How do you control real estate without actually ever owning it? If you could
understand how to do that, I'm telling you right now it would have a huge
impact on your personal finances in the craziest of ways. We get so caught up in
the game of ownership when actually it's all about control. And what I'm going to do
is break it all down for you in this video and show you how you can control
way more real estate than any bank would ever want you to.
It is amazing to me how many people get caught up in the illusion of ownership.
Which is so expensive in contrast to control. Reality is controlling money is
more important than owning money. And I know that sounds really weird for some
of you that are watching this right now that are thinking, "Kris, what do you mean
by that? I mean, what do you mean controlling it versus owning it?" Well, I'm
going to break it down for you in today's video. Because when we talk about real
estate, you can get a lot more real estate if you focus on control versus
ownership. For just a moment, I'm going to put up here on the screen think how most
people end up telling you how to build with wealth. They're in this game called
accumulation. An accumulation means what? It means over time to build a pile of
money. I want you to think for a moment of like Uncle Scrooge. Do you remember
that from duck tales? They're love duck tales growing up. Yep, that dates me. But
Uncle Scrooge had his money bin. And what he did is he would earn it and then he
was a miser. He was stingy, he was known for that. And he would save it and he
would accumulate it. Well, most of us actually operate that way. I put my money
in my 401Ks, I put money in my IRAs. I put money in the stock market, I put
money in savings account. And over time, I wanted to get bigger and bigger and
bigger and bigger. And then I can finally take that pile of money and what can I
do with it? I can actually put it into a real estate transaction. Now, what's the
problem with this? Well, the problem is is that if you want to own a piece of
property, the nationwide median right now is probably around $250,000. You
need $250,000 to own a home. And some people are either thinking, "Well, I've got
to buy it cash." That's going to take forever to save that amount of money for the
average person. Or you're thinking, "I'm going to put a 20% down. But even a 20% down,
what's 20% of a quarter-million dollars? It's $50,000. So, if you're in this
accumulation mindset of ownership, you're like, "Well, I want to own this so I need
to save and then I can own." Now, I'm not telling you that that is bad. In fact, I
think it is good for you to have habits of saving money. And being able to do
that, I'm just telling you that there's a faster way. And rather than accumulation,
we're talking about a methodology that says, "What I'm
actually doing is controlling money." Because if we go to this first example,
everyone's goal when they own real estate is someday to have it what? Paid
off. I buy the house, I get that thing paid off and then I say, "I own this! I
don't owe the bank anything. I'm not paying interest anymore. And I'm the
winner." But in a lifetime, even if you're an aggressive saver, how many homes can
you own paid off free and clear?" Dude, for the average person, we're talking about
one. Maybe 2. Probably not more than that. So, control says, "I'm not ever trying
to pay off the asset. I'm trying to manage this asset." So, here's what can
control can look like. Before we talk about how you buy it, let's just assume
for a moment that... Because I'm going to give you the three most important things
to look for and nailing a great deal. When it comes to control, I'll usually
hold on to a house for 5 to 7 years. And why do I do that? Because if
this is profit right here on the left side and this is time, the
reality is is that you get over time a diminished return. And this right here is
like your 5 and 7. This means that in the tenth year, in the twentieth, the
thirtieth year, this home has almost no juice to give
you. You've gotten all your money out of it that you can possibly get out of it.
And so, control says, "I'm not trying to pay it off. I'm going to own it for 5
years. I'm going to get a maximum profit and then I'm going to sell it." The bank gets
paid off and I get a grundle of money. And now I can go and take one house and
turn it into 2 homes or 4 homes or 8 homes and then I get to grow and
expand. So, when finding a home, we have to ask
yourself "What does it really take to control property?" It takes 3 things
to control property. The first thing that you need is you need a deal. Not just a
house, you need a good deal. And I'll qualify in a moment what a good deal is.
The second thing that you need to control real estate is you need money.
Right? Someone's got to put up the 20% down
payment which is a requirement with investment real estate in most economies.
You know, when the economy gets really aggressive and it's been going up and up,
the banks start creating programs for like 10% down and 5% down. You should be
afraid of those and never actually participate in those programs because
that's an indication that we're in a bubble. And when that
pops, you're going to be upside down in that property. Which means you're going
to owe more than the value of the home. So, you need a deal, you're going to need
some money. And then the third thing that you're going to need is credit.
Someone's got to actually put the credit online if you're going to be financing real
estate. Now, here's my question for you: Between the deal, the money and the
credit, which is most important? Is the money? Is it the credit? Most people would
say, "Oh, takes money to make money. The money is really important. That's
probably the most important." I disagree. Money is everywhere. The most important
of the 3 is neither money or credit, it's the deal. And here's what I know:
When you find a good deal, the money shows up. Even if you don't know what
you're doing. The highest likelihood of making a deal happen is if you actually
have a really good deal. Now, there's a couple of ways of defining a good deal.
And then I'm gonna show you how to get your hands on amazing deals. At the end
of this as a bonus. So, hang tight. When you actually get a good deal on
something, this can mean 1 of 2 things.
It's either qualified by equity in the home which means that you're buying the
home for less than it's worth. And that difference is equity. The home is worth
$250,000 and I can buy it for
$200,000. That's equity. Now, you have a deal that's
going to peak some some people's interests that have money and credit and you can
make something happen. But more important than equity for me is the ultimate
equalizer of all investment opportunities.
It's called ROI. Which stands for a return on investment. And this is
factored in by way of a percentage. If the stock market pays out 5% and IRAs
pay out 4% and this annuity pays out 3%. And ROI for me in real estate that makes
sense as a double-digit ROI that starts with a 2. It's in the 20% range. So, if I
can find for example a property with a 20% ROI,
here's what that means: If I make 20% this year, 20% this
year, 20, 20, 20. Those add up to 20, 40, 60, 80, 100 percent. So, in 5
years, I double my money. That's an ROI at a minimum standard that
I play with. And part of the reason why I'm so young and I've had all the
success is because I learned early on that if you play with stupid low ROIs is
they don't multiply very fast. Like it's crazy how long
it takes for money to multiply. But when you start doing 20%, now we're
talking a handful of years. And that's enough time for you to get excited and
say hey, "If I put my head down, work hard and work smart,
I can build a lot of wealth in a very short period of time as opposed to
working a lifetime. And then running short on the money." Which is what happens
in most people. So, what do you do with this information? Well, first of all, at
the end of this video, I've got another one coming up that will actually walk
you through the strategy that I'm about to deliver to you. It's called a lease
option. And lease option is about controlling real estate. It basically
says, "Someone owns this property and what I'm going to do is I'm going to step in and
I'm going to control it." You might even have to put no money up front to be able
to start controlling this asset. In many cases, you have to put up 3, 4 or
5 thousand dollars. But not 20%. Not $50,000. There's a way of doing that too.
But ultimately, I've created a system here where I help you find deals in your
backyard that are good deals by virtue of equity or ROI. And then because the
home is already controlled and owned by somebody else, the money's already in it, the
credit is already in it. You don't need these things you could also bring on a
partner that puts up money and credit and go buy your hands on a really good
deal and actually make something happen that way. So, that strategy right now, it's
called a lease option. I do lease option in a very special way.
It's called a lease with an option to purchase. I call it compassionate
financing. In fact, many of you have read. I written entire book about it. It's
right over here. The Straight Path To Real Estate Wealth
basically documents how you go into your backyard to get your hands on the very
best deals that are out there. By the way, you can click the link on most of my
videos and get this for free. If you don't have it already, I just ask that
you cover the shipping and then the book is going to be sent to you. Many people
will read that book and start taking action on real estate. Now, that's why I
make this video. Get out there and do something for yourself. You know, before I
finish this up, I just want to digress for a moment and share with you that how
I got in this position in the first place and financially free at 26, I've
had I've lived such a privileged life. When at 22 I was freaking down-and-out.
As in, my career dreams got dashed to pieces. I found out I wasn't going to be
a doctor. My wife was disappointed in our life and
what was being created. And did it was a sucky, sucky time of my life
where I felt like nothing was going my way. And frankly, there are months when I
just hated my life. I feel disgust right now just even like thinking about what
that was like for me. When 4 years later I was financially free. And what I did
was exactly what's in this book. So, the video that is coming up next and I'm
recommending for you will actually show you how to take this lease option
methodology, find homes in your back yard and actually I'll show you how to profit
in five different ways. So, you can make a pile of money up front, you get to make
money along the way. You get tax benefits, you make a big bunch when you actually
sell the property. And then a fifth bonus one that'll let you discover for
yourself. But if I were starting out all over again, Ground Zero and I possess
this knowledge, I'd be a millionaire very quickly all over again. If you're not
currently a millionaire, it's time that you become one. And you can't follow
society's gameplan for doing that. You've got to learn how to do that on your own.
So, what I want you to do is click on the recommended video coming up next here
and actually learn how to do this. Or also click on the link below and get
your hands on a free copy of this book. And figure out exactly what you need to
do to get into real estate. Controlling it versus owning it. With
control, you can own 100 or 1,000 more real estate than
accumulation will ever allow you. So, if you're looking for a shortcut, you found
it and you found it here my friend. Make sure that you are a subscriber. Every day,
I pop out a new video just like this one that is designed to help you become your
own personal wealth genius. So you don't rely on society. You don't rely on
financial planners. You don't rely on bots. You learn how to financially rely
on you. Because ultimately, this is your life. And money determines opportunity.
And if you want more opportunities, you need more money. If you want more money,
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