The Cancer that is Consumer Debt

Real estate is powerful!

That’s not a surprising statement coming from me, but I was reminded of this while I was sitting in continuing education this week.

I spent a couple of days this week investing in my own financial education. Most of the people in the room were financial planners, I can guarantee I was the only exclusive real estate guy there.  It was an excellent investment of my time and money and I met a lot of great people. But I was very much reminded that people that have discovered the power of real estate are leaps and bounds ahead of average Joe.

One of the big topics was paying off consumer debt because that is destroying people’s  financial future. I’m watching as they show how the impact of that debt is preventing the acquisition of wealth.  

Understand, I fully believe in using leverage and other debt for the right reasons.   But I absolutely agree that carrying consumer debt balances over the long haul can destroy you. One mistake on your part and you can see the $50,000, 0% card go to 29.9% overnight!

But if you’re in real estate you already have the answer to eliminate this debt. As I told Peter Pasternak when he interviewed me “If you’ve got a financial problem flip your way out!”

That’s right, go do a deal! Many people come to me saddled with debt because they’ve invested in themselves with their real estate training. So do a deal! That’s all it takes. Then manage the money smartly and pay the debt off.

You might take half the profit from the deal and pay down the debt and reinvest the rest.  Then repeat!  Use this method or a version of it, but please, kill off that cancer!

Once the debt is gone, you’re ready to move to the next level and truly build wealth!