Why I LOVE Being a Landlord (Even More Than Fix & Flip!) Imagine owning an asset that not only provides consistent monthly income but also appreciates over time, offers tax benefits, and serves as a hedge against inflation. That's the power of being a landlord. Champ, I've been an entrepreneur since 9th grade in high school and a real estate investor since 2006. And all that time, I've never borrowed money from a sticky banker or held a résumé job. Today's session—today's lesson—is about the enduring benefits of being a landlord and how it can be a cornerstone in building long-term wealth. The Cow Analogy: Milking vs. Slaughtering Think of real estate investments like cows. * Flipping Properties: This is akin to raising a cow, fattening it up, and then selling it for meat. You earn a one-time profit, but then you need to find another cow. * Owning Rental Properties: This is like keeping a cow for milk. You nurture it, and it provides you with milk (income) consistently over time. Occasionally, it might even produce calves (additional properties or income streams). By being a landlord, you're building a herd that grows and provides for you continuously, rather than starting from scratch each time. Benefits of Being a Landlord 1. Consistent Cash FlowRental properties generate monthly income, providing a steady cash flow that can cover expenses and yield profits. 2. Property AppreciationOver time, real estate tends to appreciate in value. This appreciation can result from market demand, improvements made to the property, or general inflation trends. Historically, real estate has been considered a strong hedge against inflation because property values tend to rise with inflation. 3. Tax AdvantagesAs a landlord, you can benefit from various tax deductions, including: * Depreciation: Deducting the cost of the property over its useful life.(United States) * Mortgage Interest: Deducting interest paid on the property's mortgage. * Operating Expenses: Deducting costs related to property management, maintenance, and repairs. 4. Forced SavingsEach mortgage payment increases your equity in the property, effectively acting as a savings mechanism. 5. Inflation HedgeReal estate often outpaces inflation, preserving and increasing your purchasing power over time. 6. LeverageReal estate allows you to use borrowed capital to increase the potential return on investment. By putting down a portion of the property's value and financing the rest, you can control a more valuable asset with less personal capital. Challenges to Consider While being a landlord has numerous benefits, it's essential to be aware of potential challenges: * Property Management: Handling maintenance issues, tenant complaints, and vacancies can be time-consuming.(RentSimple) * Financial Risks: Unexpected repairs or tenant defaults can impact cash flow. * Regulatory Compliance: Staying updated with local landlord-tenant laws and regulations is crucial. However, with proper planning, these challenges can be managed effectively. Getting Started in Real Estate Investing If you're new to real estate investing, consider starting with: * The New Flip: This program teaches you how to flip everyday items for profit, helping you build capital and negotiation skills. It's an excellent way to start your journey without significant upfront investment. (Investopedia) * REBOOT: If you feel stuck or overwhelmed, REBOOT is designed to reset your mindset, helping you overcome fears and take decisive action in your investment journey. (Investopedia) Conclusion Being a landlord offers a path to financial freedom through consistent income, property appreciation, and tax benefits. While challenges exist, the rewards can be substantial for those willing to learn and take action. Always remember: "You are braver than you believe, stronger than you seem, smarter than you think, and twice as beautiful as you'd ever imagined." – Rumi Don't take no for an answer. Much love & peace. 💰 #1 – The New FlipThis is the smartest way to start flipping and make money today.I designed The New Flip to teach you negotiation, hustle, and how to spot deals in real life — by flipping everyday stuff like bicycles.It’s how I made my first money while learning skills that helped me crush it in real estate.👉 Grab it at TheNewFlip.com 🧠 #2 – REBOOTThis is my personal mindset reset — for hustlers who feel stuck, overwhelmed, or like they’re spinning their wheels.REBOOT will help you rewire your brain to take massive action, overcome fear, and dominate your day.👉 Start your reset at MyRealEstateDojo.com/reboot