Do you ever wonder how millionaires got so wealthy?
The truth is, 90 percent of the world’s millionaires used real estate to build their wealth.
Why real estate is the best way to build wealth
Make sure you download ALL my resources for FREE at this link: https://themichaelblank.com/vault
So, if 90 percent of the world’s millionaires used real estate to build their wealth, the natural question is, which kind of real estate?
This is what no one seems to want to tell you.
Was it through their own primary residence? House hacking? Flipping? Landlording?
I’m going to reveal to you the secret to how these millionaires actually created this kind of wealth and passive income for themselves and their families.
Maybe you read Rich Dad Poor Dad like I did back in 2004. It’s a great book and it puts the real estate passive income bug in your brain. But as a reader, you’re left to figure out, what kind of real estate?
When I read that book, I got into house flipping. After three dozen of those, I realized something wasn’t right.
I discovered, if you’re flipping houses, when you’re not buying, fixing, and selling, you’re not making money. Worse than that, when you do sell, the money stops flowing.
This is not passive income and more importantly, it’s not generational wealth.
I realized that in my rental portfolio, I needed 50 houses, and I knew how much work it was to manage one or two of these houses. I couldn't imagine having 30 or 50 of them. So something was not right with the kind of real estate strategy I had chosen in my pursuit of financial freedom.
In 2011, I bought my first apartment building. It was a 12-unit in Northeast Washington DC, and I bought it with other people's money.
What I discovered was that apartment buildings had some unique advantages over single-family house investing.
First of all, I could raise money for it. I could use someone else’s money.
Second, I could hire a professional manager. I could get a manager for my rentals, but they were expensive and never did a good job. With apartment buildings, I could hire a professional management company, and they were much more affordable.
Third, I could produce true mailbox money.
Because I had a professional manager in place, I was getting money dropped into my bank account every single month. That was really what I was looking for.
Fourth, I could force appreciation. I was not dependent on the market to make my house become more valuable. I could make improvements and increase the value of a building.
Finally, I got major tax advantages, which I never did in house flipping.
More recently, I discovered this kind of real estate is an amazing hedge against inflation. The higher inflation is, the more valuable these assets become.
So, I was excited to discover apartment buildings and since then, we’ve scaled over 2000 units. More importantly, we’ve shown hundreds of people how they can do their first apartment building deal.
What I’ve learned over the last several years is that anyone can do this.
Whether you’re more analytical or you’re an introvert or an extrovert – you can do this.
You don’t need experience to get started and you don’t need your own money.
If you're interested in learning more about how you can get started with apartment building real estate, go to our Freedom Vault. It’s the perfect next step for you to learn more about getting started with apartment buildings, even if you don't have experience or your own cash, so you can achieve financial freedom in the next one to three years.