquiries or one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq Favorite Credit Cards: Chase Sapphire Reserve - https://goo.gl/sT68EC American Express Platinum - https://goo.gl/C9n4e3
Views: 92992 Graham Stephan
The WORST TENANT I'VE EVER HAD (EVICTION)
 
37:29
Here's my first experience picking a tenant when I first began investing in real estate. I didn't do my research and I definitely paid for it later on...this is that story. Enjoy! Feel free to add me on Snapchat / Instagram: GPStephan For business inquiries or one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq Favorite Credit Cards: Chase Sapphire Reserve - https://goo.gl/sT68EC American Express Platinum - https://goo.gl/C9n4e3
Views: 227794 Graham Stephan
How to be a Millionaire in 10 Years (Starting from $0)
 
14:22
Lets break down how you can become a millionaire in 10 years, starting from nothing, and exactly what’s involved…enjoy! Add me on Instagram: GPStephan Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $125 million in sales: https://goo.gl/UFpi4c Lets begin here: When it comes to increasing your net worth, it only matters how much of that you can SAVE at the end of the day - not always how much you MAKE. In order to hit $1 million in 10 years, you MUST cut back on your expenses for the sake of investing early on. You must think: is one decade of frugal living worth an entire LIFETIME of the freedom to do whatever you want, without having to worry about losing your job, doing something you don’t want, or listening a some boss you dislike? What you’ll realistically NEED to do to speed up this process is INVEST your money. If you want $1,000,000 in 10 years, it just comes down to you investing $6000 per month, every single month, for 10 years, while averaging a 7% return annually. If that happens, congratulations…you’ve become a millionaire in 10 years from investing $6000 per month. So in order to increase your return without taking on TOO much risk of losing your money, you’re going to need to spend your time actively WORKING on your investment…and for me, as many of you know, my favorite way of doing that is in real estate. You can use your money as a down payment, remodel it, build equity, and then profit from rental income. But in terms of increasing your income, you should work a career where your income isn’t tied to the number of hours you work. Instead, if you’re working in a sales environment, or ANYTHING that isn’t dependent on the amount of hours you work, you can scale up rather quickly if you do well. Another option is to start your own business…this is a decision that’s obviously is a big commitment to make, but I really believe that you can hit some BIG income if you get into an industry where you can scale quickly. And online, scalability is amazing…it’s the ability to reach tens of thousands for the same work it takes to reach 10 people. Because of that, you can leverage your effort - your not TIME - to increase your income. From there, it’s a numbers game. Here’s the video summed up: Live Frugally and cut back your expenses. If you’re income isn’t high enough, you’re going to need more money. The best way to do this is in a business where you don’t get paid per hour…your own business or working in sales is the best way to make more money if you’re into it. Invest consistently. You need your money to do some of the work for you. If you need to increase the returns, do some of the work yourself…in my example, this was real estate Continue doing this. At this point, it’s a numbers game and a patience game…a million is just a number, and math exists to tell you exactly how long it’ll take, and what goals you’ll need to achieve in order to make that happen. For business inquiries or paid one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq
Views: 422836 Graham Stephan
The 80/20 Principle: How I went from $140k/yr to $500k/yr by working LESS
 
11:38
The Pareto principle (aka 80/20 rule) suggests that, for many events, roughly 80% of the effects come from 20% of the causes. Here’s how I maximized this to increase my income and work LESS at the same time - enjoy! Add me on Instagram/Snapchat: GPStephan Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $120 million in sales: https://goo.gl/UFpi4c Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ Given the 80/20 rule, you generally will find that you spend 80% of your time chasing that extra 20% of result. In THEORY, you should be able to do 20% of what you’re doing now and still get 80% of the result. So that’s what I did. I looked past all of my clients since the BEGINNING of my career and found the commonalities between the clients that produced the most income vs the ones that took up the most time. I found that I spent 80% of my time chasing little lease deals between $3000-$6000 per month that paid very poorly, and that was consuming most of my time. But even though my motto was “work with these people, eventually they’ll refer you more business which leads to the 80% of my income”… but I found that overall, those were the clients that generally didn’t buy after a few years and didn’t refer me business. Instead, I found my clients that were spending $8000-$30,000 per month were the ones that would end up buying and referring me the business that led to much larger commissions, not the lower end price ranges. So what did I do? I turned down every lease under $8000 per month. I stopped going after those listings and I stopped working with those clients - that freed up 80% of my day. I then focused that remaining 80% of my time on meeting more clients in the $8000-$20,000 price point that were statistically more likely to lead to more income and more business. And that one difference alone worked…I made an extra $50,000 JUST from that one change, while also working less. The next year, the same thing…but I took it a step further. I stopped taking listings that were overpriced. I stopped working with buyers who had unrealistic expectations that I couldn’t change. I focused my time on ONLY working with the people who were ready and realistic. By focusing only on those, it freed up more of my time to focus on meeting MORE people that fit that bill. And guess what? My income went up ANOTHER $50,000 per year, and I worked less. And the less I worked, the less stressed out I was, and the less stressed out I was, the better I did with my clients and the more money I made. And using this technique is what led to over $550,000 in gross commissions last year without any prospecting, and without driving myself crazy. First, focus on the area where you get the highest ROI. Either where you get the most done, make the biggest impact, or make the most income. There will almost always be an 80/20 rule at plays…from there, really narrow it down and identify what that it and WHY that is. Second, identify where you’re spending 80% of your time chasing that last 20%. Find out where you’re spending most of your time…and make the decision to cut it, automate it, or outsource it. Third, do more of what WORKS with your 20% output that generates most of your results. If you find that you get 80% of your business through cold calling, for instance…do more cold calling. If you’re in e-commerce and find that 80% of your income comes from iPhone cases…do more iPhone cases. Focus on replicating the 20% of your cause that leads to 80% of the effect. This is about optimizing as much as possible and working efficiently, not harder. It’s about remembering that the minority of your efforts produce the majority of your results. Then identifying this and leveraging it to do MORE of what works, and less of what doesn’t have the best ROI. This frees you up with MORE time and by focusing on your 20% that generates 80%, you should be able to INCREASE your revenue or productivity rather quickly - while optimizing at the same time. For business inquiries or one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq Favorite Credit Cards: Chase Sapphire Reserve - https://goo.gl/sT68EC American Express Platinum - https://goo.gl/C9n4e3
Views: 110606 Graham Stephan
How to find a good deal / off market properties in Real Estate
 
07:51
As an investor, buyer, or wholesaler, finding a good deal in Real Estate can be time consuming and nearly impossible in a seller’s market, but it’s totally doable. These are a few of the top strategies I use to find the best deals and possibly find some off-market opportunities in real estate. Add me on Snapchat/Instagram: GPStephan Learn how to make money as a Real Estate Agent, build your network of clients, and the exact steps I’ve used to grow my business from $0 to over $120 million in sales: $50 off with code ThankYou50 for a limited time: https://goo.gl/UFpi4c First, you need to see EVERYTHING you can on the market. Everything. You won’t be able to know a good deal if you don’t already know everything else on the market and what it’s selling for. Without a solid foundation of how one home compares to another, you won’t be able to realize a home’s true value. Next, see homes as soon as they come on the market. You should be getting notified hourly about every new home that comes up or reduces its price. If something comes up that looks interesting, go and see it immediately. If it’s a good deal, which you’ll know by seeing everything else on the market, write an offer immediately. You should also focus on listings which have been on the market for a long time that people may have forgotten about. Sometimes these listings get overlooked, and sometimes the owner is extremely motivated to sell but won’t want to reduce their price quite yet. Ignore how the pictures look - sometimes great listings have the worst pictures, and the worst listings have the best pictures. Instead, focus on the location, square footage, condition, and price. When trying to find a property off market: Don’t be afraid to go door-to-door. Unfortunately it’s time consuming and many times nothing will pan out, however if you find the one home that will sell at a reasonable price, all of your time spent will be worthwhile. You can also send letters out to everyone in a particular area asking if they would sell. This can be expensive and time consuming depending on how many you send out, but one deal will pay for itself, plus some. Finally, looking through past listings which never sold could be a good option. You know they thought of selling at some point, so there’s a higher likelihood they’ll still sell. With these above options, you’ll have a great chance at finding a good deal - even in a seller’s market. I use these same strategies above and it’s worked very well, both for myself and for my clients. For business inquiries, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq
Views: 47009 Graham Stephan
I FOUND THE  5 WORST CREDIT CARDS EVER...(AVOID THESE!)
 
14:57
Since we’ve talked about the best credit cards for beginners, the best credit cards for travel, and the best credit cards for free stuff…these are the Top 5 WORST credit cards of all time that you should avoid…enjoy! Add me on Snapchat/Instagram: GPStephan Join the private Real Estate Facebook Group: https://www.facebook.com/groups/therealestatemillionairemastermind/ GET $50 OFF FOR A LIMITED TIME WITH COUPON CODE: THANKYOU50 The Real Estate Agent Academy: Learn how to start and grow your career as a Real Estate Agent to a Six-Figure Income, how to best build your network of clients, expand into luxury markets, and the exact steps I’ve used to grow my business from $0 to over $125 million in sales: https://goo.gl/UFpi4c DISCLAIMER: The views and opinions expressed herein are those of the author and do not necessarily reflect the legitimacy of these companies. Many elements have been exaggerated for comedic effect. Even though I’m not that funny. Do your own research and come to your own conclusion. For entertainment purposes only! For business inquiries or paid one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq
Views: 241065 Graham Stephan
How your image can MAKE or BREAK you
 
10:08
We all like to hear that a book shouldn’t be judged by its cover, but in reality this isn’t always the case - quick assumptions are often made without a second thought. Here’s how you can use that to your advantage. Enjoy! Snapchat/Instagram: GPStephan What I’ve found is that it really helps to match whatever it is that you do. It helps to be congruent with it. If something doesn’t add up between how you present yourself and what you do, people get suspicious. People see the disconnect and immediately hesitate, because they feel you’re not living up to what you’re presenting. You’re selling a $10,000 program on making millions of dollars? You bet you can’t show yourself driving around a 1989 Honda Accord while living in a studio apartment in Lancaster. People like to see that you live what you preach. Even how you dress can make an impact. Again, designer clothes don’t matter - but instead of wearing something oversized that doesn’t fit, where people may make quick judgements that you’re unorganized and don’t pay attention to detail, make sure to wear clothes that fit your physique, are clean, and ironed. That’s it. The details matter - I’ve found socks are an easy detail that many people notice and most people miss. Seriously, a good pair of colorful socks go a long way. Even a clean haircut and shave makes a huge difference. Some other things you can do - clip your nails, brush your teeth, wear cologne. Little things that people notice that don’t cost much, if anything. But it’s not entirely physical . The thing is, the other half is attitude. It’s believing what you do. You do emulate what you’re doing? Figure out what you want and then tailor your image to become what you want to be. Dress for success. And again, it doesn’t need to be too superficial. Focus on what you have control over - how you dress, good hygiene, and how to present yourself, and creating the image that matches the person. Work on speaking if it’s holding you back, work on being more assertive if you’re not getting what you want, it’s about constantly improving yourself and slowly becoming the person you’ve always envisioned yourself being. And realize that image sometimes plays a role in this and use that to your advantage. For business inquiries or paid one-on-one real estate investing/real estate agent consulting or coaching, you can reach me at [email protected] Suggested reading: The Millionaire Real Estate Agent: http://goo.gl/TPTSVC Your money or your life: https://goo.gl/fmlaJR The Millionaire Real Estate Investor: https://goo.gl/sV9xtl How to Win Friends and Influence People: https://goo.gl/1f3Meq Think and grow rich: https://goo.gl/SSKlyu Awaken the giant within: https://goo.gl/niIAEI The Book on Rental Property Investing: https://goo.gl/qtJqFq Favorite Credit Cards: Chase Sapphire Reserve - https://goo.gl/sT68EC American Express Platinum - https://goo.gl/C9n4e3
Views: 25060 Graham Stephan

Minecraft pc server list
Minecraft piston city gate
Fun fairy games online
Rich mountain wma games
Nikitovka seeds for minecraft