July 25, 2025 • 17 mins
I used real estate to buy 10X more Bitcoin than most crypto investors ever will—and I'm about to show you exactly how I did it. Most people think you have to choose: real estate OR Bitcoin. But what if I told you that's the biggest wealth-building mistake you could make? There's actually a way to use real estate as a Bitcoin accelerator that most investors have never even heard of. We're talking about the difference between buying Bitcoin with leftover income versus having an endless money machine that feeds your Bitcoin stack every single month. One path keeps you broke, the other builds generational wealth. I've flipped over 100 properties, built $20 million in real estate projects, and owned 200+ rental units. Today I have sold all my rentals for Bitcoin, but... I still own an 8-figure real estate portfolio, and here's why...
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Speaker 1 (00:00):
I used real estate to buy ten times more bitcoin
than most crypto investors ever will, and I'm about to
show you exactly how I did it. Now, most people
think you have to choose real estate or bitcoin. But
what if I told you that's the biggest wealth building
mistake that you could possibly make. There's actually a way
to use real estate as a bitcoin accelerator that most
(00:21):
investors have never even heard of. We're talking about the
difference between buying bitcoin with leftover income versus having an
endless money machine that feeds your bitcoin stack every single month.
One path keeps you broke, the other builds generational wealth.
Now I've flipped over one hundred properties, I've built over
twenty million dollars in real estate projects. I've owned over
(00:42):
two hundred rental units, and today I've sold all my
rentals for bitcoin. I'm a partner at a leading bitcoin
venture fund, and I'm all in. But I still own
an eight figure real estate portfolio. And here's why. All right,
the old raging debate bitcoin versus real estate, and it's
completely wrong. It's the wrong question to ask. That's why
(01:03):
ninety nine percent of people get it wrong. But now
you we're going to fix that for you right now. Okay,
so there's sort of a few different ways to look
at this now. I ran a poll on Twitter, not
a poll, but I just asked the question, what do
you think about bitcoin versus real estate and the debate?
What is misunderstood? I said, I'm going to make a
YouTube video. I want to break this down, and I
asked people to give me what they're number one point
(01:26):
that you think is crucial from me, either a bitcoin
perspective or a real estate perspective. And I grabbed all
of these comments. I think we had, I don't know,
over one hundred comments. I threw it all into chat
GBT and we kind of summarized it and I kind
of broke it down into three different types of people here, Okay,
Number one, we sort of have like the hardcore bitcoiner.
The hardcore bitcoiner basically says that it all has to
(01:49):
do with easy financing and leverage every bitcoin versus real
estate debate obviously, and acts as if they're purchased in
the same way with cash. That's actually pretty insightful because
they're not purchased this. That's interesting. We're going to break
that down. I saw here, it's simple. You can't live
in your bitcoin. That's the bitcoin of perspective. That's the
most common response I get, with the second being that
(02:10):
with bitcoin there is no yield. So real estate has
cashel bitcoin has no yield, both of which you already know.
So I'm sure you'll be offering solutions. Cheers. Of course,
we're going to break that down. Don't worry. We have
another response here. This one was a little bit longer.
I'm not going to read the whole thing to you,
but it says he's basically talking about what should I do.
I'm thinking about refining my real estate. Maybe I could
(02:31):
buy more bitcoin. Maybe what I should do is I
should sell calls or puts on the bitcoin ETFs. Then
it could be a happy medium. And so he's overwhelming himself.
It's an analysis paralysis. So we sort of have the bitcoin approach.
We have the people that don't understand there's leverage being played,
and then we have people who just get so caught
up and analysis paralysis. So let's end all of that
(02:52):
for good. Let's break this down. So the first thing is,
like I said, asking which is better bitcoin or real
estate is the wrong question to ask, and it's really
false choices. Okay, if you're asking that question, you completely
missed the point. What I say, spoiler alert, is what
if buying both I could end up with more of both?
(03:13):
What if by buying both at the same time, I
could end up with ten times more bitcoin? Okay, let's
break that down. So the first thing, like I said,
the camp number one is these bitcoin maximalists, real estate's dead.
Bitcoin's the only asset you should be buying. Okay, real
estate maximalists, you can't live in the bitcoin there's no
cash flow. Okay. And then the Camp three, the confused
(03:34):
people in the middle. But what if there's a fourth group?
All right? So real quickly my story A lot of
you have heard it. In two thousand and eight, I
had the wake up. Right before two thousand and eight,
I was twenty eight years old. I had built up
two different businesses. I had two big high value exits.
I basically put everything into real estate, so sold my businesses.
I thought I was set for life. I had a
(03:56):
portfolio worth multi multiple multimillions. I was good. I had
it all figured out. But when two thousand and eight came,
I got wiped out. I found out that the market
collapse overnight, and I went from feeling really rich because
I had a lot of net worth on paper to
feeling broke right away. I had millions of dollars in
mortgages that I couldn't afford, and I was trapped and
(04:18):
I had no way out because I sold my businesses.
All Right, The lesson that changed everything for me, and
I'm gonna teach you right now, is that the crash
taught me the most valuable lesson of my investing career
is to put all your If you want to put
all yourggs in one basket, make sure that you have
a way out, make sure that's properly risk mitigated. And
I'm gonna break that down for you. But let's go
(04:39):
back to the lesson. Okay, first of all, the wrong math.
So most people think, well, bitcoin's certainly better than real
estate because scenario one. If I put one hundred thousand
dollars into bitcoin and it goes up by let's say
twenty five percent a year for the next ten years,
then I'm gonna have about nine hundred and thirty thousand
dollars a bitcoin. But if I put the same one
(05:00):
hundred thousand dollars into real estate and real estate goes up,
I only let's say five percent a year, plus I
reinvest some of the cash flow that comes in. I
only have about two hundred grand, So obviously the nine
hundred grand is more than the two hundred grand, right,
how many people think that way? The problem is you're
missing a lot of the benefits of real estate. So
(05:20):
let's go to the next scenario, which is still not right,
but some people think it's better to think about like this.
So what if I didn't put one hundred thousand in
real estate instead, I only put twenty thousand down then
on a one hundred thousand dollars property. Now the property
grows again the same five percent over ten years, and
the property is worth now one hundred and sixty two
(05:43):
thousand dollars, which means I had a profit of sixty
two thousand. However, and I have twenty four thousand dollars
of cash flow coming in let's say two hundred bucks
a month. So I made eighty eight thousand dollars from
that deal. Now that's not on the one hundred thousand
dollars pit, it's only on the twenty thousand that I
had put in. The twenty percent down. Now, the ROI.
(06:06):
The return on my investment of the twenty thousand is
four hundred and thirty five percent. Now we're getting a
lot better. We're getting a little bit closer to bitcoin. Okay,
But now what if we start combining these Okay, So
now we didn't pay cash for the real estate. We
only put twenty thousand down. The eighty thousand that we
didn't deploy, then we put that into bitcoin. So now
(06:26):
we put eighty thousand into bitcoin that's going to continue
to grow at the twenty five percent rate for the
next ten years that we're talking about. Now, it's been
going up about fifty five percent for the last five years,
so let's just say over ten years it goes down
to about twenty five percent. Now the investment period ten years,
the growth multiplier is nine point three times, and my
final value of the bitcoin is seven hundred and forty
(06:47):
five thousand dollars. That is a bitcoin ROI have eight
hundred and thirty one percent. So the real estate went
up four hundred and thirty five percent, but the bitcoin
went up eight hundred and thirty one percent. Did better.
But what happens if we combine them together. So now
on the real estate, I got eighty seven thousand. On
the bitcoin I got seven hundred and forty five a
(07:08):
total of eight hundred and thirty two thousand. Okay, we're
getting better, but we're still not there. Let me show
you a much better way to think about this, and
this is where most people completely miss it. There is
a hidden multiplier. The hidden multiplier. Most people have no
idea about what I'm gonna break it down for you
right now. Okay, without real estate. Let's say I have
an annual income of five hundred thousand dollars. Now I
(07:31):
don't know. You live in New York, you live in California,
you live in Norway, you live in a high tax area. Okay,
with five hundred thousand, this is back in an African math.
Let's say you have a fifty percent taxree because you're
at the top of the income brex. Okay, so fifty
percent goes to taxes. That means you're going to pay
two hundred and fifty grand, or your after tax income
is two hundred fifty thousand dollars. I made five hundred grand,
(07:53):
half one to taxes. I have two hundred fifty thousand
left to buy bitcoin with. So I about ten hund
fifty thousand dollars a bitcoin. Now another scenario with real estate.
Let's say that I still make the five hundred thousand. However,
what I do now is I buy a five hundred
thousand dollars a piece of property, which gives me about
four hundred and fifty thousand dollars of write off back.
(08:16):
Now I have about a ten percent effective tax rate,
which means I'm only paying taxes of fifty thousand. Or
that means that I have an after tax income of
about four hundred and fifty thousand dollars. Now how do
we do that? Well, real estate has a lot of
advantages that most people do understand. Like Number one, obviously
the leverage. I can control a five hundred thousand dollars
(08:36):
asset for ten percent down, twenty percent down, something like that.
Number two, someone else can pay off the property for me,
and I can still get cash flow. Number three because
I can get long term debt. Inflation destroys that debt
for me. But more importantly we're talking about here, Number
four is tax depreciation. Now, thanks to Trump's new beautiful
(08:56):
big bill, he's reinstating what's called bone this depreciation, so
I can do a cost segregation on the piece of
real estate, and I can bring all the depreciation forward
in year one and I can write that off against
my income. Now, even if you're earned income like a
W two for example, there's exclusions for STRs and things
like that. We can figure that out. Now, this is
(09:18):
only writing off the cost of the building, not the land.
So of course you want to buy it into an
area like San Antonio, Texas, or like you know, somewhere
in the middle of America in Missouri where the value
is in the building. But let's say that we have
something like this. So now I have available for bitcoin
four hundred and fifty thousand instead of twenty five thousand.
(09:38):
So now if I buy the real estate first, I
have more after tax income. I have eighty percent more
money available for bitcoin before cash flow. So it's not
about which one is better, it's how do I get
one to get me more of the other. And in
this case, we got eighty percent more bitcoin. But it
doesn't stop there. Okay, Now on top of it, I've
(10:01):
got more money, I've got more bitcoin, and I have
the piece of real estate. So now let's think about this. Okay,
twenty five percent annual Bitcoin growth projected out right here.
I have the tax savings advantage, so I get an
extra two hunder grand into bitcoin that's growing at twenty
five percent in ten years. That becomes one point nine
million dollars. Then on top of it, I have monthly
(10:23):
cash flow coming in from the piece of property that
someone's paying off for me. So let's say that's five
hundred dollars a month fo one hundred and twenty months.
That's another one hundred and fifty thousand dollars that I
can dollar cost average into bitcoin over the time. And
so now I have total bitcoin acceleration. I have the
tax savings that I'm able to put into bitcoin, plus
I have the cash flow from the building I'm able
to put into bitcoin, and over a ten year period,
(10:45):
I could have over two million dollars. That's how you
ten extra bitcoin by using it with real estate in
the same strategy. Okay, now this sounds really good, right,
this is back and aftermath. This works, but of course
there's details. But the one thing I want to talk
about right now is the dangers. Avoid the trap. I
(11:06):
talked about my own trap in two thousand and eight,
so we want to watch out for a couple of things. Okay,
the first thing is going back and seeing what did
I get wrong? What did I get wrong back in
two thousand and eight. Well, the first thing, as I said,
is I went one hundred percent real estate. I had
no diversification. I sold my businesses and I was all
in on real estate. Then I was over leveraged. I
had used a lot of leverage, and when the market dropped,
(11:28):
I owed more than the properties were worth. On top
of that, I had no cash flow. I was only
relying on appreciation only in California. The properties I owned,
the values were so high I couldn't rent them out
to cover the payments. In hindsight, it seems pretty stupid,
and I had no exit plan. That's why when the
market crashed, I went from being rich to being broke
(11:49):
with millions of dollars in mortgage I couldn't afford all. Right,
But today here's what I do now. Instead, I have
multiple assets. Right, we're talking about two right here. So
now I have real estate and bitcoin, and I have
my businesses. I'm not selling my businesses like I did before.
Then I use conservative leverage. Whatever that is for you,
Maybe it's sixty percent LTV seventy percent LTV. I make
(12:10):
cash flow a priority. So any property that I'm going
to buy, I'm going to make sure the rents can
cover the mortgage plus some so I can have my
dollar cost average strategy. And then I have an extra strategy.
I can always plan the leverage because I have multiple
assets because I bought the real estate and I bought
the bitcoin. So even if the property values came down,
even if the rents didn't cover for some reason, if
(12:33):
a rent removed out or something like that, I have
the bitcoin. I can sell some of the bitcoin. I
could borrow against some of the bitcoin to cover that
asset while I need it all. Right now, whatever the
conservative LTV is for you, you think about that. But cash
flow first is always going to be the big piece.
The diversification is going to be big, not like Ray
Dalio talks about it. But I have bitcoin, I have
my real estate, and I have my businesses. Okay, now
(12:56):
there's three phases for you to do the same thing.
Here's what you're going to do. The first phase is
you're going to build the foundation. This is going to
take you the first couple of months, maybe for the
first six months, you're going to work on this. Number one,
you need to start building some cash flow. You should
have some income because this works if you can write
that off. Write the income off, so you have some
income coming in whatever you're planning to put it towards taxes.
(13:18):
Maybe you could start to sort of put that away
in a savings account. Number two, Identify how much you
could potentially save if I buy this property in Texas
or this property in Kansas or Missouri. How much will
it cost if I cost our gate, how much can
I write off? Now you're starting to make a plan.
Number three, I need to find the property market. Remember again,
you only write off the home. So like a beachfront
(13:39):
home in California, most of the land, the values in
the land, it's not going to work real well for you.
So I want to buy something where most of the
values in the property. So in phase one, get the cash,
identify my savings, and find the property markets. Phase number
two implementation This is months six to eighteen. Now I
got to get the property. I got to acquire the
piece of real estate. I need to deploy the So
(14:01):
I'm buying the piece of property the money that now
I'm being able to write off on my taxes instead
of sending to the government, I can deploy that into
bitcoin instead. Then, on top of it, as that rental
property is bringing cash flowner every month, that is now
dollar cost averaging into bitcoin. Phase three. This is the
fun part. This is the scaling part. This probably happens
in eighteen months or two years down the road. What
(14:23):
we do. We can refinance the property. We can pull
some cash back out of the property. What do we
do with that, Well, we can take that equity which
is debt, is non taxable, and we can buy more
real estate. When I buy more real estate, I write
off more of my earned income, which means I have
even more money back that I didn't send to the government,
and I can buy even more bitcoin. And now I
(14:44):
have two rental properties dollar cost averaging into bitcoin for
me at the same time, and this becomes a flywheel.
Each phase builds more momentum. Of course, you start with
one property, you get it going, and then you roll
to the next, and the next, the next. Okay, now
here's some common objections. I can already hear them coming in.
(15:04):
Go ahead and drop them the comments down below. I'll
read them. Try to reply to as many as I can.
Objection number one again, you can't live in bitcoin, of
course not. But you can leverage bitcoin to buy things
that you want, like a place to live, right. Object
number two. Bitcoin has no cash flow, true, but we
can harvest cash flow through it by leveraging it with debt.
I've talked about this extensively. I'll put a video a
(15:26):
link to a video down here. I call the five
year retirement with bitcoin. So we can get cash flow
from bitcoin. But again gold doesn't have that either. That's
why we use real estate and bitcoin together. It's a
rate pairing, of course. Objection number three it's too complicated. Yeah,
it's complicated if you try to do it all at once,
which is why I've broken it down in three phases
(15:47):
so you can sort of grow into it all right Now.
The master key here is combining both of these together,
all right. What we're doing is not about either or
it's about using both together, getting one dollar to do
multiple jobs. So we want to use real estate. It's
the foundation and it's the cash flow. It gives us
(16:08):
the leverage that we need through loans. I gave you
all those benefits, right, so I get the leverage. I
get the inflation, destroy debt. I get the cash flow
from it, I get the tax efficiency, that's the big one.
Then I put that money to get more bitcoin. Because
bitcoin is going up so fast, it's appreciating way more
than real estate is. I have exponential returns. I get
(16:30):
massive liquidity from the bitcoin, and then I can put
that back into real estate to write off more income.
I take the income that I keep from taxes and
I buy more bitcoin and it becomes a big cycle.
Now in this together, the sum is greater than the parts.
Real estate on its own Bitcoin zone, well, bitcoin on
zone is great. Just do that, but if you combine
(16:51):
them together, they become even more powerful. That's how I
was able to ten x my bitcoin by combining them.
All right, the challenge for you is to get this deployed.
So what are you gonna do? Stop thinking like everybody else.
Life is not linear. It's not black or white. It's
not one or the other. It's both. It's not real
estate or bitcoint it's how do I use them both together?
Because remember, the wealthy don't work harder than you, They
(17:15):
just use money differently. I like to say, the reason
why you have to work so hard is because your
money doesn't. So what you want is your money doing
more than one job. It should be doing two jobs,
three jobs, five jobs. If you'd like, I have a
Wealth Engine assessment. It can show you how many jobs
your money is doing and how you can get it
doing more than one job as quickly as possible. It's
(17:35):
a free assessment. I'll link to it down below if
you want to go through that. It's just you can
start to plan out what your next steps are. If
you want to get ahead all right, and if you
want to learn more about investing in layers and how
this works, you should probably watch this video right here,
and I hope to see over there
I used real estate to buy ten times more bitcoin
than most crypto investors ever will, and I'm about to
show you exactly how I did it. Now, most people
think you have to choose real estate or bitcoin. But
what if I told you that's the biggest wealth building
mistake that you could possibly make. There's actually a way
to use real estate as a bitcoin accelerator that most
(00:21):
investors have never even heard of. We're talking about the
difference between buying bitcoin with leftover income versus having an
endless money machine that feeds your bitcoin stack every single month.
One path keeps you broke, the other builds generational wealth.
Now I've flipped over one hundred properties, I've built over
twenty million dollars in real estate projects. I've owned over
(00:42):
two hundred rental units, and today I've sold all my
rentals for bitcoin. I'm a partner at a leading bitcoin
venture fund, and I'm all in. But I still own
an eight figure real estate portfolio. And here's why. All right,
the old raging debate bitcoin versus real estate, and it's
completely wrong. It's the wrong question to ask. That's why
(01:03):
ninety nine percent of people get it wrong. But now
you we're going to fix that for you right now. Okay,
so there's sort of a few different ways to look
at this now. I ran a poll on Twitter, not
a poll, but I just asked the question, what do
you think about bitcoin versus real estate and the debate?
What is misunderstood? I said, I'm going to make a
YouTube video. I want to break this down, and I
asked people to give me what they're number one point
(01:26):
that you think is crucial from me, either a bitcoin
perspective or a real estate perspective. And I grabbed all
of these comments. I think we had, I don't know,
over one hundred comments. I threw it all into chat
GBT and we kind of summarized it and I kind
of broke it down into three different types of people here, Okay,
Number one, we sort of have like the hardcore bitcoiner.
The hardcore bitcoiner basically says that it all has to
(01:49):
do with easy financing and leverage every bitcoin versus real
estate debate obviously, and acts as if they're purchased in
the same way with cash. That's actually pretty insightful because
they're not purchased this. That's interesting. We're going to break
that down. I saw here, it's simple. You can't live
in your bitcoin. That's the bitcoin of perspective. That's the
most common response I get, with the second being that
(02:10):
with bitcoin there is no yield. So real estate has
cashel bitcoin has no yield, both of which you already know.
So I'm sure you'll be offering solutions. Cheers. Of course,
we're going to break that down. Don't worry. We have
another response here. This one was a little bit longer.
I'm not going to read the whole thing to you,
but it says he's basically talking about what should I do.
I'm thinking about refining my real estate. Maybe I could
(02:31):
buy more bitcoin. Maybe what I should do is I
should sell calls or puts on the bitcoin ETFs. Then
it could be a happy medium. And so he's overwhelming himself.
It's an analysis paralysis. So we sort of have the bitcoin approach.
We have the people that don't understand there's leverage being played,
and then we have people who just get so caught
up and analysis paralysis. So let's end all of that
(02:52):
for good. Let's break this down. So the first thing is,
like I said, asking which is better bitcoin or real
estate is the wrong question to ask, and it's really
false choices. Okay, if you're asking that question, you completely
missed the point. What I say, spoiler alert, is what
if buying both I could end up with more of both?
(03:13):
What if by buying both at the same time, I
could end up with ten times more bitcoin? Okay, let's
break that down. So the first thing, like I said,
the camp number one is these bitcoin maximalists, real estate's dead.
Bitcoin's the only asset you should be buying. Okay, real
estate maximalists, you can't live in the bitcoin there's no
cash flow. Okay. And then the Camp three, the confused
(03:34):
people in the middle. But what if there's a fourth group?
All right? So real quickly my story A lot of
you have heard it. In two thousand and eight, I
had the wake up. Right before two thousand and eight,
I was twenty eight years old. I had built up
two different businesses. I had two big high value exits.
I basically put everything into real estate, so sold my businesses.
I thought I was set for life. I had a
(03:56):
portfolio worth multi multiple multimillions. I was good. I had
it all figured out. But when two thousand and eight came,
I got wiped out. I found out that the market
collapse overnight, and I went from feeling really rich because
I had a lot of net worth on paper to
feeling broke right away. I had millions of dollars in
mortgages that I couldn't afford, and I was trapped and
(04:18):
I had no way out because I sold my businesses.
All Right, The lesson that changed everything for me, and
I'm gonna teach you right now, is that the crash
taught me the most valuable lesson of my investing career
is to put all your If you want to put
all yourggs in one basket, make sure that you have
a way out, make sure that's properly risk mitigated. And
I'm gonna break that down for you. But let's go
(04:39):
back to the lesson. Okay, first of all, the wrong math.
So most people think, well, bitcoin's certainly better than real
estate because scenario one. If I put one hundred thousand
dollars into bitcoin and it goes up by let's say
twenty five percent a year for the next ten years,
then I'm gonna have about nine hundred and thirty thousand
dollars a bitcoin. But if I put the same one
(05:00):
hundred thousand dollars into real estate and real estate goes up,
I only let's say five percent a year, plus I
reinvest some of the cash flow that comes in. I
only have about two hundred grand, So obviously the nine
hundred grand is more than the two hundred grand, right,
how many people think that way? The problem is you're
missing a lot of the benefits of real estate. So
(05:20):
let's go to the next scenario, which is still not right,
but some people think it's better to think about like this.
So what if I didn't put one hundred thousand in
real estate instead, I only put twenty thousand down then
on a one hundred thousand dollars property. Now the property
grows again the same five percent over ten years, and
the property is worth now one hundred and sixty two
(05:43):
thousand dollars, which means I had a profit of sixty
two thousand. However, and I have twenty four thousand dollars
of cash flow coming in let's say two hundred bucks
a month. So I made eighty eight thousand dollars from
that deal. Now that's not on the one hundred thousand
dollars pit, it's only on the twenty thousand that I
had put in. The twenty percent down. Now, the ROI.
(06:06):
The return on my investment of the twenty thousand is
four hundred and thirty five percent. Now we're getting a
lot better. We're getting a little bit closer to bitcoin. Okay,
But now what if we start combining these Okay, So
now we didn't pay cash for the real estate. We
only put twenty thousand down. The eighty thousand that we
didn't deploy, then we put that into bitcoin. So now
(06:26):
we put eighty thousand into bitcoin that's going to continue
to grow at the twenty five percent rate for the
next ten years that we're talking about. Now, it's been
going up about fifty five percent for the last five years,
so let's just say over ten years it goes down
to about twenty five percent. Now the investment period ten years,
the growth multiplier is nine point three times, and my
final value of the bitcoin is seven hundred and forty
(06:47):
five thousand dollars. That is a bitcoin ROI have eight
hundred and thirty one percent. So the real estate went
up four hundred and thirty five percent, but the bitcoin
went up eight hundred and thirty one percent. Did better.
But what happens if we combine them together. So now
on the real estate, I got eighty seven thousand. On
the bitcoin I got seven hundred and forty five a
(07:08):
total of eight hundred and thirty two thousand. Okay, we're
getting better, but we're still not there. Let me show
you a much better way to think about this, and
this is where most people completely miss it. There is
a hidden multiplier. The hidden multiplier. Most people have no
idea about what I'm gonna break it down for you
right now. Okay, without real estate. Let's say I have
an annual income of five hundred thousand dollars. Now I
(07:31):
don't know. You live in New York, you live in California,
you live in Norway, you live in a high tax area. Okay,
with five hundred thousand, this is back in an African math.
Let's say you have a fifty percent taxree because you're
at the top of the income brex. Okay, so fifty
percent goes to taxes. That means you're going to pay
two hundred and fifty grand, or your after tax income
is two hundred fifty thousand dollars. I made five hundred grand,
(07:53):
half one to taxes. I have two hundred fifty thousand
left to buy bitcoin with. So I about ten hund
fifty thousand dollars a bitcoin. Now another scenario with real estate.
Let's say that I still make the five hundred thousand. However,
what I do now is I buy a five hundred
thousand dollars a piece of property, which gives me about
four hundred and fifty thousand dollars of write off back.
(08:16):
Now I have about a ten percent effective tax rate,
which means I'm only paying taxes of fifty thousand. Or
that means that I have an after tax income of
about four hundred and fifty thousand dollars. Now how do
we do that? Well, real estate has a lot of
advantages that most people do understand. Like Number one, obviously
the leverage. I can control a five hundred thousand dollars
(08:36):
asset for ten percent down, twenty percent down, something like that.
Number two, someone else can pay off the property for me,
and I can still get cash flow. Number three because
I can get long term debt. Inflation destroys that debt
for me. But more importantly we're talking about here, Number
four is tax depreciation. Now, thanks to Trump's new beautiful
(08:56):
big bill, he's reinstating what's called bone this depreciation, so
I can do a cost segregation on the piece of
real estate, and I can bring all the depreciation forward
in year one and I can write that off against
my income. Now, even if you're earned income like a
W two for example, there's exclusions for STRs and things
like that. We can figure that out. Now, this is
(09:18):
only writing off the cost of the building, not the land.
So of course you want to buy it into an
area like San Antonio, Texas, or like you know, somewhere
in the middle of America in Missouri where the value
is in the building. But let's say that we have
something like this. So now I have available for bitcoin
four hundred and fifty thousand instead of twenty five thousand.
(09:38):
So now if I buy the real estate first, I
have more after tax income. I have eighty percent more
money available for bitcoin before cash flow. So it's not
about which one is better, it's how do I get
one to get me more of the other. And in
this case, we got eighty percent more bitcoin. But it
doesn't stop there. Okay, Now on top of it, I've
(10:01):
got more money, I've got more bitcoin, and I have
the piece of real estate. So now let's think about this. Okay,
twenty five percent annual Bitcoin growth projected out right here.
I have the tax savings advantage, so I get an
extra two hunder grand into bitcoin that's growing at twenty
five percent in ten years. That becomes one point nine
million dollars. Then on top of it, I have monthly
(10:23):
cash flow coming in from the piece of property that
someone's paying off for me. So let's say that's five
hundred dollars a month fo one hundred and twenty months.
That's another one hundred and fifty thousand dollars that I
can dollar cost average into bitcoin over the time. And
so now I have total bitcoin acceleration. I have the
tax savings that I'm able to put into bitcoin, plus
I have the cash flow from the building I'm able
to put into bitcoin, and over a ten year period,
(10:45):
I could have over two million dollars. That's how you
ten extra bitcoin by using it with real estate in
the same strategy. Okay, now this sounds really good, right,
this is back and aftermath. This works, but of course
there's details. But the one thing I want to talk
about right now is the dangers. Avoid the trap. I
(11:06):
talked about my own trap in two thousand and eight,
so we want to watch out for a couple of things. Okay,
the first thing is going back and seeing what did
I get wrong? What did I get wrong back in
two thousand and eight. Well, the first thing, as I said,
is I went one hundred percent real estate. I had
no diversification. I sold my businesses and I was all
in on real estate. Then I was over leveraged. I
had used a lot of leverage, and when the market dropped,
(11:28):
I owed more than the properties were worth. On top
of that, I had no cash flow. I was only
relying on appreciation only in California. The properties I owned,
the values were so high I couldn't rent them out
to cover the payments. In hindsight, it seems pretty stupid,
and I had no exit plan. That's why when the
market crashed, I went from being rich to being broke
(11:49):
with millions of dollars in mortgage I couldn't afford all. Right,
But today here's what I do now. Instead, I have
multiple assets. Right, we're talking about two right here. So
now I have real estate and bitcoin, and I have
my businesses. I'm not selling my businesses like I did before.
Then I use conservative leverage. Whatever that is for you,
Maybe it's sixty percent LTV seventy percent LTV. I make
(12:10):
cash flow a priority. So any property that I'm going
to buy, I'm going to make sure the rents can
cover the mortgage plus some so I can have my
dollar cost average strategy. And then I have an extra strategy.
I can always plan the leverage because I have multiple
assets because I bought the real estate and I bought
the bitcoin. So even if the property values came down,
even if the rents didn't cover for some reason, if
(12:33):
a rent removed out or something like that, I have
the bitcoin. I can sell some of the bitcoin. I
could borrow against some of the bitcoin to cover that
asset while I need it all. Right now, whatever the
conservative LTV is for you, you think about that. But cash
flow first is always going to be the big piece.
The diversification is going to be big, not like Ray
Dalio talks about it. But I have bitcoin, I have
my real estate, and I have my businesses. Okay, now
(12:56):
there's three phases for you to do the same thing.
Here's what you're going to do. The first phase is
you're going to build the foundation. This is going to
take you the first couple of months, maybe for the
first six months, you're going to work on this. Number one,
you need to start building some cash flow. You should
have some income because this works if you can write
that off. Write the income off, so you have some
income coming in whatever you're planning to put it towards taxes.
(13:18):
Maybe you could start to sort of put that away
in a savings account. Number two, Identify how much you
could potentially save if I buy this property in Texas
or this property in Kansas or Missouri. How much will
it cost if I cost our gate, how much can
I write off? Now you're starting to make a plan.
Number three, I need to find the property market. Remember again,
you only write off the home. So like a beachfront
(13:39):
home in California, most of the land, the values in
the land, it's not going to work real well for you.
So I want to buy something where most of the
values in the property. So in phase one, get the cash,
identify my savings, and find the property markets. Phase number
two implementation This is months six to eighteen. Now I
got to get the property. I got to acquire the
piece of real estate. I need to deploy the So
(14:01):
I'm buying the piece of property the money that now
I'm being able to write off on my taxes instead
of sending to the government, I can deploy that into
bitcoin instead. Then, on top of it, as that rental
property is bringing cash flowner every month, that is now
dollar cost averaging into bitcoin. Phase three. This is the
fun part. This is the scaling part. This probably happens
in eighteen months or two years down the road. What
(14:23):
we do. We can refinance the property. We can pull
some cash back out of the property. What do we
do with that, Well, we can take that equity which
is debt, is non taxable, and we can buy more
real estate. When I buy more real estate, I write
off more of my earned income, which means I have
even more money back that I didn't send to the government,
and I can buy even more bitcoin. And now I
(14:44):
have two rental properties dollar cost averaging into bitcoin for
me at the same time, and this becomes a flywheel.
Each phase builds more momentum. Of course, you start with
one property, you get it going, and then you roll
to the next, and the next, the next. Okay, now
here's some common objections. I can already hear them coming in.
(15:04):
Go ahead and drop them the comments down below. I'll
read them. Try to reply to as many as I can.
Objection number one again, you can't live in bitcoin, of
course not. But you can leverage bitcoin to buy things
that you want, like a place to live, right. Object
number two. Bitcoin has no cash flow, true, but we
can harvest cash flow through it by leveraging it with debt.
I've talked about this extensively. I'll put a video a
(15:26):
link to a video down here. I call the five
year retirement with bitcoin. So we can get cash flow
from bitcoin. But again gold doesn't have that either. That's
why we use real estate and bitcoin together. It's a
rate pairing, of course. Objection number three it's too complicated. Yeah,
it's complicated if you try to do it all at once,
which is why I've broken it down in three phases
(15:47):
so you can sort of grow into it all right Now.
The master key here is combining both of these together,
all right. What we're doing is not about either or
it's about using both together, getting one dollar to do
multiple jobs. So we want to use real estate. It's
the foundation and it's the cash flow. It gives us
(16:08):
the leverage that we need through loans. I gave you
all those benefits, right, so I get the leverage. I
get the inflation, destroy debt. I get the cash flow
from it, I get the tax efficiency, that's the big one.
Then I put that money to get more bitcoin. Because
bitcoin is going up so fast, it's appreciating way more
than real estate is. I have exponential returns. I get
(16:30):
massive liquidity from the bitcoin, and then I can put
that back into real estate to write off more income.
I take the income that I keep from taxes and
I buy more bitcoin and it becomes a big cycle.
Now in this together, the sum is greater than the parts.
Real estate on its own Bitcoin zone, well, bitcoin on
zone is great. Just do that, but if you combine
(16:51):
them together, they become even more powerful. That's how I
was able to ten x my bitcoin by combining them.
All right, the challenge for you is to get this deployed.
So what are you gonna do? Stop thinking like everybody else.
Life is not linear. It's not black or white. It's
not one or the other. It's both. It's not real
estate or bitcoint it's how do I use them both together?
Because remember, the wealthy don't work harder than you, They
(17:15):
just use money differently. I like to say, the reason
why you have to work so hard is because your
money doesn't. So what you want is your money doing
more than one job. It should be doing two jobs,
three jobs, five jobs. If you'd like, I have a
Wealth Engine assessment. It can show you how many jobs
your money is doing and how you can get it
doing more than one job as quickly as possible. It's
(17:35):
a free assessment. I'll link to it down below if
you want to go through that. It's just you can
start to plan out what your next steps are. If
you want to get ahead all right, and if you
want to learn more about investing in layers and how
this works, you should probably watch this video right here,
and I hope to see over there
Host
Mark Moss
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