Realty411 Magazine Featuring Patty Arvielo - New American Funding | Page 23

kept investors and consumers on the sidelines for the
last year. While it’s pretty clear that not everyone is
excited about the new choice of president, most have
to agree that at least Trump is expected to be good for
real estate. Exactly how the new White House admin-
istration will impact the American and international
economy will depend a lot on if people are able to put
their differences down, and get on with embracing the
opportunities, as well as how much of what Trump
campaigned on is actually realized. So, while we
can reasonably expect four good years of real estate
growth and perhaps lower taxes as well, there is still
some uncertainty.
Millions of individuals are also facing a lot of
uncertainty in their personal finances and incomes too.
The horizon might be a little brighter today for those
getting into real estate, but many jobs aren’t going
to be around in the next 10 or 20 years. One Oxford
study predicts 80% of current jobs will become re-
dundant thanks to robots and digital roles in the years
ahead.
A White House report covered by the Huffington
Post says there is an even higher likelihood that your
career or job role will be extinct in the next few years
if you make $20 an hour or less. There is an over 40%
chance your job will be replaced by technology if
you earn $40 an hour. The big concern is that at some
point the current middle and lower class just won’t
be able to catch up. Via Inc., Grant Cardone argues
that being a millionaire is the new middle class. That
leaves a lot of catching up to do for millions of Ameri-
cans.
Education and training is recognized as key to
helping individuals change this dynamic and stay
ahead of the curve. Yet, what you learn makes all the
difference.
I guess the only things we do know for sure right
now is that both millennials and older generations
facing retirement are struggling. 95% of Gen X and
Boomers are not financially prepared or on track for
retirement. Even millennials coming out of college are
getting started with a serious handicap.
Harvard data shows over 40% of college students
having student loan debt. 57% say it is a “major prob-
lem for them.” According to a Forbes survey, over
30% of college grads say they wouldn’t have gone to
college if they knew how much it was really going
to cost. As of 2016, 43% of student loan borrowers
weren’t paying their loans.
What we have is an intense and urgent need for
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individuals of all ages to learn new skills that will help
them financially, and real estate is clearly one of the
only sectors in which most can really be confident in
delivering on that.
A OR B?
While there are some individuals and couples with
high paying jobs, and some form of reasonable nest
egg, the Federal Reserve reveals that the average
working age couple in America only has $5,000 saved
for retirement. Market Watch suggests at even 10 times
that most won’t financially survive their first big med-
ical bill. And at an average of just over $12,000 a year,
don’t expect Social Security to go very far either.
So what do you do? How do you get started invest-
ing in real estate without a large amount of capital?
There are a number of options out there. But to
make it really simple, there are two main paths avail-
able to everyone from millennials to boomers.
A. REAL ESTATE WHOLESALING
Real estate wholesaling is all about getting in, get-
ting out, and getting paid. It can help you generate cash
quickly, and in lump sums. It is more of an active form
of investment, yet it completely scalable as a business
model. Some have even mastered doing it virtually
using new digital tools.
If you have some time, but are light on capital and
credit, this can be a great choice. It’s even great if you
are bearish on the future of the economy and real estate
market. Once you’ve made some money in whole-
saling you can just grow what you’ve built, or start
adding in other strategies too.
B. PARTNER UP
Wholesaling might not be for everyone. It is simple,
but some people just prefer more passive investments.
Maybe you’ve got a great job, are still in college, are
already retired, or are working on a nonprofit cause
you are really passionate about, and just don’t have
time to be out there searching for deals, fixing them up,
and flipping them. Or perhaps you just want complete
time and location freedom while money works for you.
If that sounds like your deal then partnering up is prob-
ably for you. You can partner up with others who >
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