The past few days we’ve been reviewing Jason’s 10 Commandments of Successful Investing and we’re up to Commandment #5 – thou shalt not gamble. If you missed the first four, scroll back a few days and you can catch up quickly.
Why pay attention to these ideas?
It’s the very foundation of what we do at Empowered Investor Network. Without these, you’re alone in the cockpit at 10,000 feet without flying lessons. Ignore these principles at your own peril. They have been proven to work very well at creating and preserving wealth.
On with the show. Commandment #5 is thou shalt not gamble. With more than two decades under his belt in the real estate business, Jason Hartman has noticed a few things. One of them is that people who flip properties have spending money. People who buy and hold properties have real wealth. There are plenty of crazy real estate schemes you can become involved with. Some might work for a while and some might not work at all but, historically speaking, buying and holding is always a good bet.
Look at it like this. Every time you flip out of a property, you’re back to square one with the next property and repeating the process. That’s all the money you’re ever going to see out of that particular property. But when you hold onto an income property, you own an asset that generates cash for you while you go on to the next one in an ever-expanding portfolio. See the difference? Each one continues to create equity and cash for you as long as you own them.
Don’t gamble your way into the poorhouse. Instead, hold on until you’re in the penthouse.
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