Steve Davis is a Marine veteran with over 30 year ’ s experience as a real estate investor and consultant . He heads up Total Wealth Academy , a holistic mentoring program for people who want to build a second stream of income with real estate . His team of coaches and consultants walk people stepbystep through the real estate investing process . With thousands of members and followers around the US and Canada , he teaches people how to lead more balanced lives that include family , fitness , romance , travel , charity , and more . Building a second stream of income facilitates all of this . Imagine not needing a job anymore , being your own person . That is the goal of every member of Total Wealth Academy .
Why he does it is simple . Americans are suffering financially . It is estimated that 95 % of Americans are unable to fully retire by age 65 . 30 % of that 95 % are dead . The golden years are a golden lie for most people . The good news is that we know what the 5 % who do retire successfully are doing . Almost all of them have a second stream of income and 70 % of them used real estate to do that .
I sat down with Steve to see exactly what his students are doing and why .
Bruce : Most people have their money in speculative investments like stocks and mutual funds that produce no cash flow , no second stream of income . Why don ’ t more people invest in real estate ?
Steve : The answer is very simple . They don ’ t know how , so they just go with the easiest and most convenient alternative , the stock market . Real estate has historically outperformed the stock
market three to one . By the way , that is comparing the two on appreciation alone . Real estate also produces principal pay down , equity capture , and most importantly , monthly cash flow .
Over the last 75 years , the stock market has averaged about 7.5 % interest . Even with the 19 crashes ( including the one going on now ) in the last 100 years , it still produces 7.5 %. Real estate is over a 20 % rate of return . You build wealth three times as fast with real estate . I have been investing in real estate for over 30 years , and my average has been above that every year .
Over the last 75 years , the stock market has averaged about 7.5 % interest . Even with the 19 crashes ( including the one going on now ) in the last 100 years , it still produces 7.5 %. Real estate is over a 20 % rate of return . You build wealth three times as fast with real estate .
54