Joe Homs, a broker and investor with over 40 years of experience, explains how real estate builds generational wealth. Real estate beats inflation, forces you to save through illiquidity, and generates cash flow and appreciation. Over time, mortgage paydown and rising rents create intergenerational financial security.
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In today's video, we're going to talk about how to create generational wealth using real estate. Coming up next. As a rule, we all want to provide safety, security, and stability to our children. In addition, we want to provide the next generation the ability to provide for themselves and the next generation. To do that, we need to have the financial resources. To provide for immediate needs and quality education. And today we're going to look at how real estate can allow you to create your generational wealth. Before we start, make sure to hit that little like button and share this video with anyone who would like to create the life they've always wanted through real estate. I started this channel for the new and experienced investor. Learn from my over 40 years experience as a broker, investor, and mentor. Let's get started. Let's talk about why real estate. In my opinion, is the best return on your investment. So you have a savings account and it's earning way less than 1% right now. That money's just sitting there. Inflation is probably way over 10-15%, real inflation right now, and that's just not generating you any income whatsoever. Real estate is an asset class that grows during inflation. So while your money's sitting there at 1%, my real estate that I'm holding is generating income and also appreciation at that 10%, 15%, even 20% level. So in the long run, real estate is a way better asset to have than just having your money sit there in the bank and not doing anything. Second reason Real estate's less liquid. So obviously, if you have your money sitting in there in a bank, you can go get it anytime you want, you can spend it anytime you want. Real estate's different in that you have your money sitting in there, but it's a little bit more difficult to access. You can access that money, but it's a little bit more difficult than just sitting there in a bank account. So there's a lot more discipline that goes onto this investment strategy of having real estate, knowing that it's growing inside there, but that you can actually see that number in black and white like you can a bank statement, even though it's less than 1%. And the third reason, you're going to get a stable income off of real estate if you purchase a property correctly and there's a cash flow that's coming in every month. You should see that cash flow coming in every month. And over the years, that cash flow is going to grow. You're going to pay your principal balance down and you're going to raise rents. And so as you're going down the road, 10, 15, 20, 30 years down the road, that mortgage is going to be paid off. You're going to be getting a greater cash flow where that bank account is not going to give you that whatsoever. Generational wealth is about creating long-term financial security for your family. By investing in real estate, you will be growing your money more rapidly, securely, and safely than you could with any other investment type, and that will provide your immediate financial needs as well as the needs for future generations. If you're new to investing and want to learn how to invest if you're young or young at heart, click on this video right here. As always, feel free to reach out anytime. I'm always here to help.
