source
gambling mentality everywhere, it has indeed made many to lose sense of financial understanding. Everything is now tied to ‘one day I will make it’ yet there is actually no proper ‘day one’. Personally, I always see wealth to be more heightened than being rich.
You could win over the lottery you know and flex muscles for a while. So in an oversight l, a gambler has the ticket of being rich but to be wealthy, NO. This doesn't mean that on another view, the rich cannot turn wealthy. In short, it is one of the needed phases to switch ground.
The difference between being rich and wealthy is a matter of understanding. It is just a thin line of financial intelligence. It is surprising only a few get to apply it. I still remember that view by a writer; ‘money is a currency’. You have to look at the word ‘current’ which indicates a flow. Adding to that, money itself is a means to an end.
Pile up some money in your bank account and you are rich, spend that money on assets that keep generating more money and you are wealthy. Anyway you could also be owning assets that only keep you rich. Ok, I was just an investment advisor to someone elderly. It was a privilege anyway when adding to the fact that I don't have papers for that.
source
A lot of people don't understand what leverage is and how it even works. So they keep holding on to something the old ways. Some investment tactics are so rigid and slow in growth too.
It was something I also discussed yesterday still on profitable and flexible investment. My analysis was able to break down how locked ROI generates much profit in even half the assumed years a rentage business would.
My views this time was on evaluation. Many don't understand how the real estate business works and in the process are left to scale manually. You will have to consider the amount of time already wasted in the process.
A good real estate entrepreneurs knows he can scale business through loans. It was an advice I gave him on how he evaluate his property and get a substantial loan from the bank to grow his real estate world.
How about that? I mean he has property assets worth in three digits millions. I had to explain to him how these estate builders are scaling. It is not directly money from their pocket. The right English here is leverage and they sure do know how to properly apply it. He was first of ALL surprised how I got such knowledge. I saw that in how he raised his eyebrows to such exposure.
source
He felt he had been missing out on a lot. His next suggestion was to work with a real estate valuer who could give him reasonable figures so he could in the process head to the bank for some negotiations. I don't know how soon he plans on working on that but I guess I have played my part. Anyway, I also had to let him know of the need to have a good strategy on ground.
There is risk involved and when you are not able to meet up, you will either have to sell your evaluated asset at a loss to clear the bank.
To conclude, let me add, In the world of investment, any pending opportunity is worth leveraged. As I earlier said, approach with caution; there is no free cheese. As for this particular investment, it is all about having a rooted plan and you are sure to flow along.
Robert Kiyosaki always saw wealth building as a game; more like solving a puzzle. Transforming riches to wealth will mean you will have to treat every opportunity better unless you may end up returning to your square. The wealthy don't gamble, or better put if so, it is a long run strategy. We all have to turn our rich times to sustainable wealth.
Posted Using INLEO