Is real estate a better investment than the stock market? Man, this has been a question
that has been debated for ages. And there is so much contradictory information out there.
I'm going to tell you exactly how to know if real estate is better than the stock market. Let's go.
I'm going to give you a very detailed breakdown on the difference between
real estate versus the stock market and how to know which one is better for you.
I'm going to share with you 3 easy ways to start investing today with little to no money. And last
but not least, I'm going to share with you my biggest secret on how to make money investing
while you're still learning how to invest. So, let's talk about real estate investing.
Real estate investing is one of the number one ways to wealth. In fact, the saying goes 89% of
all millionaires have been created so through real estate. The reason why real estate investing is
so awesome and all of the benefits that I have found is it creates wealth in multiple ways.
One, with real estate, I have rental properties both short term and long term. Meaning, I get
income each month cash flow from my long-term tenants --tenants that have been there for month
after month. And also, have short-term rentals. Furnished apartments and condos that I use on
Airbnb. And that brings me in another type of income. Additionally, I own properties. And most
people know that property goes up in value. It has a concept called appreciation. Real estate usually
gains value year after year if it is maintained. And so, that is another great thing. And as those
properties go up in value, it increases your personal wealth. And the amount that
your home is going up in value is considered your equity. When you talk about a person's net worth,
they usually look at your assets to your liabilities. And real estate is considered an
asset in most cases. Even if it has a mortgage on it, you'll deduct out the mortgage in that
liability and the difference between the 2 is the equity and that goes towards your net worth.
Additionally, like I said, real estate is just amazing. I've been able to gift properties
to family members, my children. And it has increased my net worth because I'm able to
borrow against those assets and buy even more real estate. Real estate is a great way to make
money and it's been a life-changer for me. So now, let's talk about the stock market. So, the
stock market is much different than real estate. Although you can make a lot of money investing,
you're investing in other companies. When you buy a stock, you're buying shares in a company.
For example, if you bought a company like Tesla, for example, (a company that I own stock in) you
own shares of that company. So, if the stock price is $600 per share, that means if you have $600,
you can buy 1 share. Now, every company is a little bit different and they all have different
amounts of shares that they have out there. So, it's really hard to determine what percentage of
the business you own when you just own a few different stocks. Unless you have a majority
ownership or preferred stock, you probably don't own stock that's going to make you a ton of money.
What you're doing is investing in the company and buying the stock at one price and then hoping to
sell it at another price as the company increases in value. So, when you're investing in the stock
market, you're looking for companies that are doing well; companies that are growing; companies
that are going to be making more money because then their stock price will increase. For example,
I bought GE. Maybe familiar with the company General Electric. I remember buying that stock
when it was like $9. And then I sold it when it was like $19. Not saying I made a ton of
money but I had like maybe 1, 000 shares of that stock. So, using those numbers, I bought it at 9,
I sold it at 19. That's $10 that I got and I had 1,000 shares. So, in that case, I made $10,000
just using those numbers. And that's how you make money in the stock market. It's not difficult to
do. But in most cases, you're going to need money to invest in those companies in order for you
to start making money in the stock market. It's very hard to start investing in the stock market
usually without some money. Now, can you borrow money to invest in the stock market? Absolutely.
I don't necessarily recommend it but I'm going to tell you some things that I do recommend.
So, as many of you may already be aware, I started off investing in real estate in my parents'
basement. I started off in 2002 and 2003 and I was actually very successful. But I was working a
full-time job and had no idea what I was doing in real estate. So, in 2008 when the market crashed,
we lost everything. I literally ended up back in my parents' basement with multiple foreclosures,
a bankruptcy, terrible credit, and I was a disaster. From my parents' basement,
I ended up getting a coach and he taught me how to start wholesaling real estate.
I was able to invest in real estate with my bad credit and literally no money. How I did this
is he taught me how to find people with property problems. Get those properties under contract and
then flip those contracts to people to other investors. So, I started putting out signs
that said, "Hey, are you behind on your mortgage payment?" And mailing out letters and putting out
little different ads. And people started calling me up. I started getting them under contract
and then flipping those contracts for 5, 10, 20 even 30 thousand dollars. So, fast forward, I was
literally able to get out of my parents' basement just by investing with bad credit and no money.
And you can do the exact same thing. I was able to pull myself out of that. And then I was able to
graduate from wholesaling to fixing and flipping then to rental properties. And then I just scaled
from there. Now I have apartment buildings. I do Airbnb, I coach, I mentor, I have books, podcasts.
It goes on and on. But like I said, my story started with bad credit and no money. So, this is
why I think that real estate is so awesome. I've been able to turn that situation where I had no
money, bad credit, and all this stuff going on and I was able to help people avoid foreclosure the
same thing that I had went through and make money in the process. I don't really know how you can
do that with the stock market. But that is why I prefer real estate over the stock market. So, let
me tell you some other quick tips on how to start making some real money investing in real estate.
So, let's talk about why real estate beats the stock market in Noelle's book. Like I said, I was
able to start investing in real estate literally with terrible credit, multiple foreclosures and
really just as a disaster and turn my life around. I was then able to move from that situation to
start fixing and flipping. And real estate is what allows you to do that. Fixing and flipping
is taking a very old concept in real estate called forced appreciation and turning it into profits.
Basically what you're doing when it comes to flipping a house is you are renovating that
house to increase the value. You can't really do that with the stock market. I've been able to buy
dilapidated, terrible houses; borrow the money to buy the house and borrow the money to renovate
the house then sell the house for a profit; pay off the loans, and keep the profits for myself.
Again, forced appreciation is totally ethical and totally legal in the real estate market.
You can't really do that with the stocks because how are you going to increase the value of a stock
without doing insider trading? You know? That's kind of illegal and people get locked up for that.
So, real estate is a great way to increase how much money you're going to make while still
borrowing other people's money. Additionally, you are having a tangible asset. So, say for example,
you try to fix and flip a house and it doesn't work out, you can always turn that property
into a rental property and start getting cash flow from that property. So, real estate has offered me
different options that I have not been able to find in any other investment tool. And to me,
that's why real estate is tops. So, I have created an entire training just for you. It's
about an hour long and it will teach you exactly how to invest in real estate from scratch and
make money. It teaches you my exact formula. And in many cases, you can do these things for free.
And as a bonus, this training is absolutely free. Go to noellesfreetraining.com. That's noelle,
NOELLESfreetraining.com. I want to make sure that you have all of the resources, all of the tools,
and all of the knowledge that you need to be successful. This is Noelle. To your success.