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Get Rich Education

Real Estate Investing with Keith Weinhold



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Why Stocks Don't Create Wealth, STRs, Build-To-Rent

• 50 min

Have you ever met anyone that created wealth with stocks? I haven’t. Why not?  Inflation, emotion, taxes, fees and volatility are the reasons. I break this down. The Rule of 72 is what traditional advisers cite as a wealth-builder. I describe why this does not work. Learn why returns from stock and mutual funds are often less than zero. What really creates wealth? Leverage. Learn trade-offs between long-term rentals and short-term rentals. Zach Lemaster joins us. A licensed optometrist and captain for the US Air Force, he’s become financially-free through real estate.  We discuss the pros and cons of owning “Build-To-Rent” new construction income properties. It takes patience during the build process. Find Build-To-Rent income properties by e-mailing GRE’s Investment Coach: Resources mentioned: Show Notes: Get income properties by e-mailing GRE’s Investment Coach: When I interviewed the 401(k) inventor: Get mortgage loans for investment property: or call 877-74-RIDGE JWB’s available Florida income property: To learn more about eQRPs: text “GRE” to 307-213-3475 or: By texting “GRE” to 307-213-3475 and opting in, you will receive periodic marketing messages from eQRP Co. Message & data rates may apply. Reply “STOP” to cancel. Make passive income with apartment and other syndications: Best Financial Education: Get our free, wealth-building “Don’t Quit Your Daydream Letter”: Our YouTube Channel: Top Properties & Providers: Follow us on Instagram: @getricheducation Keith’s personal Instagram: @keithweinhold Partial transcript:   Welcome to GRE! Why Don’t Stocks Create Wealth? After answering that, learn about some tradeoffs between LTRs and STRs, and the pros & cons of getting a construction loan and new-build rental properties. Today, on Get Rich Education. ____________________   Welcome to GRE! From Hialeah, FL to Haleakala, HI and across 188 nations worldwide - that’s almost all of them - I’m Keith Weinhold. This is Get Rich Education.   I find it interesting that there are still smart people out there who think that stocks create wealth.   Everyday people could create wealth just by investing in stocks or mutual funds or ETFs?   I’ll tell ya. I have never met anyone in my entire life that has become wealthy from investing in these vehicles.   Now, that’s something that shouldn’t offend stock adherents. That has been my personal experience.    Just asking around here at GRE a bit, I found that our Content Manager, Matthew… he said that he once knew just one person that did get wealthy with stocks… and that is because that person’s company IPO’ed.   OK, well that’s worth knowing. But as for everyday investors, what one might call a retail investor that buys and owns Apple stock or Amazon stock or bought the S&P 500 Index fund from a big mutual fund company… I mean… do you know anyone that ever created wealth from stocks? Or do you even know anyone that ever knew someone that created wealth with stocks.   I'm talking about creating wealth. For example, someone that started at a level of either "just getting by" or starting at a level of "middle class" and then transitioned to "wealthy", simply through shrewd and savvy stock investing.   I think a lot of people invest in stocks just because that’s what the herd does.   But they never ask themselves at all… "Have I actually met anyone that's ever created wealth from stocks?"   And if you run with the herd, you don’t get ahead.   So why is this? How come virtually no one gets wealthy with stocks

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