Regarding real estate, the middle class is getting priced out permanently. 

Nationwide, there are only about 250,000 homes that are considered affordable.

Plus, the U.S. now has almost 500 cities where the average cost of a home is $1 million. 

This means “the great divide” is growing even wider. 

Because wealthy people are picking up second and third homes that produce income like most people pick up a pack of gum. And in some markets, 50% of sales are all CASH.

The average middle class person cannot compete.  

After the pandemic, the banks mostly require a 20% down payment. And they’ll double and triple check to see if your employment is stable. 

So without a high W2 income, it’s easy to fall short in the banks’ eyes. 

And it’s getting worse… 

When we were frolicking in the lowest-ever interest rate environment, the middle class was still getting priced out. Many were not able to take advantage. 

That’s why I’ve been pushing real estate as an asset so hard. 

Cash is trash and wealthy people know it. That’s why they’re focusing their investing strategy on real assets. 

According to property intelligence data company CoreLogic, investors bought 28% of homes sold in the first quarter of 2022. That was 11% more than in 2021.

Investors are doubling-down on real estate. 

Middle-class homebuyers are being forced to sit on the bench. 

But with your average buyers benched, it means a rare window of opportunity has opened for YOU to enter the market as an investor. 

I will only buy a piece of real estate if it produces cash flow for me. 

So whatever you have to do to make it happen, rent out a spare bedroom, buy a duplex and rent one side and live on the other side… just do it. 

Most people refuse to live just a little uncomfortably for a short time.  But if you can pull it off, then you’ll have a leg up over everyone else hovering in the middle class.  

Investing in real estate offers you a chance to ESCAPE. 

I believe we are entering the BEST real estate market opportunity since 2008. 

With the Fed raising interest rates, it has sidelined the average property buyer, which means prices are pulling back. 

Now is a great time to buy an investment property 15%-20% cheaper. 

Here’s what you can do… 

Look for properties bought in the last year by flippers looking to make a quick profit. It’s likely they entered the deal with an adjustable-rate mortgage, or they have an ultra-high interest rate from a hard money lender, instead of from a traditional bank. 

These guys are dying to sell. 

They are waking up with NO buyers to sell to and payments on their loan are skyrocketing. 

This is your time to pounce. 

Mobility is the most valuable ingredient of an entrepreneur – the ability to move to where the money is moving. So this is a great time to add real estate as a cash-flowing asset to your business portfolio.

Other than self-improvement and your health, real estate is the only place I’d invest your hard-earned money right now.

More people than ever need a home to RENT.

Renting is at a 50-year high – and 37% of Americans rent, according to the Pew Research Center.

I’ve seen this rise firsthand as the baby boomers grow older. They are becoming the biggest portion of renters in the country and millennials, along with immigrants, are being forced to follow. 

It’s possible homeownership could become a thing of the past, with only the wealthy 1% owning all the real estate in this country. 

The average price per square foot for a home in Singapore is $1,000. And most of the housing is owned by the government.

Think about it.

Be Great,

Grant Cardone

Disclaimer: This content is intended to be used for educational and informational purposes only. Before investing, you should always do your own analysis based on your own financial and personal circumstances before making any investment. Grant Cardone is an industry expert who has been investing for over 30 years and his opinion is based solely on his own personal experience and circumstances. Individual results may vary. You should perform your own due diligence and seek the advice from a professional to verify any information on our website or materials that you are relying upon if you choose to make an investment. Investment involves great risk and there is no guarantee of performance or results.

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