I agree. I have 5 paid off rental properties. These are much less risky than 20 houses with limited cash flow. These will fund the bulk of my retirement.
Debt set me free. This was a great talk. I’ll keep me: Levered appreciation. Levered depreciation. Inflation based debt destruction. Asset protection (bank in first position) It’s a balance. I wanted 70% LTV when in growth mode. I was 50% LTV now that I retired. I don’t want less. I don’t want more.
I think we're about at the same conclusion - but just with a little lower LTV. But nothing magical about a certain number. More of a personal decision. But I think it's perfectly reasonable to pay all or most of it off, too. - Depreciation happens with or without debt. - Appreciation happens with or without debt. - I'm not sure the bank in first position will stop a lawsuit if they think you have the same amount of equity overall.
Debt eats our resources because of interest. If we pay all our debt off as soon as possible we have financial peace. Debt stops financial freedom. So he’s telling the truth.
I think coach has the right idea. I am in total growth mode, but once my gross hits around 3x my target i think the pay off emphasis is absolutely the play.
Totally. It doesn't make quite as much sense to start paying down your debt out the gate. But once you have a pretty solid set of properties, then it may be time to start chipping away.
Coach I missed you in Vegas in Feb but I watch your videos. I agree I have 1 soon to be triplex that will cash flow 4K a month and a 4plex in San Diego that I'm trying to pay off that will give me 15K a month. 2 properties 7 doors just under 20K a month. I can live with that. Rob I enjoy your videos also. Thank you both I appreciate you guys.
What if you leverage and cash out refinance, but instead of using the money to buy another property, you keep doing it and investing in index funds? Then you have an emergency source on income to tap into, it’s less risk, and will grow quicker.
Borrow money and pay interest on it to buy index funds? I dunno, I’d maybe put my cash flow into index funds, but I don’t think I’d borrow to buy index funds
Why not 10-31 the existing portfolio into 5 Cash flowing properties (If 5 is the goal) - Paying capital gains on millions of dollars that could be put into additional cash flow is hard stomach - I couldn't do it. I understand finding 5 great properties would be hard to do in the 10-31 timeline - maybe just (1) property that really cashflows...
Thanks for having me back Rob! I'm happy to respond to questions or comments here if anyone has any about our episode.
Do you provide 1-1 coaching? I wanted to discuss my current state and see if I can get going on the small and mighty strategy.
Also interested
Great interview! See you at ORAAT event next February?
@@MattTheMortgageGuy thanks Matt! I'm not sure on February yet. It was a lot of fun last year though!
I agree. I have 5 paid off rental properties. These are much less risky than 20 houses with limited cash flow. These will fund the bulk of my retirement.
More details about your plan please...
You need to come on this podcast.
Debt set me free.
This was a great talk.
I’ll keep me:
Levered appreciation.
Levered depreciation.
Inflation based debt destruction.
Asset protection (bank in first position)
It’s a balance.
I wanted 70% LTV when in growth mode.
I was 50% LTV now that I retired.
I don’t want less.
I don’t want more.
I think we're about at the same conclusion - but just with a little lower LTV. But nothing magical about a certain number. More of a personal decision.
But I think it's perfectly reasonable to pay all or most of it off, too.
- Depreciation happens with or without debt.
- Appreciation happens with or without debt.
- I'm not sure the bank in first position will stop a lawsuit if they think you have the same amount of equity overall.
Love seeing the other side of the Mindset, this is great!
Debt eats our resources because of interest. If we pay all our debt off as soon as possible we have financial peace. Debt stops financial freedom. So he’s telling the truth.
I subscribe to both of you and LOVE IT when you team up on these! Thank you so much! 💗💗
Thank you!🙏
Chads wisdom is exactly what drew me to real estate. He is one of very few who think the way I do.
the means a lot. Thank you Sean.
Love see a true sharpening of mind- instead of making fun of a different strategy, consider the benefits and the place it holds in decades of strategy
Refreshing take! Thank you - more interviews like this please :)
I think coach has the right idea. I am in total growth mode, but once my gross hits around 3x my target i think the pay off emphasis is absolutely the play.
Totally. It doesn't make quite as much sense to start paying down your debt out the gate. But once you have a pretty solid set of properties, then it may be time to start chipping away.
You found your nitch Rob! Interviewing cool investors on your own podcast and platform l.
This was a great episode! Its so easy to let this biz crush you, as he says. Life balance is and quality time is what matters in the end.
I'm feeling this more and more every day. I'm about to enter my pruning stage and I'm really excited about it.
@@Robuilt same here! I'm past burn out. It's not about the money anymore 😞
@@joeywharton5662 why do you feel burned out?
Coach I missed you in Vegas in Feb but I watch your videos. I agree I have 1 soon to be triplex that will cash flow 4K a month and a 4plex in San Diego that I'm trying to pay off that will give me 15K a month. 2 properties 7 doors just under 20K a month. I can live with that. Rob I enjoy your videos also. Thank you both I appreciate you guys.
$15,000/month is pretty life changing money!
What if you leverage and cash out refinance, but instead of using the money to buy another property, you keep doing it and investing in index funds? Then you have an emergency source on income to tap into, it’s less risk, and will grow quicker.
Borrow money and pay interest on it to buy index funds? I dunno, I’d maybe put my cash flow into index funds, but I don’t think I’d borrow to buy index funds
Great conversation! I think Rob & Chad make great videos together.
Why not 10-31 the existing portfolio into 5 Cash flowing properties (If 5 is the goal) - Paying capital gains on millions of dollars that could be put into additional cash flow is hard stomach - I couldn't do it. I understand finding 5 great properties would be hard to do in the 10-31 timeline - maybe just (1) property that really cashflows...
Good for people who want to retire early. For some people, they just want to work until death but they still have freedom
👍🏼
Bad credit can’t help if u have any of little gain
What?
Rob is hispanic and doesn’t know what pruning is 😂
First