Real Estate Investing 101 | Expectation Vs Reality


Man, there is a lot of misperception out
in the world about real estate investing and I think first and foremost, there’s
just such a flavor it get-rich-quick and there’s such a flavor of it’s going to
happen tomorrow. Tomorrow, tomorrow and the reality is is that expectation or
reality end up often looking quite a bit different. What I wanted to do today was
listen, no hype, no overstating anything, no sugarcoating. I really just want to
shoot straight and help you understand how most people become millionaires in
real estate and then I want to share with you what you realistically can do
to accelerate it and crank it up. You know the way that it worked for me
is I had a job. My first year at this job I made just barely $20,000. Now, I was a college kid, I was full-time student. So I don’t feel so bad
about that. But I realized that I needed to do something to grow my income and so
that next year, I committed myself to double my income. That year, I bought my
house, my very first house with like $40,000 of equity, it was like worth 150. I
got it for 110 which meant that on paper I was worth quite a bit more and that
next year he did better at my job at had a commission component and I was
basically making you know $40,000 at my at my job. But my real estate started
kicking in on my first home and a year later, 12 months later, I used the
equity to buy a second house. Now out of basement apartment on my first house, I
was living for free after renting that out. But my second house was paying me
about $600 a month and so that second year, how much money did I make in real
estate? Well, not a whole lot but the people that moved in give me three grand
down upfront. I had a positive cash flow of $600. That tasted good and I said, “I
should do this more.” The next year I bought a few more homes. Things started
doing escalate because by your four and a half, I had 25 properties and phoom! My
track record I started leveraging it. That allowed me to go faster, faster,
faster. But if you look at that, it’s still four and a half years is four and
a half years. It wasn’t 6 months, it wasn’t overnight. The first year was
freaking boring. There was nothing but just buying what… Like saving up to buy
the house. The second day was boring. It was buying my next house. You know, it got
exciting as it built some momentum. But listen, all hype aside. I mean I was
thrilled about it. I was excited but it’s none of this get-rich-quick anything. Now
if you fast forward, today this year alone, I’ll buy over 300 homes,
my personal residual income cash flow will increase this year
by $60,000 on top of everything else. So, if you think about that $60,000 a month
of brand-new income in next year, I’ll do 0:02:28.590,0:02:31.830
even more homes and then the recession is going to hit and I’m putting a billion dollar fund together and then I’m going to
take a billion I’m going to turn it into $3 or $4 billion. If you
look at my humble beginnings to where I’m at today, yes, everything continues to
grow but that’s the reality is that real estate takes time and you can make it go
faster. If you have a team or if you have a system or a strategy, you need to
leverage something to actually get yourself going faster. Now, I want you to
understand that, it was a ton of work for me in the beginning. Real estate on the side, I was putting in about 10 to 15 hours a week. Which when
you have a full-time job and I was also going to school full-time, 10 to 15 hours
was a lot of time. As I got more and more houses, I actually brought in a manager
that turned it into like 10 hours a month and today, managing my portfolio
really takes a couple hours a month because I have a team that steps in and
is actually now doing all the work. But I need to understand, it was a ton of
front-loaded work. You can’t afford to go into this if you… You know click one of
the links for example down below on this video and you’re like, Kris, I want to
get with your team and I want you to be my mentor and Kris, you know, help me,
help me.” I’ll do all that. I’ll be your mentor. I’ll give you the training. I’ll
let you into my life community. I’ll get face to face training with you. I can
make all that happen but I can’t have you doing it with the mindset of I’m
going to get rich in 90 days or else I’m out because that’s where a lot of people
are at today. You know, if I look at like my success and I’m like how did I create
all this wealth and why am i continuing to just you know… My exponential curve,
like my real estate wealth building just… It looks like this right now. It’s almost
going backwards. Just going straight up. And the reason why I have this massive
growth curve is because of longevity. If you think about it I’ve now been
investing for 16 years. I might have been financially independent free after 4
and a half years. It all masks more wealth this year than I have in many of
my accumulative years and that’s because I need to understand it it doesn’t come
for nothing. There is a time component, there’s some hard work. There are some
things that you can do to accelerate it but I want to help you also avoid a
common mistake. You don’t have to be a handyman. You don’t have to know how to
do anything other than maybe change a light bulb. You don’t have to become a
realtor. You don’t need that license. We’re so trained to think that we have
to work for money that we have to invent work. The reality is, I make probably
between $10,000 and $30, 000 an hour, in real estate and and that’s
because I know how to make the entire project work with less than an hour or
two of my total time. Just think about that for a second. Like that’s what’s
possible. it took time to get there. Now listen, I’m not trying to scare you one
off but if you’re sitting there thinking, “Kris, I can align with those
expectations if that’s what reality looks like and whether I’m on track to
make a million dollars or more, in 10 years or twenty years or maybe it’s five
years because I’ll go faster, if you’re still ready to play, then all you got to
do is click the link below and I want you to start by getting a
copy of my book for free because I want to show you how to go from nothing to a
million in 4 different ways. For people that have money and people that
have absolutely nothing like just a pile of debt like when I got started and then
if you really want to take the next step after that, you can actually talk to a
member of my team and actually have them step in your shoes and share with you
what this actually looks like. Because this can be an incredibly exciting
journey as long as you have your expectations set right. And with that
friends, that’s the reality of the game of real estate and that’s how you win
big in life. Have it going on in the background where you’re living life on
your terms, your way. You can still have your career, you can still do the things
that you want in life but always have real estate running in the background no
matter what. Always, no matter what. Thanks for watching today’s video. Make sure you
subscribe. See you tomorrow.

22 Replies to “Real Estate Investing 101 | Expectation Vs Reality

  1. Yoo Kris i just want to say thank u for ur work and also you impacted my life so much! Hope one day to meet u. Into real estate 10months and not one deal. But soon thats about to change πŸ™ŒπŸ½πŸ‘ŒπŸ½

  2. Hey I've watched a few of your videos, and you keep talking about getting a HELOC from a house with equity. Can you make a video that explains HELOC vs Refinacing? I'm 19 and don't have a house yet, so that part is a bit unclear for me.

  3. im 18, thinking about quitting college. i want to live my life my way. i dont want to work for others and instead i want to be the boss… now how tf am i gonna do that

  4. Hello Kris. Can you make a video informing us about the legal risks in lease options and how to avoid them? Thanks!

  5. Lol guys got to have realistic expectations, then goes on to say he had 24 properties after 4 and a half years. Dude if I had that after 20 years I would be happy lol

  6. if i need buy house with zero down payment or fha 3.5 down they have eqwity on houses? and i have one job and i have family …and i have some problem with credtor?

  7. Hi sir I'm a 15 year old. I saw your sandwich lease videos and now I am very excited with real estate thank you so much for giving me a direction.

  8. I would be nice if he actually showed, what you should look at, when buying a home.

  9. After weeks of youtube searching I've finally found the most informative dude in this whole real estate business inv. Kris is that dude. Thanx and keep them coming.

  10. So many people quit after the first deal, that first deal is the hardest one! Every deal after that gets easier and easier.

  11. The real bugaboo to this whole process is property taxes, in two years my property on my primary home have increased by almost 200 per month, adios profits when that happens to your rentals …. these constantly go up and Kris never mentions them

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