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Invest in a Basic Need

October 26, 2018 by  
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Just yesterday, I was on a conference call discussing options for doing a 1031 exchange as a big property that I’m a part owner of was recently sold for many, many millions of dollars. We did make a huge profit on this property and it had a great cash flow during the time we owned it, just like most of the income properties I’ve invested in, but it was time to sell. So, we were looking at our options to buy into other properties which would allow us to avoid paying a huge capital gains tax. We discussed several properties that looked quite promising when one of the partners—a guy much smarter than me—talked about the possible softening of the real estate market due to rising interest rates. Whereas he and others agreed that we are probably due for a pull-back of property values, the new acquisitions looked so promising that a pull-back in prices in the area would not likely have much effect on our possible purchase but it was still a risk.

I was faced with a similar dilemma many years ago and just recently happened to come across something I wrote back then when everyone was worried about a down turn in the economy and a pull-back of real estate prices. My headline was “A Basic Need”. In this piece I wrote, “Why is real estate such a good investment? Why do experts predict that the real estate market may slow down but will probably never fail?”

My answer to those questions is the reason why real estate is such a super great investment – real estate is an answer to a basic need. People always need a place to live, a place to work, a place to shop, a place to stay when on a vacation, and even a place to farm. Improved real estate is especially in demand and it is in demand most of the time. These include apartment units, single family houses, duplexes, etc. And, of course, one of the huge benefits of this kind of real estate is that even if the market softens and price come down, you still have someone else increasing your net worth since their rent payments are paying down your mortgage. Is that a great deal or what?

Even when the market softens a bit, eventually, these properties regain their value as the supply of units shrink and rents begin to climb again. I’ve seen this happen many, many times but investing in small rental houses, duplexes and apartment buildings, through all kinds of market conditions, was how I made my first million. I would keep buying as the market softened and prices and rents began to drop, but I was pretty darn sure the drop would eventually be over and, sure enough, the slump would end and put more millions in my pocket.

Bottom line here is yes, the economy will probably pull back a bit in the next year or so, but this can open up many opportunities for you and can bring you big profits in the long run. So, keep an eye out for good income properties and make offers to buy, whether the economy softens or it keeps on growing.

 

The Energy Generating Brain

October 19, 2018 by  
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I am pretty sure there’s not many people that wouldn’t like a bit more energy. Okay, maybe an 8-year-old kid has plenty, but most of us, especially as we age, really want and need more energy. The amazing thing about humans is that we can actually create more energy with our minds.

The mind can be one of the strongest and most powerful force that you possess. A overly simple example of the mind creating energy is if you were dead tired at the end of a mountain hike and could hardly take another step, but suddenly you were confronted by a grizzly bear, your brain would immediately send a signal that would produce a huge amount of adrenaline and give you plenty of energy to move very quickly to save yourself. Although that is chemical physiology, even quantum physics has proven that your thoughts can be vibrations of energy.

How about this? You are lying in bed, totally worn out with seemingly no physical or mental energy, and suddenly you think of some incredible new invention. You can visualize how this idea could very possibly make you a quick few million dollars. Suddenly, your brain creates a ton of new energy and you jump out of bed, rush to your desk, and begin putting your great new idea on paper.

Your brain really can create energy. I totally believe that your brain is the key to your financial fortune and my experience backs up this belief. Some say that you can obtain wealth by training your subconscious mind to attract wealth, and I totally agree. If you put those money-making thoughts and plans deeply in your mind and then push very hard to turn those thoughts into action, you can and will be successful.

Quoting from one-mind-one-energy.com, “The most potent form of energy is thought because thought waves are cosmic waves penetrating all time and space.”  The 5 steps below, found on that website, make so much sense and are so very true. We really need to watch our brains like these 5 steps advise.

  1. “Watch your thoughts, they become words.”
  2. “Watch your words, they become actions.”
  3. Watch your actions, they become habits.”
  4. Watch your habits, they become your character.”
  5. Watch your character, it becomes your destiny.”

Good ole Mahatma Gandhi said something similar: “A man is but the product of his thoughts–what he thinks, he becomes.”

Wow, there’s a bunch of good stuff to pound into our brains that can greatly enhance and improve our lives, whether it’s to make millions of dollars or become whatever we’ve always wanted to become and maybe have fallen short. Plus, who among us doesn’t want to have a ton more energy?

All the Love out There

October 12, 2018 by  
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Last week I ended my blog by writing about the great tears of joy I experienced shortly after posting a picture of me at my daughter’s grave site, a moment that itself was filled with tears of pain and sorrow! So, you may ask, what brought on the great tears of joy?

Shortly after posting the picture of my daughter Kristin’s grave site, I began to receive these wonderful messages of love with many kind words of sympathy, love and support. Wow, did those words of love, coming from several dozen friends, family and even total strangers, ever get to me, bringing on those tears of joy!

That got me thinking about how powerful love is in our lives and how much of it is out there. Even though it’s all around  us you sure don’t hear or see much of that on the news, so, I’m guessing that some people don’t really fully realize how much love there is in the world. But, the opposite of love—that thing called hate—makes the news pretty much every day. Why is that? I think the main reason is because it can be, and usually is, so very sensational, so it really stands out and grabs our attention. Like the mass shooting last year in Las Vegas or the kidnapping of a kid or the rape of a woman and, of course, lately, the terrible things we are hearing about due to the MeToo movement.

The news certainly doesn’t spend much, if any time, on how much love a parent shows his or her kids. Once in a great while the news might have a short story on the great love of a couple on their 50th or 75th wedding anniversary, but the divorce of a couple, especially if they are famous, certainly makes the front page and the top of the hour TV news.

I think we all need to pay more attention to that great thing called “love” and give more of it to those around us and, yes, even people we have just met. We need to Encourage our kids and those around us to share more and more love each day, through words and deeds. And I want to publicly send out a HUGE THANK YOU AND LOVE BACK to those wonderful people who sent words of love, great sympathy, and support to me on what have would have been my daughter’s birthday!

 

Death’s Loving Lesson

October 5, 2018 by  
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This past weekend, on September 30th, I was both celebrating and grieving. That day is my daughter Kristin’s birthday. She would have been 49 but she tragically died many years ago, at the tender age of 16. Yes, I do want to celebrate her birthday but it is a day of mourning and tears at the same time. I don’t always visit her grave because it makes me grieve more but this year I did, taking red roses that I placed on her grave.  Think how much more death would hurt all of us if some of us never had to die. Like that’s going to happen… NOT!

I do think it’s so very interesting that there are lessons that can be learned from a good friend or loved one’s death. I know when my Kristin died it made me a much, much more caring and empathetic person. I wanted to be there, to help, support, and love my friends and family more than I ever did before. From that day on I became so very caring and I really could feel and share other people’s pain and sorrows when they lost someone close to them or even had other problems and difficulties in their lives.

When I was young I had the crazy belief that I would never die since there would be a second coming of Christ and no one would suffer death. I sure remember how so many people, back in 1999, really believed that a second coming would happen as the world moved from the year 1999 to 2000! Well, that didn’t happen.

Let’s face it, death is an absolute fact of life and no one can get out of this life alive. As we age, most of us feel that time moves faster and faster although we’d love it to slow down since we have so much more living we want to do. I think we’d pay almost any price if we could buy an extension on our lives.  Years ago, when I turned 60, I used to joke and say to guys that were in their 30’s, “Hey, if it were possible for us to switch ages and you become 60 and I got to be your age, would you do it if I paid you a million dollars cash?” Believe it or not, about half the young people I asked that question to said yes. Wow… I sure would do it if it were possible, but I heard a rumor that it’s not.

However, we have options – we can take care of ourselves. We can eat good, healthy food, keep our bodies moving, and stay well connected with social groups which will extend our lives to a degree.  Plus, we can concentrate on living every day to the max – it’s a give more and live more concept.  We can love our friends, neighbors, and family as much as we are conceivably able to, including going out of our way to be there for them, helping them when they need us, and bringing more joy and happiness to them which, in return, will bring the same to us.

Yes, death of a loved one is tough but there are lessons to be learned from it and it can make you a better person which is a blessing to everyone, including yourself. Next week I want to tell you what happened that brought tears of great joy right after I posted a picture of myself putting those roses on Kristin’s grave.