Do you want to make more money?
Last year, Melissa, my wife, and I went to Israel for 8 days. It was an incredible trip and it was interesting to see the historical sites. One evening, we had the opportunity to have dinner in the home of a Palestinian family. It was probably one of the highlights of the trip for me. Over dinner, we talked about Facebook and the technology struggle of middle age parents. It just reinforced the idea that no matter where we live and how different our lives are, we are all people and have many similar experiences.
Recently, I had a conversation with one of my past clients. He is a small business owner and has been self employed for many years. About the only connection his business has to real estate is through the property he owns, in which his business is located. During the conversation we visited about business experiences and how some things worked well and other things, not so much. He made the comment that it has taken many years, but the connections he has with people are more important than the efficiency of his craft. Just another example where two businesses could not be more different – his and my real estate business, but they have more in common than we both know.
Another comment he made still intrigues me and is also true in my business. He and his wife had been analyzing all the areas in their life where they had been financially successful. He has been involved in many different projects and entities and the one thing that had always been successful for them was owning real estate. They had generated more equity from real estate ownership than any other single endeavor. I can say the same thing for me and my business. My business feeds my family, but real estate ownership has not only changed the way my life will look after I retire (probably another 30 years) but also the lives of my kids and eventually, their families.
Last year I ran across an interesting statistic. It compared the average net worth of people that own the place they live compared to those that rent the property they live in. The average renter has a net worth of $5,400. The average home owner has a net worth of $195,400. That is a $190,000 difference. The opportunity to build wealth through owning real estate is incredible and is available to nearly everybody. If you have an interest in buying or selling real estate, I would love the opportunity to visit with you.