Get Rich Education Real Estate Investing with Keith Weinhold

If you own a real estate entity (like an LLC), the new Corporate Transparency Act (CTA) must be complied with soon.
I have my own attorneys on the show to discuss this today, Garrett and Ted Sutton.
You must report ownership information to the federal government. It must only be done one-time, not annually.
The penalties for non-compliance with the CTA can be as high as $10,000 in fines or up to 2 years in jail. Those penalties would be for the most egregious acts.
The intent behind the CTA is to prevent money laundering and terrorist financing.
If you don’t own real estate in an LLC, you probably won’t need to comply. There are pros and cons of using LLCs, which I discuss.
For help complying with the CTA, you can contact Corporate Direct at CorporateDirect.com or (800) 600-1760.
Resources mentioned:
Show Notes:
GetRichEducation.com/478
Corporate Direct:
CorporateDirect.com
1-800-600-1760
Video platform with kids’ FinEd:
SunnStream.com/fivetricks
For access to properties or free help with a
GRE Investment Coach, start here:
GREmarketplace.com
Get mortgage loans for investment property:
RidgeLendingGroup.com or call 855-74-RIDGE 
or e-mail: info@RidgeLendingGroup.com
Invest with Freedom Family Investments. 
You get paid first: Text FAMILY to 66866
Will you please leave a review for the show? I’d be grateful. Search “how to leave an Apple Podcasts review” 
Top Properties & Providers:
GREmarketplace.com
GRE Free Investment Coaching:
GREmarketplace.com/Coach
Best Financial Education:
GetRichEducation.com
Get our wealth-building newsletter free—
text ‘GRE’ to 66866
Our YouTube Channel:
www.youtube.com/c/GetRichEducation
Follow us on Instagram:
@getricheducation
Keith’s personal Instagram:
@keithweinhold

Today's topics: Conventional financial advice is God-awful; tertiary real estate markets; I’ve got a solution to guilt tipping; whether or not the world is uncertain and unsafe.
Conventional financial advice is so bad. I attack the practices of setting budget alerts and paying off your smallest debts first. 
Don’t roll a debt snowball; roll a cash flow snowball.
In the past five years, tertiary markets are beginning to exhibit the rent stability of larger markets.
Guilt tipping is out of control. Learn my elegant solution. You’ll never pay a guilt tip again.
It seems like the world is increasingly uncertain and unsafe. It isn’t. I talk about why it only seems this way.
Timestamps:
The limitations of budgeting (00:02:43)
Discussion on the drawbacks of using budgeting platforms and how they reinforce scarcity thinking.
The debt snowball concept (00:05:09)
Explanation of the debt snowball method of debt paydown and why it is not aligned with an abundance mindset.
Investing in tertiary real estate markets (00:09:43)
Exploration of the emerging bullish case for investing in smaller, tertiary real estate markets and their stability compared to larger markets.
Tertiary Real Estate Markets (00:10:56)
Discussion of the advantages and objections to investing in smaller tertiary real estate markets.
Increasing Investor Appetite in Smaller Markets (00:12:02)
Exploration of the growing interest and sales volumes in tertiary real estate markets.
Guilt Tipping and a Solution (00:20:16)
Explanation of guilt tipping and a proposed solution to avoid feeling pressured to leave a tip when making digital payments.
Guilt Tipping and the Increasing Expectations (00:21:20)
Discussion on the rise of tipping expectations and the use of digital payment prompts to ask for tips.
The Problem with Guilt Tipping and the Inconvenience of Undoing Tips (00:23:45)
Exploration of the annoyance of guilt tipping and the difficulty of undoing tips after poor service.
The Solution: Paying Cash to Avoid Guilt Tipping (00:31:18)
Suggestion to pay with cash as an elegant solution to circumvent guilt tipping and ignore electronic payment terminals.
The Uncertainty of the World (00:32:25)
Discusses how uncertainty has always existed and how waiting for complete clarity can hinder investment decisions.
Disasters and Uncertainty (00:33:47)
Lists various disasters and events that have occurred in the US, highlighting the constant presence of uncertainty and the relative sense of certainty and safety today.
The Ultra Safety of American Society (00:36:13)
Examines how society has become ultra safe, discussing the term "safetyism" and providing examples of excessive safety measures.
Resources mentioned:
Show Notes:
GetRichEducation.com/477
For access to properties or free help with a
GRE Investment Coach, start here:
GREmarketplace.com
Get mortgage loans for investment property:
RidgeLendingGroup.com or call 855-74-RIDGE 
or e-mail: info@RidgeLendingGroup.com
Invest with Freedom Family Investments. 
You get paid first: Text FAMILY to 66866
Will you please leave a review for the show? I’d be grateful. Search “how to leave an Apple Podcasts review” 
Top Properties & Providers:
GREmarketplace.com
GRE Free Investment Coaching:
GREmarketplace.com/Coach
Best Financial Education:
GetRichEducation.com
Get our wealth-building newsletter free—
text ‘GRE’ to 66866
Our YouTube Channel:
www.youtube.com/c/GetRichEducation
Follow us on Instagram:
@getricheducation
Keith’s personal Instagram:
@keithweinhold
 
Complete Episode Transcript:
 
Keith Weinhold (00:00:01) - Welcome to I'm your host, Keith Weinhold, with a rant on how conventional financial advice is so terribly god awful an outlook for tertiary real estate markets, then? Are you getting worn down from guilt tipping? I've got a proven solution on how you'll never pay a guilt trip to a business again. And finally, how do you arrange your investin

Join our free Florida income properties webinar on Monday, November 27th for 5.75% mortgage rates at: GREwebinars.com
Home prices are up 4.5% annually through Q3. It’s the fastest growth rate in months.
Three out of ten renters are now age 55+, the most ever. Older renters are good for you: lower turnover, more quiet, more savings & income, and lower regulation compared to assisted living. 
Overall US population growth is slowing, from 1.2% a generation ago to 0.5% today. It’s expected to grow until 2080.
I discuss the DOJ crackdown on the NAR and real estate commissions. 1.6 million real estate agents could lose their jobs.
Apartment building rate caps have become super-expensive.
One of our real estate Investment Coaches, Naresh, joins us from Florida. 
Naresh tells us how to get 5.75% mortgage rates on new-build Florida income property at GREwebinars.com
Resources mentioned:
Show Notes:
GetRichEducation.com/476
Join our Florida properties webinar, free, 
Nov. 27th at 8:30 PM ET at: www.GREwebinars.com
For access to properties or free help with a
GRE Investment Coach, start here:
GREmarketplace.com
Get mortgage loans for investment property:
RidgeLendingGroup.com or call 855-74-RIDGE 
or e-mail: info@RidgeLendingGroup.com
Invest with Freedom Family Investments. 
You get paid first: Text FAMILY to 66866
Will you please leave a review for the show? I’d be grateful. Search “how to leave an Apple Podcasts review” 
Top Properties & Providers:
GREmarketplace.com
GRE Free Investment Coaching:
GREmarketplace.com/Coach
Best Financial Education:
GetRichEducation.com
Get our wealth-building newsletter free—
text ‘GRE’ to 66866
Our YouTube Channel:
www.youtube.com/c/GetRichEducation
Follow us on Instagram:
@getricheducation
Keith’s personal Instagram:
@keithweinhold
 
Timestamps:
 
The housing market stats (00:02:52)
Discussion about the current state of the housing market, including the 45% increase in home prices and the reasons for continued home price support.
 
Home price appreciation forecasts (00:05:28)
Talks about the predictions for future home price appreciation, with both CoreLogic and NAR expecting a 26% rise in home prices next year.
 
The impact of older renters (00:10:08)
Explains why older renters are desirable for property owners and landlords, highlighting their lower turnover rate and stability.
 
The Aging Population and Older Renters (00:11:15)
Discusses the benefits of older renters, such as lower mobility, more savings and income, and low regulation.
 
US Population Projection and Immigration (00:12:30)
Examines the projected population decline in the US by 2100 and the importance of immigration for continued growth.
 
Housing Demand and Household Size (00:17:12)
Explores the trend of fewer people living in each household and its impact on housing demand.
 
The timestamp's title (00:22:05)
Rising Costs of Rate Caps for Apartment Buildings
Discussion on how the cost of rate caps for larger apartment buildings has become prohibitively expensive.
 
The timestamp's title (00:25:23)
Real Estate Market Trends and Slowdown
Insights on the current state of the real estate market, including a slowdown in November and leveling off of home values and rents.
 
The timestamp's title (00:28:28)
Opportunity in Real Estate Market in 2024
Predictions for the real estate market in 2024, including a potential bottoming out of the market and a decrease in mortgage rates.
 
The decline in home values and the health of the economy (00:32:58)
Discussion on the decline in home values and the health of the economy, with reference to the 2008 financial crisis and current housing supply.
 
Short-term rentals and the potential for a decline (00:34:14)
Exploration of the decline in short-term rentals due to a decrease in travel and corporate expenses.
 
The impact of mortgage interest rates on home prices (00:35:19)
Analysis o

I don’t keep much money in a savings account, money market account, or treasury bonds. They only pay 5% interest.
Instead, I get 10-12% cash returns and semi-liquidity by private lending on real estate and operations with Freedom Family Investments.
My guest, the company CEO, Dani Lynn Robison and I discuss how it works. They’re a family of 7 real estate-centric companies.
They pay me 10-12% on a loan that I make to them that funds their real estate and business operations. You can too. It’s called their Master Note. 
Text FAMILY to 66866.
These private lending programs have just a $25K minimum, accredited and non-accredited, returns up to 12%.
Rather than getting in on the equity side here, which is usual, you’re getting in on the debt side. This way, you’re more liquid than when you buy property yourself.
We discuss 3 vital investor questions: Who do you trust? Where do you begin? What’s the best path for you?
Dani Lynn & I discuss a good investor outcome. We also discuss how when things went wrong, the investor/lender still got completely repaid.
I can personally tell you that they’ve always paid me on-time and in full.
Some people don’t like to share where they personally invest, but this could really help you.
Vocabulary terms explained: financial runway, demand depositor, time depositor, vertical integration.
If a high-yield passive return of 10-12% sounds interesting to you, text FAMILY to 66866.
Resources mentioned:
Show Notes:
GetRichEducation.com/475
For 10-12% returns with Master Notes with 
Freedom Family Investments:
Text “FAMILY” to 66866
Dani Lynn Robinon’s book, “Get Real”:
https://www.amazon.com/Get-Real-Understand-Estate-Investing/dp/B0BZF99S5K
For access to properties or free help with a
GRE Investment Coach, start here:
GREmarketplace.com
Get mortgage loans for investment property:
RidgeLendingGroup.com or call 855-74-RIDGE 
or e-mail: info@RidgeLendingGroup.com
Invest with Freedom Family Investments. 
You get paid first: Text ‘FAMILY’ to 66866
Will you please leave a review for the show? I’d be grateful. Search “how to leave an Apple Podcasts review” 
Top Properties & Providers:
GREmarketplace.com
GRE Free Investment Coaching:
GREmarketplace.com/Coach
Best Financial Education:
GetRichEducation.com
Get our wealth-building newsletter free—
text ‘GRE’ to 66866
Our YouTube Channel:
www.youtube.com/c/GetRichEducation
Follow us on Instagram:
@getricheducation
Keith’s personal Instagram:
@keithweinhold
 
Timestamps:
 
The importance of increasing income (00:01:28)
The speaker emphasizes the importance of increasing income rather than cutting expenses and discusses the concept of a financial runway.
 
The need for liquidity in real estate investing (00:04:05)
The speaker explains the need for liquidity in real estate investing and recommends having 3 to 5% of the total value of a real estate portfolio in liquid funds.
 
Investing in residential real estate for strong returns (00:06:44)
The speaker discusses the benefits of lending to the long-term stability of residential real estate and related businesses, highlighting the potential for strong returns.
 
The acquisition and growth of Freedom Family Investments (00:11:35)
This topic covers the growth of Freedom Family Investments, including the number of units acquired, funds raised, and the value of their portfolio.
 
The concept of vertical integration in real estate (00:12:38)
This topic explains the concept of vertical integration in the business world, specifically in the context of real estate companies. It discusses how vertically integrated companies have more control over their supply chain.
 
The Master Note Program by Freedom Family Investments (00:15:45)
This topic introduces the Master Note Program, a lending program offered by Freedom Family Investments. It explains the program's features, including high yield returns, liquidit

Will higher interest rates and inflation persist for a decade?
An upcoming recession always seems to be perpetually just around the corner. Learn when it should finally happen.
Macroeconomist Richard Duncan joins me. I tell you a funny story about when he was GRE’s first-ever guest in 2014.
Currency is now being destroyed—called Quantitative Tightening.
Negatives for future asset prices: QT, higher rates, student loan debt repayment, stronger dollar, asset prices already inflated, high personal asset-to-income ratios, higher oil prices, looming government shutdown.
Positives for future asset prices: monetary stimulus hangover, high employment, CHIPS and Science Act, Inflation Reduction Act, The AI Revolution, prospect of lower future inflation and interest rates. 
Richard provides his opinion and insight on today’s real estate market.
If inflation-adjusted credit growth is less than 2%, expect a recession. If it goes negative, expect a depression.
Get a 50% Discount on Richard Duncan’s MacroWatch video newsletter. Use the code “GRE” at: RichardDuncanEconomics.com
Resources mentioned:
Show Notes:
GetRichEducation.com/474
Get a 50% Discount on Richard Duncan’s MacroWatch video newsletter. Use the code “GRE” at:
RichardDuncanEconomics.com
For access to properties or free help with a
GRE Investment Coach, start here:
GREmarketplace.com
Get mortgage loans for investment property:
RidgeLendingGroup.com or call 855-74-RIDGE 
or e-mail: info@RidgeLendingGroup.com
Invest with Freedom Family Investments. You get paid first: Text ‘FAMILY’ to 66866
Will you please leave a review for the show? I’d be grateful. Search “how to leave an Apple Podcasts review” 
Top Properties & Providers:
GREmarketplace.com
GRE Free Investment Coaching:
GREmarketplace.com/Coach
Best Financial Education:
GetRichEducation.com
Get our wealth-building newsletter free—
text ‘GRE’ to 66866
Our YouTube Channel:
www.youtube.com/c/GetRichEducation
Follow us on Instagram:
@getricheducation
Keith’s personal Instagram:
@keithweinhold

Failed deals. Capital calls. Lost investor money. A dreadful and sobering conversation ensues for many in some commercial real estate sectors.
Residential (1-4 unit) and commercial (5+ unit) real estate fortunes are decoupling. 
Multifamily commercial loans are at the mercy of interest rate resets.
Residential is stable due to low supply and sustained demand.
Neal Bawa from MultifamilyU and I outline the multifamily problem. Values have plummeted 25%. 
The magnitude of the multifamily problem is about 1/80th of the 2008 Global Financial Crisis.
There are two reasons for the office apocalypse—both declining income and increasing expenses.
Only 3% of office buildings in downtown cores have a floor plan that can be converted to residential. Dreadful. 
There will be possible discounts in the hotel industry due to a lack of funding and loans.
Retail has surprising bright spots.
We discuss the future of rents through 2026.
Will multifamily problems create contagion into 1-4 unit residential? We discuss. 
Timestamps:
Multifamily industry changes and challenges [00:00:46]
Discussion on the new difficulties faced in multifamily, such as failed deals, capital calls, and banking industry challenges.
Opportunity arising in the multifamily market [00:01:12]
Exploration of the current opportunity in the multifamily market due to a 25% reduction in prices from the peak, caused by distressed transactions and high interest costs.
Anatomy of the problem with floating rate debt [00:05:57]
Explanation of the issues faced by apartment building owners or syndicators when they have floating rate debt without rate caps, leading to potential deal blow-ups.
The rate cap issue [00:08:29]
Discussion on operators neglecting to buy a rate cap or buying a rate cap set too high, leading to negative cash flow.
Magnitude of the multifamily reset problem [00:09:47]
Comparison of the current multifamily reset problem to the global financial crisis, highlighting the challenges faced by operators.
Challenges in refinancing properties [00:12:10]
Explanation of the challenges faced by properties in refinancing due to decreased net operating income and increased mortgage costs, leading to potential loss of investor money.
The availability of multifamily loans [00:16:50]
Neil discusses the availability of commercial real estate loans, particularly in the multifamily space, and how it differs from other asset classes.
Lending challenges in the commercial real estate space [00:18:03]
Neil talks about the severe lending challenges faced by asset classes like office, retail, and self-storage, while expressing confidence in the stability of multifamily lending.
Contagion and the impact on the 1 to 4 unit space [00:20:56]
Neil discusses the limited level of contagion that could affect the 1 to 4 unit space due to problems in the multifamily market, highlighting the healthiness of the single-family market and institutional interest in it.
The Troubled Office Sector [00:25:35]
The speaker discusses how the office sector is facing a long-term demand crisis due to the decrease in office occupancy and the challenges of converting office buildings into residential units.
The Ten-Year Problem in the Office Sector [00:27:06]
The speaker explains that the office sector is about to face a ten-year problem, with defaults and declining values affecting the downtown core and other assets.
Bright Spots in Retail and Hotels [00:29:21]
The speaker highlights that retail occupancy is higher than multifamily occupancy, and despite the Amazon effect, retail is doing well. They also mention that hotels have seen strong recovery post-pandemic.
Hotels and Multifamily Discounts [00:32:55]
Discussion on the current cash flow opportunities in hotels and multifamily properties, potential discounts in the next 12 months.
Retail Reinvention and Rents in a Recession [00:33:57]
Exploration of how retail can sustain itself through experiential offerings, t