Discover this podcast and so much more

Podcasts are free to enjoy without a subscription. We also offer ebooks, audiobooks, and so much more for just $11.99/month.

5: Cash Flow is Starting to Disappear: Is It Even Worth Chasing?

5: Cash Flow is Starting to Disappear: Is It Even Worth Chasing?

FromOn The Market


5: Cash Flow is Starting to Disappear: Is It Even Worth Chasing?

FromOn The Market

ratings:
Length:
60 minutes
Released:
May 2, 2022
Format:
Podcast episode

Description

Cash flow vs. appreciation has been a fiercely fought debate between many real estate investors for decades. Cash flow investors love to tout the fact that consistent rental property profits allow you a life of freedom, while appreciation investors argue that cash flow doesn’t build wealth, it merely keeps you treading water. There’s arguably no better panel to ask about this topic than America’s best wholesaler, investor, and flipper trio—James Dainard, Jamil Damji, and Kathy Fettke. 
James, Jamil, and Kathy have a view on the appreciation vs. cash flow topic that most investors don’t possess. All three of these investors have bought, sold, and held real estate before, during, and after the great recession, meaning they aren’t subject to the 2020 and beyond “hot housing market” stigma many new investors fall into. They’ve seen what a good, bad, and ugly housing market can look like, and, unsurprisingly, they reach almost the same conclusion.
Maybe you’re a new investor, looking to buy in a high-appreciation area like South Beach or a cash-flow crazed, FI-chasing rookie who thinks the Midwest is where it’s at in terms of wealth-building. No matter where you stand on the subject, this episode will give you decades of investing context that should help you make far better returns in the long run. 
In This Episode We Cover
Rent growth, appreciation, and the surprisingly most unaffordable state in the US
Cash flow vs. appreciation and which strategy makes sense for which investor stage
How to force appreciation so you never have to rely on outside market conditions 
Why forecasting your market is far superior to trying to time it
Whether or not cash flow is too slow of a strategy to build real wealth 
What happens to appreciation if a housing market recession is on the horizon 
And So Much More!
Links from the Show
Join BiggerPockets for FREE
On The Market
Join the Future of Real Estate Investing with Fundrise
Cash Flow vs. Appreciation—What Experienced Investors Know About the Debate That You Don’t
What Is Forced Appreciation?
Why Cash Flow Beats Out Appreciation in Real Estate Any Day of the Week
Connect with Dave and Our Panel of Guests
Dave's BiggerPockets Profile
Dave's Instagram
Henry's BiggerPockets Profile
James' BiggerPockets Profile
Jamil's BiggerPockets Profile
Kathy's BiggerPockets Profile

Check the full show notes here: https://www.biggerpockets.com/blog/on-the-market-5
Released:
May 2, 2022
Format:
Podcast episode

Titles in the series (100)

The modern real estate investor doesn’t have time to research every headline and trend. That’s why BiggerPockets' Dave Meyer and his expert panel do it for you. Learn how to invest smarter in today’s economic environment.