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- [00:01]
David Green
Welcome to Real Talk Real Estate, the show where we cover how to build wealth in real estate with no fluff, no BS and no sales pitches. I'm David Green and I've been doing this for over 10 years. I've seen the ups, the downs, and everything in between. This is the show where we pull back the curtain and show it to you too. So if you want to build wealth through real estate or you just love learning about it, you found your home, friends, family and fellow real estate investors. Welcome to Real Talk Real Estate. This is the David Green Show. I'm your host, David Green, and I've got a fantastic show in store for you today. We've got some great questions from the best real estate community in the world. You guys, the real talkers. If you should try to do it all or focus on just one or two things. How to decide where to spend your energy, if equity should be moved from one market to another, and how to know where to move it, how to save and store money while you're waiting to buy real estate, what's going on in the news cycle and more. This is your first time listening. Sincerely welcome. Really glad that you're here. This podcast is different than other real estate investment podcasts because we do more than just interview the same investors that are making the real estate podcast cycles. Instead, we share actual, practical and tactical information to help you build wealth through real estate. And we do it while making you laugh. So if you like to get your information with a touch of entertainment and humor, you've come to the right place. And remember, if you want to help me to make this show, I need you. Head to davidgreen24.com ask and submit your questions so you can be featured on on a future show and we could all learn from it. Little update on what's going on in my life. I'm making some progress with coast to coast real estate. That's going to be my real estate brokerage. The plan is to get brokers from all 50 states, have them hang their licenses with the company and recruit agents from those states. So if you're a real estate agent and you're disappointed with the service that you're getting from your broker, the problem might be you. And why is that? Because every dollar that we spend is a vote that we cast. And choosing to hang your license with the broker that you're at is you voting for that broker. Now if we want to keep it real, the reason that most people do that is they went to the cheapest broker that they could Find so you got what you paid for. If you're ready to make some changes in 2025, grow some confidence as an agent and learn how to provide real, actual value that the industry really needs. I highly encourage you to check out coast to Coast Real Estate. Send me a DM on Instagram with the word coast or send me an email and I'll put you on the list to get notified when the brokerage goes live. Also, some exciting news. To coincide with the release of Co To Coast Real Estate, I'm going to be dropping a podcast on this channel for real estate agents. You're going to have the interviews that we put out every single week for real estate investors. Then you're going to have a show for agents. If you're not an agent, you could just skip it. But if you've ever been curious about what goes on behind the curtains of the real estate industry, you're welcome to listen. And then on Monday, you can also check out Mortgage Mondays on YouTube. I don't drop those on the podcast channel because I don't know how interested everybody is in hearing it, but if you would like to hear Mortgage Monday on this podcast channel, reach out and let me know. If enough of you do, I'll start releasing it here, which would be four shows a week. In other exciting news, I'm currently working on the website realtalkrealestate.com should be launching in about three to four weeks where we can have a community of real estate investors that are all coming together to share information, share details, share knowledge, learn and grow together. So for those of you that have stood with me as this transition has taken place, I sincerely appreciate you. And for those of you that are new, welcome. I think you'll love it. All right, that's like the longest intro that I've ever done, so thank you for listening. Let's get into the show. Our first question comes from Margie in Utah. Funny, I was just in Provo for the first time a week or two ago speaking at Brody's event, and that place was gorgeous. I really liked Utah. I was shocked how much I liked it.
- [03:44]
Margie
Hi, David, Margie hare here from St. George, Utah. I've been a realtor for 22 years, mostly a solo agent. I've just started a small team and I have a question on how you balance being a team leader and investing. I find that it's so ingrained in me that I am coming across great deals and I'm calling up buyers, telling them about them rather than snagging them up myself. I have a couple of instances where this has happened. One that I actually told a buyer about it. He wind up. He wound up backing out, and then I told him, hey, then I'm going to go for it. I snatched it up and wound up being able to flip it for $100,000 in 45 days. We didn't even have to paint. And then another one came across, same situation, and I called up a buyer. This time, he closed on it. And I'm still kicking myself that I defaulted to that. So just wondering how you balance it all. Thanks.
- [04:43]
David Green
Well done, Production team for the David Green Show. Starting us off with this question. This is what the kids call a banger. So if you're listening to this and you have kids, a banger is something good. If you are a kid and you're listening to this, don't cringe. Your parents needed to know that. All right, you're a real estate agent, you're a real estate investor. How do you know how to look at these deals? Man, I love this question. Really. Margie, it's going to come down to your reticular activating system, which is a fancy way of saying your subconscious, really. It's the filter that tells your subconscious what to let into your conscious and what to keep back from you. It's kind of a fascinating concept if you've never thought about this. There's a lot of things that are happening to you right now. Maybe you're driving your car down the road. Maybe you're like me sitting in your office. There are sounds all around you that your subconscious is not alerting your conscious to. For instance, there's a hum of a refrigerator going on right next to me. There's also a different hum of the light systems that I have as I'm recording this, and they're settling in the foundation of the building that I'm sitting in. My brain blocks all of that from making its way into my conscious because I'm recording. And if all of that stuff was distracting me, I wouldn't be able to talk and think. But let's say there's a loud slamming door. My reticular activating system would say, hey, you need to pay attention to this, because that could be something that's going to kill you. It pushes that information into my conscious, where I make the conscious decision. Do I want to explore that and look into it or get back to focusing on the podcast. Training your reticular activating system to serve you correctly is a massively important part of being successful. And for you Margie, when you see a deal, your reticular activating system says, let me call my list of buyers who I'm serving instead of let me buy it myself. Well, the easy answer to this is you can't buy every single deal. So if you pick a couple for yourselves, there still should be plenty to go around for your other buyers. And if you think there's not because you've got a scarcity mindset, consider getting yourself around more deals so you can take care of yourself and your buyers. I don't think you really have to choose, but here's the way that I would handle things if I was you. When a deal crosses your path, the first thing you say is, do I want it? If the answer is yes, you create a flowchart. Is this a flip? Is this a brrrr? Is this a wholesale? Whatever path you're going to take? Once you figure that out, the next question is, do I have the money to buy it? If you don't, you either don't buy it or you say, how could I buy it with other people's money? Real estate investors only operate in that world. Real estate agents say, how could I make money of this deal helping somebody else to build wealth with it? All you have to do is program your flow chart how you want to think. Do you want to take on a bunch of flips or does that pull away your attention from your agent business that suffers if that's the case, sell the flips to other people, keep some of the buy and holds for yourself. Do you want a portfolio of 30 properties? Maybe not. Maybe you only want to pick up one a year. So cherry pick the best deal, sell the rest to other people. I'd also probably throw in there that when you give that buyer the great deal, you say, hey, my expectation is you're going to bring your listings to me. Since I'm bringing these great deals to you. Do we have a deal and if they go, no, my mom's a real estate agent. Unfortunately, I'm going to send all the business to her, no problem. I'll still send you the deals I come across, but I take the best deals and I give them to David because David is going to let you list it. There's ways that you can look to grow both businesses at the same time. And that's my advice for you, Margie. Look for synergy. Give the best deals to the investors that bring you deals that they flip. You don't want to flip the house. Get it to a buyer that is going to Flip it and make sure that they give you the listing. The people you've already sold deals to, are they bringing you the houses they don't want to own anymore so you can sell it to your other buyers? Do they have properties that are in bad shape that you can get your hands on and keep for yourself? It's rarely ever an issue of time. It's usually an issue of your reticular activating system telling you what you should keep and what you should sell. Thank you for the question. That was amazing. All right, next up is Brian in San Diego. Hi, David. My name is Brian from San Diego. My question is, where do you prefer to keep capital while you're waiting to deploy it? For example, if you're saving for a down payment, where do you keep those funds while you're saving for that down payment? I ask because it seems like keeping it in a savings account is exposing it to inflation, and I'm just wondering if there's any other preferred places to keep it. Thanks for taking my question. I look forward to meeting you in Cancun. Brian, you are correct. Keeping it in a savings account is exposing it to inflation. And yet that is where I keep my money. And the reason is I have a lot of properties, a lot of businesses, a lot of salaries, a lot of payroll, a lot of complication. So I kind of need my funds to be liquid so that I can pay people, fix things that break and move money around. If I didn't have it set up that way, I might keep it in a cd. But really, even though rates are higher than they used to be, they're not high enough that it makes much of a difference for you. One thing that I would consider if you have a HELOC on a property is keeping your money in the property itself, like paying it off completely. Then when you see a deal you want, pull it out through the heloc, use that money to buy the next one, and then take the cash flow that comes from the property that you bought and use it to pay off the heloc. Pay the HELOC down. That way you're not earning interest on the money, but you're saving interest that you would have been paying on a mortgage. This becomes especially beneficial to you when rates are up. So if Your mortgage was 8.25%, but you're able to pay it off with money that was sitting in the bank, you're saving 8.25%, which is the same as making. It's actually better than making it because you're not getting taxed on it. The key is you just got to figure out a way to get it out of that asset and into the next one. Which is why I mentioned having a heloc, because now you're getting the benefit of not making the mortgage without the loss of not having the money liquid. Other than that, though, my friend, there's not a whole lot of options as to where you can put that money. You could try to keep it in stocks. You could try to invest it in something else, like cryptocurrencies, even though that may protect you from the dangers of inflation that exposes you to the dangers of that stock or that crypto crypto plummeting at the time that you need the money. In those cases, I just don't think the juice is worth the squeeze. Thanks for your question. I appreciate it. Folks, if you've got a question, remember david green24.com Ask Submit your question so we can have it featured on the show. Also, do I have any listeners that enjoyed themselves in Cancun at BP Con? I sure did. Let me know in the comments if we met at BP Con and if you thought I was taller or shorter than what you were expecting.
- [10:54]
Margie
Hi David, Love that you have continued to podcast and excited for your new show. My question with all the latest trends on social media, touting fire and becoming rich and retired at a young age, what advice or inspiration do you have for those of us that maybe didn't get as lucky or make the right decisions and investments in life and are now in the older take less risk age group, particularly the generations that were adults and affected by the 2008 real estate crash and long Great Recession. I have financial PTSD from 2008 but worry that being more conservative has left me behind the last couple of years. Would love to hear any inspiration you have for those of us on the other side of the hill and hoping that it's not all downhill from here. Thanks for taking my question. Kara from rural Tennessee.
- [11:40]
David Green
It's funny, if you're listening to this on Apple podcast and you don't see the video, Kara does not look old at all. Kara, you look like one of the young people that's all about financially independent and retire early. So I don't know if I believe that you're on the other side of the hill, but you did ask a really good question. What do you do if you're a little bit older? Well, my philosophy has always been if I'm going to be more conservative in one area, I want to be more aggressive in another. So if you're nervous about investing the money in real estate, maybe you only want to buy one house a year. You don't want to scale too fast. That's great. Be more aggressive in making or saving money, maybe both. If you're really aggressive when it comes to starting businesses and you're good at making money, but you're good at losing it too, maybe invest more conservatively. If you're really good at managing properties, but you're not great at making money, look at how you could be more aggressive at taking properties over. With creative financing, there's always some area where you can be more aggressive to make up for your conservative side. Now, the other piece I'll bring into this is just about mindset. There's nothing that says the goal of life is to retire as fast as you can. In fact, when you look at a lot of the tragic, sad stories that happen, many times it came from the person that came into wealth way too fast and was more than they could handle. When someone gets on steroids, it often goes to their head. When someone wins the lottery, it's rarely a good ending for them. The safest and best way to build wealth or hit success is slowly, incrementally, over time. So, Sarah, you're probably exactly where you should be doing, exactly what you should be doing. Just ask yourself how you can do it better. Can you serve more? Can you work harder? Can you be more intense? And can you challenge the parts of your personality that cause you to hold back and play it safe without being risky? Great question though. Let us know what you end up deciding. Curious if anybody else out there has some financial PTSD from 2010. It was devastating. In fact, we're kind of having a mini one of those right now. Rates went up really quickly. No one really talks about it. But short term rental operators are struggling. Flippers are getting hammered. Wholesalers are shutting down their businesses all across the country. I mean, legit wholesaling businesses that were crushing it. I've heard operators telling me, I want nothing to do with it. It is way too hard. It is not worth it. It is so challenging. Meanwhile, more and more people are moving into that space looking to try to make a quick buck. And so the competition is getting crazy and the deals aren't as good. This is a tough time to be a real estate investor. It is also a tough time not to be one. People are not making much money at their jobs. They're having to work harder. They got used to working from home and doing easy tasks. Now they're being asked to do more difficult things and not be allowed to work from home. It's also not an easy time to be an entrepreneur. Businesses are struggling and it's a hard time to be unemployed because everything is becoming more expensive. Is there an area in life that isn't harder? Right now, I think the reality is the economy is way worse than what we're being told. We were all running downhill, now we're running slightly uphill. But the change feels significant. And one of the things that I've noticed with the people that work for me or the people that are in my life that are working is there's a bit of paralysis, not analysis paralysis. This isn't people that are overthinking things. This is a fear based paralysis, like the PTSD that Kara just spoke about. Are you guys seeing this too? When people were crushing it, running downhill, and making more money than they ever had, I think what happened is they got used to thinking that was normal, that got pulled back. Now you gotta work a lot harder to make the same money. And people are afraid to try because they don't want to fail. So people have withdrawn their effort and energy, withdrawn their urgency, withdrawn their intensity, but they haven't put that into something different. They're kind of just staying in the same place, crippled with anxiety, marinating in their own fear. I'm curious if this resonates with you. Have you been hit by the same spirit of fear? Are you afraid to try hard at something because you don't want to fail or you don't want your energy to be wasted? Are you waiting for things to go back to the way they used to be before you try again? Here's the danger with that. You've put your autonomy and your personal agency in the hands of the economy or the government or your employer or someone else. And that's never a good place to have it. The only person that really controls what we do is us. So I'm just wondering if I'm the only one noticing this or if other business owners, bosses, or employees are also feeling the spirit of fear that seems to have swept through the country. Let me know in the comments on YouTube if this is something you're also feeling. All right, next up, we have Daniel from Ithaca, New York.
- [16:00]
Kara
Hey, good morning, David. Hey, I need your help. I got myself in a rough situation. I have a rental property in Gainesville, Florida. I hired a GC to do some work. I paid him $35,000. I'm not going to get my money back. It's a long story, but pretty much trying to figure out. I don't have that much cash so I need your help. The property in Gainesville has a balance of 215. With a 2.9% interest rate, it is worth 325. I make about 500 bucks a month. Should I'm also about to buy I'm about to buy a primary house in Ithaca, New York worth 181k. I'm going to add a bathroom, update the kitchen, paint the outside. Once I do that, It'll be worth 275. Should I sell my rental in Gainesville? Should I refinance my rental in Gainesville or refinance my my new house in Ithaca, New York and and hopefully try to get some money to pay off that HELOC from doing that. Thank you. Really appreciate it.
- [17:01]
David Green
Daniel, thanks for the question. You remind me of something that my good friend Justin and I just talked about on the phone the other day. He also has a HELOC that's hammering him and he's trying to figure out if he should sell an investment property to pay it off. And here's why. A lot of people open HELOCs a couple years ago and use the money to buy their next investment property. Now, I cautioned against it. I didn't tell people don't do it at all. I just said, hey, you be careful if that's what you want to do. I don't love the idea of taking a HELOC out of one property and using it as the down payment for the next. Because what happens is you borrow money to buy the property, then you borrow money for your down payment. You've now borrowed money from two different sources. When it's already really hard to get cash flow, you create an uphill battle for yourself and then you still got to pay off that heloc, which doesn't get talked about. We assume that whatever you buy is going to cash flow, but then when it doesn't, you're stuck. Now your quality of life goes down as you're probably feeling because it is stressful when all the money that you made and all the money you're making at your job is going to pay off debt. Now here's the reason that this hit people so hard when rates went up. Those HELOCs that everyone took out that seem really cheap 5, 6, 7% went up to 9, 10, 11, 12%. Some of them are sitting at 14%. It's really expensive trying to pay these things off. However, if you sell either of your investment properties, you're going to lose cash flow from the investment. And if you sell the primary, you're going to have to buy another one. So after thinking about it, here's where I'm going to advise you. I want you to keep that primary residence and keep paying for the heloc. If you can, work more hours, work more overtime, get a better job, do something. I want you to add value to the primary. After a year, you can sell it and your capital gains taxes should be about 15%. If you can make it another year, buy another property as a primary and move into it. Then sell the one that you had. If you can't find a second primary, give yourself two years, then sell your primary and don't pay any capital gains. Use that money to pay off the heloc. I really like this idea of a live in flip for you every chance you get. If you can, keep finding deals for 180,000 that you're then going to sell for 275 after you fix the money up, you should be doing that every single year. Let the equity that you made from this deal pay off the HELOC you took out. And in the future, be careful about taking out additional HELOCs to buy properties. I prefer to see People take out HELOCs to improve properties they already have than to use that money for a down payment on a new one. Good question, though, Daniel. And something tells me that you might want to check out my mastermind, Spartan League. That's my real estate community. It's sort of a university for real estate investors. If you're interested in checking it out, you can DM me the word Spartan on Instagram or Daniel, reach out to me directly and I'll see if that's something you might want to enjoy. I love that you're out there hustling and making moves. All right, next up, we have a question from David in Tampa. David, with the high cost of taxes, home insurance and flood insurance, is the Tampa St. Pete area still investable? Wow. Short, succinct, to the point. Well done, David. Oh, boy. This is not going to be a short answer. There's so many angles to take with this thing. Florida is a confusing, complicated state. I'm in a bit of a situationship with Florida because I believe in it for the future. I love the business environment. I love the location. I love a lot about Florida. I think people are going to keep moving there. I don't think they're going to keep moving there at the rate that they have Been. And I also think a lot of people are going to move out of Florida. This is where it gets weird. While many people are going to want to live in Florida, many that already bought, they're going to try to get out because of exactly what you said, the insurance problem and the flood problem. The hurricanes have come and have dumped some water on the red hot market. That was Florida. If you live there, you know what I'm talking about. St. Pete got hammered by two Hurricanes in a row. Tampa very close, also significantly affected. And as insurance is skyrocketing, people are saying this is way less affordable than I thought. You see people move to Florida because it was cheaper than New York or some, or Boston or some of the east coast cities that they left left. Now they're going to move out of Florida and I'm trying to figure out where they're going to go because those might be the places that you want to invest in for the future. So over the short term, I do think you're going to see people leaving St. Pete and I do think the values in that area are going to go down. But in the long term, I think that they're going to do just fine. So if I was you here, so I'd be thinking I probably would sell in St. Pete and I'd put the money in a different state, maybe Alabama, north Arkansas, somewhere in the Midwest, but only for a couple years, which means I'd want to buy something where I could force equity, I want to fix it up, make it worth more and then let the equity sit in that deal. I would let everything cool off. I would see what happens with the insurance in Florida and I would appear stable. I'd put the money right back in there. Now if you do this just right, what's likely to happen is you take the money out of Florida when it's not growing, you put it into a market that is going to be growing. Doing you also add value to the property that you bought. Then you take this big chunk of equity that you created and move it right back into Florida where prices have stayed about the same, which meant you added to your wealth. Then you'll see the values in Florida that will continue to grow. So it's a good long term investment. I'm not down on Florida. I just think Florida is going to have a couple years in the future of sort of stagnantness, stagnicity, stagnosity. I don't know exactly what I'm trying to say there, but it's going to remain stagnant for a period of time. What would Fergie say? Stag. Stagnicious. Stag licious. Yeah, this is a stag licious real estate investing environment. Also, David, I like where your head's at. You're thinking the right way, you're paying attention to what's going on in the market. I think you should listen to your gut on this one. Probably a good idea to move your equity. Remember, everybody, you can submit your question just like David here did@davidgreen24.com ask but if you submitted a question and you didn't get an answer, you have a question that's more confidential or you need a quick answer. You can also find me on the Minect app. M I N N E C T. You can find it on the App Store. It's made by valuetainment. You can reach me there or you can email help davidgreen24.com and Schedule A consultation. Also, can I just take a second to thank you for listening. I love you guys. Let me know in the comments on YouTube what your favorite part of the show is and what you'd like to see more of. Moving on to the next segment of the show, the comment section. This is where I read comments from YouTube, Instagram, other places. Cali Red Hood says if people spent the same time educating and working harder instead of complaining or blaming others for their problems, they could have a better and more stable life. That's pretty good. Where you spend your energy matters. We sort of talked earlier about how people have withdrawn, putting energy into their job or their business or their investing because they're scared. But they haven't put the energy into anything else. I mean, at least put it into the gym or your relationship or something. Don't just let your potential go to waste because you're afraid to do anything. I'm curious why you discourage turnkey property. Do you mention that on previous pods and again on this one? If they're cash flowing, what is wrong with them? Mahalo from Joe. Yeah, that's a good question. Why am I down on turnkey? Well, I don't know that they really cash flow. First off, they present like they will. But when I've talked to the turnkey investors that bought into the worst markets, which is always where these companies tend to operate. They didn't cash flow. They were told they would cash flow. You thought you cash flowed for three years. Then the air conditioner breaks, there's a roof leak, you have one tenant that leaves and you got to spend $6,000 to get the property ready for the next 13 years of cash flow completely gone. Now this is the same thing that happens with normal real estate investments. Cash flow is notoriously unreliable. It's very easy to lose it. But see, those capital expenditures and the losses that you actually experience are made up for by equity growth. It could be market appreciation, equity you invested in the right market. It could be natural equity. The Fed printed a bunch of money and made real estate worth more. It could be equity that you added to the property by forcing it. Or maybe, just maybe, you bought a really good deal the old fashioned way. What I call buying equity. And that made up for whatever you had to spend to fix up the property that the tenants broke or something fell apart. That doesn't happen when you buy turnkey. The person that makes the money in a turnkey transaction is the turnkey provider. If these were great deals, they'd be keeping them, not selling them. That's basically why I say this. This does not mean every single turnkey provider is bad. I will say I've been doing this for about 10 years and I haven't had a story yet of a person that was happy with their turnkey. And the few people that were would have been happier if they had bought the property themselves. From Daisy Espinoza when is a HELOC a good idea? I have my first property that I purchased as primary and then I converted to a rent rental when I moved. I would like to purchase my second property using a HELOC and buy a primary to house hack. What are some things to consider before taking this route? Is there a rule of thumb for how much equity it should have? Well Daisy, you picked the right episode to ask this question on because as I said earlier, I don't love this strategy folks. I'm just going to say it this way. If you need the money from a HELOC to buy your next property, you're probably not ready to buy your next property unless it's a flip. If you're trying to buy something that you can turn around and sell, I'm a little bit closer to being okay with you using a heloc. Now Daisy, you do mention buying a house hack. I'm assuming that if you do this, you can eliminate your housing expense or significantly reduce it. So if you can save $2,000 a month by house hacking off of rent, you're spending and your HELOC is going to be 1500. That might make sense. But if it's anything different, if the HELOC is more than the savings. I don't think you should do it. Just save money the old fashioned way. From CM Roenke David, I appreciate the time and effort that you put into your content. You and Rob were an amazing team on bp. I've seen a trend of many investors going back to brrrr. Is this the best exit strategy in your market? Certainly not my market in California it's very hard to do a brrrr. Why have we seen people going back to the brrrr? Well, I'm guessing it's because rates came down a little bit. See, BRRRR was never the problem. Long term buy and hold was the problem. It was very hard to make a long term buy and hold work when rates went up. Of course the BRRRR strategy get blamed. That's just ignorance. I don't take that stuff too seriously. But I did get a lot of shots fired at me as Sir Burr with people saying that the BRRRR method doesn't work, here's what I have to say. You buy a property at a good price, you increase its value. You've created equity. You've created wealth. Wealth if you can hold on to it for it. If you can't, sell it as a flip. If you think the market's going to continue to go up in the future, keep it as a burr. If you think the market is stagnant and not going to go up, sell it as a flip and reinvest the money. My new book, Better Than Cash Flow basically describes ways to analyze real estate just like this. To make these decisions really simple, I cover the 10 ways that you make money in real estate, not just the one way that everyone's been taught. You can preorder the book on Amazon or you can join my text letter to get notified when it comes out. All you gotta do is go to my Instagram and put the word text in a DM to me or on any of my posts text. Then follow the prompts in your DMs. All right. Moving on to the next segment, the Real News report. This is where I keep it real with all of y'all so you know what's going on in the world of real estate. Our first article Inflation has returned to normal. What does that mean for the election? From ABC News as the US Hurdles towards a presidential election this fall, the nation's inflation rate has quietly returned to normal, even as it continues to worry voters and draw focus on campaign events. More than half of adults list inflation as the top issue for the country, making it the highest Ranking concern by a wide margin over the likes of immigration, crime, and abortion. The disconnect stems in part from a typical lag between when inflation comes down and when consumers acclimate to new price levels, since a lower inflation rate does not mean prices have come down, but rather that they have begun to increase at a slower pace. So consider the fact that you started putting on a lot of weight. You were gaining five pounds every month, and you've gained 100 pounds. People think that inflation going down means you're losing weight, but you're not. What it means is you've still gained 100 pounds, but now you're only gaining 2 pounds every month. Month instead of 5. It's not actually the great news that everybody thinks it is, because prices rarely ever come down. Once you gain that weight, it doesn't go away. This may not be the perfect analogy, but the only way is you can add more muscle to offset all that weight that you put on. So in this example, if inflation is putting on weight, adding muscle would be earning more income. That is really your only option to catch up when you fall behind from inflation. And so few people are doing this. It concerns me. I want to see more people saying, dang, I put on £100. How am I going to fix this? I better get in the gym and start lifting those weights. But so many people are just paralyzed with fear right now. This is something I'm praying for the country, for my friends, for family, everybody, pretty much every day, that the spirit of fear would be broken off the people who believe, and they would dig down deep, find the talents and the skills that God gave them, and use those to put on some muscle. While consumer attitudes have brightened in recent months, many people remain frustrated with the cumulative leap in prices over recent years. The trend carries uncertain implications for the contest between Vice President Kamala Harris and former President Donald Trump. Since persistent concern about inflation could hurt Harris. But recent improvement in sentiment may blunt some of that negative impact. Inflation is really something that takes people a long time to feel better about. Yeah, I've been talking about inflation since COVID Even before that a little bit. I've been banging the gong about inflation. I've been worried about this a lot. I think a lot of the problem is that when they start printing the money, you don't have inflation right away. It takes several years before it comes. And it's hitting us right now, but it's hitting us because of decisions that we made in the past. It was very unwise for us to not be prepared for this. So what can you do to help fight inflation? Well, a couple easy things. You could buy some real estate because it does really well in high inflationary environment. You could keep your own spending down and you can consider getting a renewed effort and focus into making more money. If you're young, you don't need to pay for a $3,000 apartment to have your own space. Move in with somebody else and just don't be home that much. Get out there and work two jobs, especially if you're a young man. If you hate working, fix that. You're going to be spending a lot of your life working. There's nothing wrong with doing it. And if you've been going out to eat a lot, not cooking food, drowning yourself in retail therapy, find some activities like exercise or building authentic relationships that don't cost money but will still make you happy. Imagine if we had a movement of husbands and boyfriends that came back, romance their wives and girlfriends and spent a lot more time making them happy rather than spending a bunch of money on stuff that we got used to doing when everyone was rich. All right, next up from Newsweek, the housing market is expected to come roaring back after the election, according to real estate expert. The housing market is likely to come roaring back after the election, a real estate expert shared on Friday. But another expert told Newsweek the excitement may be premature. Ryan Sirhant, a real estate broker known on million dollar listings, said buyers and sellers should expect the housing market changes after the election. Inventory's up. Interest rates are at 20 month lows. People are waiting. They want to see if deals are going to come. No one wants to catch a falling knife, but also no one wants to jump into a speeding car. Are Sirhant told Fox Business Stuart Varney on Varney and company of today's current market. While the current market has frustrated Americans, Sirhan said he's optimistic about where it's headed in 2025. I think people are waiting to see what happens in November and that will take us into a roaring 2025 once mortgage rates reach 5 and 4%, Sir Hot predicted more liquidity in the market Elections often impact the housing market as an administration's new economic policies change a market's confidence level. Interest rates can also change as a result of those policies based on Federal Reserve decisions. Lower overall inflation levels could also inspire an improved housing market as more Americans become able to afford a house. Still, not all finance Experts agree that 2025 will be strong as Sirhan is anticipating, especially as interest rates linger at 6.65% for a 30 year mortgage. 2025 is poised to be a good year for the housing market, but I think it's premature to say it will be as strong as some are expecting, said Alex Bean, a financial literacy instructor for the University of Tennessee. While interest rates are starting to decline, they're still significantly higher than they were a few years ago, and that equates to higher monthly payments that will keep buyers from diving in. All right, let me weigh in on this thing. Here's what you can expect. You've got two options. Rates could go up or rates could go down. If rates go up, you will see the price of goods and services stop increasing as much as it was. But you will see unaffordability get worse in other areas like housing. If rates go down, you will see that housing starts to go back up. People can make money in real estate again and homes might even become more affordable in some ways, but everything else will become less affordable because inflation will take off again. There is no scenario here where you get the best of both worlds. You just got to pick your poison. So my advice is to be ready for either of those scenarios with a plan that you can execute. No matter what happens, happens. All right, moving on to our last article, China Pledges More Financial Support for White List Real Estate Projects China will expand its white list of real estate projects and speed up bank lending for these unfinished developments by the end of the year, the country's Housing Ministry said Thursday. Nihong, China's Minister of Housing and Urban Rural Development, made the announcement at a press conference alongside officials from the Central Bank. A total of 2.2 trillion yuan, which is over $500 billion, had already been approved in loans to whitelist the developers. That figure will almost double the 4 trillion yuan by the end of the 2024 year, according to a senior official from the Financial Regulatory Admin launch in January. China's whitelist initiative allows city governments to recommend residential projects to banks for speedier lending. The intent was to ensure the completion of unfinished housing projects so they could finally be delivered to buyers. So here's what's going on in China. They had a boom. They tried to build a lot more housing. The way that they set it up over there is you give the developer a lot of the money to build the property and then they build it and give it to you. However, the developers took the money and then stopped finishing the projects. So they have a lot of projects that were started housing over there that were never completed for the people that didn't pay their developer up front, the developers would run out of money. They couldn't keep raising it to fund their project. So they just abandoned these properties. And you have whole communities, projects, skyscrapers that are just sitting there, half built, not being finished. And this has been a black eye on China's government and real estate scene. So they're trying to come up with a plan for how they're going to fund it. Zhao stressed that banks should deploy funds as soon as possible, saying that they could release the loans in full to developers rather than in in bits and pieces. The briefing was the latest in a series of high level government policy announcements aimed at bolstering the economy. Okay, I don't know anything. I can't predict the future, but my head does look like a crystal ball. Here's what I think we could expect. I don't think China has the money to just give these people. I think what they're going to do is something similar to what they saw America do. They're going to create economic stimulus, issue bonds to themselves and use that money to fund these projects. What happened when we did that here, we got a lot of inflation. So if I'm correct with my prediction, that means China is also going to be experiencing inflation. Now, China's economy has been struggling. This is another reason that I think that they're likely to try to print money to fix things. The article says that some investors saw the recent flurry of activity as a sign that Beijing was finally ready to take drastic measures to stimulate growth and they had hoped for more stimulus measures. From the briefing, as Xiao was Speaking, the Chinese CSI 300 real estate index dropped over 5% in a sharp turnaround from gains of almost 9% in the previous three trading sessions. Volatility in the Chinese stock market is likely to continue as investors lack conviction that the stimulus package and what's been announced is going to turn things around. So could China end up in a similar situation to the US where they're printing money that debases their currency, makes their real estate worth more, but makes the overall cost of living go down because all the things you're spending money on go up, but the wages you're being paid from your employers don't keep up. The plot thickens. All right, if you like this kind of stuff, remember every week I go live on my YouTube channel and I talk about real estate news and how it could impact the economy or you as the investor. Just look up the David green show on YouTube and subscribe to the channel to get notified when I'm going Live. I also go on my Instagram and I tell everybody when I'm about to go live. So follow me at davidgreen24 over there. There. Next segment of our show, Quick Hitters. Tera Bird tells me, get a Tesla or an Ev. I don't know what I said that made her say that, but here's why I'm not going to do that. I would never remember to charge it. I can't remember anything. Actually, I can remember everything that happened when it's something that I care about. But what I was supposed to eat for lunch that day, what I told someone yesterday I was going to do, I never know. Fun fact, I never even know when I'm traveling. I keep a suitcase and a garment bag in the trunk of my car and I look at my calendar and when it tells me tomorrow you're flying somewhere, I just drive there. I have not packed for anything in over four years. From Professional Aesthetics, the best real estate show on YouTube and the net. Boom. Professional aesthetics. You can trust them because they're a professional. I think I'm the least aesthetic real estate influencer on the Internet. And so if someone who's professional at aesthetics likes the show, that tells you how good it really is. Thank you for that. That from Aragolski. Hey David, why are you so against turnkey investments? Well, guess what, we talked about that a little bit earlier. Just rewind a little bit and you can get that info from Kelly. Rachel, God is my therapist. Please pray for him. Seriously though, recently I've been trying to be better at yielding because I clearly don't know what I'm doing. Welcome to the club from Mad Duke. Are you still looking for loan officers? Yes, we are. The one brokerage is hiring loan officers. So if you are thinking about finding a better brokerage to hang your license at that, email us intakehebrokerage.com and let us know that you'd like to hang your license with the one brokerage we'll get you set up. All right folks, in the sneak peek section of the show, I've got some news to announce. Better than Cash Flow is very close to being released. We are finishing up the COVID art right now and we're going to be planning a book launch party at several locations across the country. If you want to come party, have a good time and celebrate the launch of this new book. If you want to get information on that, go to my Instagram and send the word text. You could get subscribed to my text letters. Behind the Shine of Seeing Green and keep an eye hi on my Instagram avidgreen24 because I'll be putting the information out there. Also, to wrap things up, we've got a Sneak Peek Part 2 Coast to Coast Getaways Performance Property Management My property management company right now only managing short term rentals is looking to take on some new properties. So if you're unhappy with the current management you have, you're tired of managing it yourself and you want some help or you'd like to see your property perform better, send us an email stravidgreen24.com Tell us about your property. We'll see if it's in an area that we could take it off on and we could be managing your property for you. All right everyone, we covered quite a few topics here including where equity should be moved, when equity should be moved, if a HELOC is the best option to buy new property, how to pay off existing HELOCs when live in flips make sense and what to do with your money when you're not buying anything. I want to take a minute to sincerely thank you for listening to today's show. I hope you laughed, I hope you thought, I hope you felt something and I hope you learned. I'm David Green, this is the David Green show and is part of the Real Talk Real Estate Network. Remember, you can go to davidgreen24.com Ask to submit your question to be featured on the show. Make sure you subscribed and leave us a review if you like the show. Thanks very much everyone. I will see you next week. Keep rocking Real Talkers thanks for listening to Real Talk Real Estate. If you would like to be featured on the podcast, I'd love to have you visit davidgreen24.com Ask and submit your question there. Also, please do me a huge favor and share the show with someone that you love that you think would benefit from his message and make sure you're subscribed to get notified for future episodes. If you want to reach out directly, you can also DM me on Instagram or social media and check out davidgreen24.com.