In my real estate portfolio, I have a substantial amount of holdings that produce cash flow. Everyone should.
People say cash is king, but cash flow is the REAL king.
This may come as a surprise, but piles of money terrify me. They terrify me solely because they erode. Given today’s rate of inflation, they’re eroding especially fast.
Rivers of money (or cash flow) is what personally give me the greatest peace of mind. It’s the most secure income strategy in real estate.
Thinking of cash flow as a river is the simplest way to analyze your portfolio. The river coming in MUST be larger than the river going out. That’s how you create a profitable real estate portfolio.
The cash flow from my portfolio helps fund my life, fund my businesses, cover my overhead expenses, and build my savings.
Keep in mind that when you’re purchasing a property, only two days matter. The day you buy the property and the day you sell the property. Every day in between is a risk, a risk you can greatly minimize by having that property produce cash flow.