Wondering if You Should Start a Real Estate Investment Business?

why should you invest in real estate

You work hard for your money, but does your money work hard for you? When you store your cash under your mattress (or in a bank if you aren’t a weirdo), it will produce next to nothing. However, when you put money into an investment, your dollars go to work for you. 

Investing in rental real estate is drawing more interest than ever.  When you read or watch on TV about fix & flip investors, they’re often selling those homes to rental investors.  The successful rental home investor may have dozens of homes in their portfolio.  They are sharp investors, or they wouldn’t be raking in cash flow from that many homes.  You’ll want to be able to understand and discuss the “numbers” with them.  Let’s take a look at the benefits of rental property investing.

Depreciation

The depreciation deduction is a valuable component in our property analysis.  For people in high tax brackets with other investments, it may even allow reducing the profits from other investments.  Of course, contact an accountant about this.  However, when the costs plus depreciation actually are more than the profit number for taxes, you have leftover losses to use against other investment income.

Investors make money immediately.

Depending on the type of real estate investment and the method with which it is acquired (i.e., with or without financing), real estate investors may begin earning cash flow immediately. For example, when you purchase a turnkey real estate investment, the property is completely renovated with a quality tenant in place. You receive your first rent check at the end of the first month.

Property Taxes

You can deduct the property taxes for income tax purpose.  If your business owns real property, you must pay property tax on this property. In the same way, as individuals pay property tax on the assessed value of their homes, businesses pay property tax on the assessed value of their real estate (land and buildings). If real estate is sold, the tax for the year is distributed between the previous and new owners, based on how much of the year they owned the property.

Rental real estate is a forced retirement plan. Americans are terrible savers. We lack the self-discipline to put a monthly deposit into our IRA, SEP or 401k as small-business owners. However, buying a rental property is a significant commitment that you are required to commit to and maintain. You will always be grateful in the long-run when you don’t give up on it and build future cash flow and wealth.

1031 Tax Deferred Exchange

You can, under very strict rules, sell a property at a profit and roll the proceeds into another property without having to pay capital gains tax. Here’s what the Internal Revenue Code, Title 26, Section 1031 says: “No gain or loss shall be recognized on the exchange of property held for productive use in a trade or business or for investment if such property is exchanged solely for property of like kind which is to be held either for productive use in a trade or business or for investment.” Property of like kind simply means other real estate and does not require a land-for-land or office-for-office exchange.

The far majority of us will never get rich overnight. It takes long-term investing and a diverse portfolio to build true wealth. Don’t forget real estate as an important part of the equation.

Source: https://www.thebalancesmb.com/real-estate-investment-analysis-spreadsheets-3969957

Branding Your Business

Branding is one of the most important aspects of any business, large or small. An effective brand strategy gives you a major edge in an increasingly competitive market.

Your brand is your promise to your customer. It tells them what they can expect from your products and services, and it differentiates your offering from your competitors’. Your brand is derived from who you are, who you want to be and who people perceive you to be. Your brand strategy is how, what, where, when and to whom you plan on communicating and delivering on your brand messages.

Give Your Business a Personality

Your personal brand helps you stand out from the competition. It’s accomplished by giving your brand a personality. If you’re an energetic and exciting young web designer, your values might align more with an exciting new startup. If you happen to be more relaxed and can explain design easily, then maybe a local mom and pop shop whose owners have little experience with web design would be more interested in hiring you.

Have a Plan

Your game plan is going to include everything from your physical appearance, such as hair and clothing, how you communicate with others online and offline, what type of content you create, and what channels you’re going to market yourself.

Social Media Profiles

You also need to setup your social media profiles. Once again, you may not need to be on every platform because your audience isn’t there. But, chances are that you’re at least going to need a Facebook, Twitter, and LinkedIn profile.

Be true to your brand

Customers won’t return to you–or refer you to someone else–if you don’t deliver on your brand promise. Remember you are not the only one out there doing what you do.

Always be Consistent

If you can’t do this, your attempts at establishing a brand will fail. No matter what industry you’re involved in, always keep in mind that you always need to deliver quality on a consistent basis. Your brand’s reputation relies on you being a trustworthy and talented expert in your field. You want your name and personal brand to become synonymous with quality.

Sources: https://www.johnrampton.com/brand/,https://www.entrepreneur.com/article/77408

 

Popular Vegan Substitutes

Dairy

Alternative milks: Almond, soy, rice or hemp milk.

Buttery spread: Look for non-hydrogenated versions, like Earth Balance.

Dairy-free cheese: Daiya melts

Cream cheese: Tofutti cream cheese.

Sour cream: Tofutti.

Soy yogurt: Good for probiotics.

Protein

Tofurkey: If you can’t live without a “roast.”

Field Roast products: Grain-based faux meat products, not too processed and unusually tasty.

Tofu: Silken for smoothies and puddings; medium or firm for cooking.

Tempeh: Soybean-based meat substitute.

Seitan: Meat substitute made from wheat gluten; great texture, great protein.

Frozen vegetable burgers: Making your own is better, but these are convenient in a pinch.

Edamame: Fresh (frozen) soy beans are a great high-protein snack or side.

Beans: Dried and home-cooked are cheap and the healthiest

Condiments

Mayonnaise: Vegenaise tastes most like traditional mayo, Spectrum is a bit sweeter.

Bragg Liquid Aminos: Liquid protein concentrate, delicious soy-sauce taste.

Sriracha: Or other favorite hot sauces.

Harissa: Tunisian hot pepper paste makes anything taste good.

Tahini: Sesame paste can be used as a condiment or in preparing Middle Eastern recipes.

Kimchi: Great source of probiotics if you don’t like soy yogurt.

Sauerkraut: A surprising source of health benefits.

Source: https://www.mnn.com/food/healthy-eating/stories/vegan-grocery-list-top-50-staples-for-a-meat-free-diet

Prayer Life

I am sitting wondering what to post. All I can think of is to talk about the goodness of God and how prayer has changed my life. As a Christian, prayer is a powerful weapon. Whenever and wherever we can, we should pray. I have learned to not just pray in times of trouble, but to pray as often as I can. By praying daily, I am able to combat a lot of things in my life that could happen, but didn’t because of prayer. God protects us from things we don’t even see and probably will not ever know about. As a parent, I am teaching my child to do the same.

Prayer is my time to connect with God and just soak in his word. It’s a time to listen for his voice and allow him to guide my steps daily. Luke 22:42, teaches us “Not my Will but thy Will be done.” When I say those words on a daily basis, I am allowing God to take over my life. I believe he has and always will. His ways are always better than ours.

I have seen Prayer work in my life for my family, health, and finances. No matter the circumstance, God has always come through for me. I know in my heart he always will. I encourage you today to have a Prayer Life and hold steadfast to his promises.

RAISING AN ENTREPRENEURIAL KID

Not only is owning your own business increasing in popularity, but kids having their own business is also on the rise.  Teaching entrepreneurship to young kids is important. There’s a lot of opportunity for young people in the business world right now! We hear of teens and twenty-somethings all the time who started their first business in their teens – or even pre-teens – and are now very successful business owners. A lot of people say, “It’s never too late to follow your dreams,”   but now we can say, “It’s never too early!” How can we guide our children at a young age to become a successful entrepreneur?

1. Kids should be  taught about money management at an early age, they are much better equipped to take on the challenges of budgeting and finance as an adult. Educate your children about saving and investing and show them how money can be used to make more money.

2. To be successful as an entrepreneur, kids need to learn critical thinking skills. They need to learn how to think and turn their ideas into reality.

3. Kids should learn to take responsibility for their decisions and actions; whether wrong or right.  As the business progresses, they need to be able to communicate well and get along with people of whom they will have to work and interact with on a daily basis.

4. Goal setting and planning are an integral part to entrepreneurial success. These are positive habits that will come in handy when ingrained in your child’s psychic. The sooner your child learns how to plan, set realistic goals and follow laid down procedures to completion, the better.

5. The other skill – or quality – that all successful entrepreneurs have is perseverance. Entrepreneurship is often loaded with challenges, and if a business owner hopes to do well, he or she has to have a strong will and be able to keep on going, even when they don’t feel like it.

6. Insist that your child never gives up, but to always find a lesson in every adverse situation. This way they will not dread failure or wallowing in self-pity and defeat when things don’t work out. People who have achieved have also failed at something. Patience and persistence is key for success.

7. The most successful and happy people on earth give back to society. Why start a business if it doesn’t support a greater cause? Teach your kids the value of helping others. Life is not always about you, your needs and your comfort. Life is also about leaving the world a better place than you found it.

 

Concerns about Becoming a Vegan

Vegan diets, when planned properly, are healthy and can even lower the risk of certain diseases, according to the American Dietetic Association. They can be appropriate for individuals in all stages of life, including infancy, childhood, pregnancy and lactation. It is important to note, however, that there is a risk of being deficient in certain nutrients if the vegan diet is not carefully planned. People who adhere to strict vegan diets are at risk for less than adequate intakes of protein, omega-3 fatty acids, iron, calcium, zinc, iodine and vitamins D and B-12.

Because animal foods such as meat, dairy, eggs, fish and fowl are among the best sources of protein, vegans can sometimes lack sufficient protein in their diets. The American Dietetic Association, however, believes that protein requirements can be met if a variety of plant proteins are consumed, such as peas, beans, ect.

Though vegan diets can lack sufficient amounts of omega-3 due to the restriction of omega-3-rich foods, including eggs, fish and other seafood. The omega-3 fatty acids found in animal sources can also be found in  plant foods rich in omega-3, such as flaxseed. Vegans can purchase soy milk and breakfast bars fortified with DHA, as well as DHA supplements. Sources containing DHA are sufficient for vegan diets.

Vitamin D is important for bone health, and low levels have been linked to reduced bone mass. Sunlight exposure is best source of vitamin D. Many people vegan or not lack vitamin D.  People who do not get regular sun exposure need to consume dietary vitamin D through either fortified foods or supplements, since vitamin D occurs naturally in very few foods. Vegan sources of vitamin D that are often fortified include soy milk, rice milk and orange juice.

Lack of vitamin B-12 is one of the biggest concerns with vegan diets, especially because vegan diets do not have it. Severe B-12 deficiencies can result in both anemia and dementia, notes Harvard Medical School. So, if you’re a vegan, be sure to consume B-12 fortified foods such as soy and rice beverages and breakfast cereals, or supplements.

In conclusion, a vegan diet, is like every other diet. It needs to be carefully planned out. We are not free to just eat whatever we please and be healthy. Vegan diets are and can be a successful way to have good lasting health.

TOO MUCH EXERCISE??

Yes, You can over exercise. Exercise can actually become an addiction, especially when we don’t listen to our bodies telling us it’s just too much. What’s strange is once exercise is in your blood, in your regular routine, you simply feel ‘off’ when you skip it. I know how moody and irritable I become when I don’t get my daily sweat session, and that’s a good thing if it gives you motivation to keep up with a consistent and balanced routine. The problem occurs when you lose the ‘balance’ part of the equation and your workouts start consuming too much of your time, interfering with your daily life, and/or your body is not adequately recovering, and you simply don’t know how to take a break.

Here are signs you maybe over-extending your self when exercising.

Your Workout Leaves you Exhausted vs. Energized
If you finish your workout feeling like you need a nap, rather than revitalized and ready to conquer the next thing, you are likely pushing it too hard and need to assess and scale back those workouts.

You Are Irritable and Moody
If little things are setting you off, and you can’t figure out why your fuse is short or your moods are so funky, this could be a sign that your body is worn down and fatigued bodies/minds have trouble getting through even the smaller things.

You’re Sleeping Too Much or Can’t Sleep!
Are you restless and unable to sleep through the night no matter how tired you feel? Or, does it not matter how much sleep you get — you still feel tired? Both of these can be caused by over-training. When you exercise too much, your body can interpret it as a stressor, sending out stress hormones like cortisol that makes sleeping difficult.

You Get Sick Frequently or Can’t Seem To Recover
When you over-exercise you break your body and immune system down, so you are more susceptible to getting sick, or it takes you longer to recover.

Sore for Days at a Time
Rather than bouncing back from a tough workout, your body is constantly aching or sore — warning, you need to step back and allow it to repair itself.

You Feel Unmotivated and/or ‘Blue’
Workouts now seem like an obstacle you ‘have to do’ — you are unmotivated, unexcited and it’s starting to affect other areas of your life.

Sometimes you just need to cut back on days or time that you workout.

Vegan Delights

Ingredients

1 cup roasted coconut

1 cup pitted dates

1 tbs. olive oil

1 cup vegan chocolate

 

Directions:

  1. Pulse together dates, coconut and oil until a ball forms.
  2. Form cookies and use a straw to poke holes in the middle.
  3. Put the cookies on wax paper.
  4. Place in the freezer for 2hrs.
  5. Melt the chocolate after the 2hrs, and dip the cookies in it.
  6. Place on wax paper.
  7. Refrigerate for 30 minutes.
  8. Enjoy

Teaching

Today I was privileged enough to be able to teach a Bible Study. This was not my first time, but my first with people I don’t know very well. I have taught before family and friends. It was quite an experience to teach in front of people you do know as much.  I had an enlightening encounter. I was very nervous of course, but as Joyce Meyer would say, ‘Do it Afraid’ and I did. I prayed the previous day that God would allow me to get out everything that needs to be said. I feel like I did just that. I had a few more things I wanted to mention, but because of nerves, I stopped. I felt as if God had allowed me to get out what was necessary. My small group were very supportive and enjoyed my teaching. I feel so blessed and so happy to have been able to touch someone with the word of God. I had not had that feeling before, but God has blessed us with so much, we should share and give people hope. If he can do it for us, he can do it for them as well. I now look forward to teaching, which I will be doing in my own home with my husband starting next month. I pray that we touch everyone that comes through our door and God blesses them in abundance.