‘Quit Saving Your Money’: Grant Cardone’s Bold Take on Building Real Wealth
In a world where saving money has long been heralded as a cornerstone of financial wisdom, Grant Cardone, a titan in the realm of real estate investing, challenges this conventional belief. Cardone, known for his dynamic approach to wealth creation, asserts that merely saving money or relying on a full-time job will not lead to true financial freedom. Instead, he emphasizes the importance of investing as the key to building real wealth.
The Wealth-Building Mindset
Cardone’s philosophy is clear: "Quit saving your money." He argues that traditional methods of wealth accumulation—such as saving diligently or being overly frugal—are insufficient for achieving significant financial success. According to him, “That full-time job won’t bring you wealth. Saving, saving, saving won’t bring you wealth. Overspending won’t bring you wealth. Being scared won’t bring you wealth.”
The crux of Cardone’s message is that to build wealth that extends beyond mere financial stability, individuals must embrace investment opportunities. He believes that investing is the only way to create substantial wealth, allowing individuals to generate income streams that can lead to financial independence.
The Power of Real Estate Investment
Cardone’s expertise lies in real estate, a sector he believes offers unparalleled opportunities for wealth creation. He has built a real estate empire comprising nearly 8,000 cash-flow-producing units valued at over $4 billion. His success story serves as a testament to the potential of real estate investment, which he claims can provide consistent cash flow and appreciation over time.
In a recent video, Cardone highlighted that there are "asset classes out there where you can never lose your money," particularly emphasizing necessity-based real estate investments. These properties, which include healthcare facilities, grocery stores, and family housing, remain in demand regardless of economic conditions, making them a stable investment choice.
Four Ways to Start Investing in Real Estate
If you’re inspired by Cardone’s success and want to start building your own wealth through real estate, here are four accessible investment strategies:
1. Necessity-Based Real Estate Investing
Necessity-based real estate focuses on properties that fulfill essential needs. These investments tend to perform well even during economic downturns, as they cater to ongoing demands. For instance, grocery-anchored retail spaces or healthcare facilities are always in demand. By partnering with private equity firms like First National Realty Partners, you can invest in these types of properties without the hassle of managing them yourself.
2. Crowdfunding Platforms
Crowdfunding has revolutionized the way individuals can invest in real estate. Platforms allow everyday investors to pool their resources to purchase properties collectively. This means you can invest in a share of a rental property or even digital real estate without needing a large capital outlay. For example, platforms like Arrived enable non-accredited investors to buy shares in high-yielding rental units with a minimum investment of just $100.
3. Private eREITs
Real Estate Investment Trusts (REITs) provide a way to invest in real estate without the responsibilities of being a landlord. Publicly traded REITs own income-producing properties and distribute rental income to shareholders as dividends. However, private eREITs, such as those offered by Fundrise, allow investors to access exclusive real estate opportunities with lower minimum investments. These eREITs can include a mix of residential and commercial properties, providing diversification and consistent income potential.
4. Professional Guidance
Navigating the world of real estate investment can be daunting, especially for beginners. Seeking professional advice can help you make informed decisions. Platforms like WiserAdvisor connect you with vetted financial advisors who can guide you on your investment journey. By filling out a simple questionnaire about your financial goals, you can find advisors who are best suited to help you achieve your wealth-building objectives.
Conclusion
Grant Cardone’s assertion that "saving your money" is not the path to wealth may seem radical, but it challenges us to rethink our financial strategies. By focusing on investment, particularly in real estate, individuals can unlock the potential for significant wealth creation. Whether through necessity-based investments, crowdfunding, private eREITs, or professional guidance, the opportunities to build wealth are more accessible than ever.
As you consider your financial future, remember Cardone’s advice: invest wisely, and you may find yourself on the path to true financial freedom.