How to Use Debt to Get Rich in 2023 (What the Wealthy Do)

Invest in real estate with as little as $100 with Arrived:

Debt can make you rich. The wealthy have been using other people’s money since the beginning of civilization to build their empires, acquire assets, and make more income without using their own capital. But, in today’s high-consumer-debt world, most Americans are only accustomed to one type of debt—bad debt. So if you want to make moves like the wealthiest in the world, stick around to hear what Henry Washington says.

Only a few years back, Henry had no properties to his name. Now, he’s sitting on a portfolio of over one hundred rental properties as a financially free investor. But how did he do it when he had no money? With the right type of debt, Henry was able to build his real estate portfolio, start making passive income, and become his own boss. Now you can do the same.

Henry will walk through the five ways to use debt to build wealth, reach financial freedom, and grow a real estate portfolio.

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00:00 Get Rich Using Debt?
02:03 Debt is Your Friend
04:25 1. Make Your Money Go WAY Further
06:17 2. HUGE Tax Advantages
08:07 3. Higher Home Values
09:17 4. Truly Passive Income
11:33 5. Use Good Debt to Pay Off Bad Debt
13:01 Don't Be Afraid of Debt

[hillaryvasquez]

Great content, life changing! Reading is not just enough". Take action! Put your found knowledge to use. I read for a long time but action made my life change in no time (generally and mostly financially)

That's my two cents on this

[gorancyvr]

this all sounds nice and dandy in high risk high(er) cash flow areas. In my area of Vancouver BC, if you're not buying with 50-60% downpayment, you're barely breaking even once you pay all the expenses. I agree using leverage as a great way to gain wealth....as long as there is long term property appreciation.

[mikek]

I only use cash. I did however purchase my last property in 2016 with bank money, but got the interest down to 3%. I still feel bad about it. I have less risk tolerance when I am in debt and need to have the freedom to invest it product that you might loose money on. But hopefully will be able to pay off my loan in the next 3 years. That’s my goal.

[IndiratempestST]

Thanks so much for the info! I hear methods like #1 a lot and I’ve always had a question about it that no one has answered. That question is, how do you get around the “debt to income ratio” when qualifying for a loan. For instance I don’t have any debt besides credit card debt that I pay off every month and a mortgage on my first property. However, when I go to get a second loan, I never qualify for enough because of the “debt to income ratio”. If you are getting 5 properties at 80% loan each, how are you able to qualify? Thanks for the help!

[ish]

Hello I’m 17 and i just got started into this real estate game (wholesale). I’ve been watching the bigger podcast show and real estate rookie podcast for some time now but all the information I get i have no idea what to do with them. I believe i need to be in an environment of investors or people trying to achieve the same thing as me, my problem is my mentor isn’t really as serious as i thought he was, and I’ve been looking for a new mentor but at the moment I’m completely lost with everything right now

[alansawesomeketoworld]

We are thinking about buying a few condos near the end of the year. Trying figure out that strategy now

[CANTHEARPEW]

Can I use my current mortgage as a leverage to buy my first rental property?

[grownupgaming]

2:10 when you first got started, debt eventually became 2%

[davidstephens]

I'm only half way through this video but this used to work two years ago before interest rates moved up to 7-8%.

[djneckbrace]

I have a property that I owe 60k on. Its a 3 bdrm and was going to sell. Rent is 1000 in the area my mortgage is 468 with a 3.5% rate. What should I do? Sell for 130k or rent for 1000 to pay off the property and hold it for cash flow?

[obiecoby]

One of my properties is paid off and it feels like such wasted equity.

[vmrosales]

All my properties are leveraged. Will keep leveraging and I will admit that I wouldn't mind a few properties being paid off

[huseyinkarakas]

You guys always make it sound so simple like oh yeah buy a house, rehab it, rent it, refinance it and repeat. Well I have 4 Airbnbs that I grossed 240k last year and this year I'm projected to make 350k but I maxed out all my credit cards on my newest and best short term rental to date and not only did my credit score drop from 795 to 550 in a matter of 3 months, nobody is willing to give me my equity because my debt to income ratio is not enough since I wrote off so much on my taxes for the rehab I did smh.

[CheckThisOut]

liquid DnB music in the background nice!! lol

[DarrellEssexdoubleteam]

Team leverage all day. Brrrr. I’ll take my money back please and do it again lol

[venkarri]

Debt is only as good as the asset it's used to support.

[thehighway]

The minute this guy said you can't buy a $100k house this channel lost all credibility in my eyes.

[RichRevolution-icvw]

Thank you for sharing such valuable insights on how to use money wisely! Your comment is a shining beacon of financial wisdom. It's refreshing to see someone emphasizing the importance of responsible spending, saving, and investing. Your practical tips and advice are not only beneficial for individuals, but they also serve as a guiding light for cultivating a healthy financial mindset. Keep spreading your financial wisdom, and continue inspiring others to make smart financial choices. Your words have the power to empower and transform lives. Kudos to you!

[DrRice-ocvc]

Leverage Gang Gang!!! SRRRR better than BRRRR!!!!

[AKcam]

All this is crazy! lol jk. Excellent video man!