Hannah HammondFounder & CEO, HB Capital & The Firm RE · CEO of HB Capital | Helping CRE Developers & Investors Fund Deals Nationwide | Host of The Hannah Hammond Show

I love Codie Sanchez but I don’t agree with her on this one…

Name: I love Codie Sanchez but I don’t agree with her on this one…
Uploaded: 2026-02-25T01:03:44+00:00
Duration: 1 min 4 s
Channel: Hannah Hammond
Description: In a brief YouTube clip, Speaker B argues that buying a typical $400,000 single‑family home and renting it out yields a meager profit of about $167 per…

25 Feb 2026 · 1 min

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1:04

In a brief YouTube clip, Speaker B argues that buying a typical $400,000 single‑family home and renting it out yields a meager profit of about $167 per month, suggesting real estate is a poor money‑making vehicle. Speaker A counters, stating that this view ignores the broader business of real estate practiced by high‑net‑worth clients. A emphasizes that wealth is built through development projects, value‑add renovations, and leveraging tax benefits such as bonus depreciation, which can generate multimillion‑dollar outcomes and even billionaire wealth. The exchange references Codie Sanchez, noting agreement with her overall perspective but disagreement with her specific statement about rental returns.

Chapters

Real estate is an awful way for you to actually make money. Option one, you can go buy a single family home for $400,000, the average price in the US and then you rent it out to somebody. Well, the average rent nets you Profit wise about $167 a month. So you're taking a $400,000 risk for like a couple hundred bucks a month.
I love Cody Sanchez, but I do not agree with this statement because she's not talking about the business of real estate. All my clients are multi millionaires, center millionaires, and some billionaires, and all of them have done so through being in the business of real estate. So they're not just buying stabilized assets and popping them on the market and making a couple hundred bucks a month rent. They're developing properties. They're making potentially millions. It's very common to make many millions on a development property, or they're buying properties that need to be renovated. They're older properties, they have under market rent, and they can go in and create value that way and force massive appreciation, increased rents, increased cash flow, and basically having a loophole to not pay taxes on that asset due to bonus depreciation of the asset. So if you're in the business of real estate, you can definitely become a multimillionaire, a centimillionaire, or a billionaire.