How Real Estate Can Help You Build Your Net Worth

Los Angeles + Orange County Real Estate Podcast with Alfie McFadden

You can use real estate to build your net worth without having to put in the extra hours of work. Here’s how.

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Imagine you won an extra income every single month without putting in the extra hours of work. Wouldn’t that be great? There’s a way you can do it, and it’s by building wealth through real estate.

Specifically, I’m talking about how to use leverage, which means using real estate income properties to leverage your time so you can earn income that renters pay. Over time, you will have those renters pay down your mortgage and you will see that value of your home increase. Your equity and cash flow will grow as well.

At some point in time, you will have a stream of cash flow that will provide for you and your family and have equity that will increase your net worth. Your net worth is simply your assets versus liabilities.

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Over time, you will have a steady stream of cash flow and an equity that will increase your net worth.

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For example, if you have a house worth $500,000, that’s your asset. The liability is the mortgage you owe on the property (let’s say it’s $250,000). Subtracting the difference between the two gives you your net worth, which in this case is $250,000.

It’s our goal to make sure that net worth increases each year along with your cash flow. In the next few videos, I will show you a strategy to help you gain wealth. Stay tuned, because you won’t want to miss it.

In the meantime, if you have any questions or want to know the value of your home, don’t hesitate to reach out to me. I’d be happy to help you.