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March 31, 2025 - Fresh & Fit
01:15:29
Grant Cardone Returns!
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Time Text
And we are live.
What's up, guys?
Welcome to Freshman Podcast, man.
We got the legend in the house, Grant Cardone.
Let's get into it.
Let's go!
All right.
And we are live.
What's up, guys?
Welcome to the Freshman Podcast, man.
Money Monday.
We got a legend in the house, Grant Cardone.
We are happy to have him back.
We'll just get right into it.
Grant, welcome back to the show, man.
We're happy to have you.
Honored to have you as a guest.
For those that are unaware, I've been living under a rock when it comes to financial content.
Can you please introduce yourself to the people?
Well, let me ask.
What's your Instagram?
Because I'm getting ready to get you some smoke.
Oh, I'm banned.
Yeah, we're both banned.
We're both banned.
Damn. You're banned, bro?
We're banned.
Yeah, man.
We just got banned like a couple weeks back.
Yeah, March 3rd.
What did you have to do to get banned, man?
That's crazy.
Oh, man.
That's a long story.
We're on X, but yeah, we're banned on Instagram.
Maybe just being black.
No, I know other black people.
I'm kidding.
I'm kidding.
Yeah, so look, my name's Grant Cardone, and I grew up in Louisiana, raised by a single mom, and proud to say I'm a self-made person.
Grinding for everything I have.
Some guy was in, I'm in Beverly Hills today working on this, you know, bring sanity back to the state of California.
And the guy stops me this morning.
He's like, bro, man, like, oh, man, your story is so inspiring to me.
He's like, what's the worst thing that ever happened to you?
I said, the worst thing that ever happened to me is what I did to myself.
Because that's what I did.
I messed up my own damn life.
And then at 25, I decided to get it together.
And so I've been working for the last 45 years trying to figure out my money and my family and my spirituality and my purpose and my connection to God and, you know, what am I here to do and how can I make a difference?
How can I have fun?
You know, how can I, you know, I'm just doing what everybody else does.
I got a little money.
I'm like, how do I get a little more money?
Then I'm like, okay, I got a lot of money.
And then I'm like, okay, I don't want to lose the money.
Because I know a lot of dumbasses that make it and lose it all.
And along the way, I'm sorry to interrupt you, but along the way, Fresh, I've been documenting what worked and what didn't work.
And at heart, I lost my dad when I was 10 years old and I wanted somebody to help me.
And I think my purpose in life, I mean, I know my purpose in life is to help other people because I wanted that help so bad and nobody came along.
I didn't get it from the schools.
I didn't get it from college.
I didn't get it from my uncles.
I got it from the drug dealer.
He was willing to help me.
He's like, I'll help you.
But, you know, I've been...
Anytime I do something that works, dude, I tell people about it.
Like, hey, guys, I just did this and it worked.
I get excited to share information with other people.
And that's built me a fairly large audience online.
And I'm very opinionated.
Once I find something that works, I'm like, bro, this shit works.
Okay? Like, I'm telling you, do it this way.
And then that tends to be a bit, what's the word?
Polarizing. Because I bought a single family home when I was 28. And like four months later, I'm like, that's stupid.
That was dumb.
And when I make that statement, I make it just like that too.
I'm like, stupid buying a single family house.
This is what you should be doing.
And then people get polarized and they're like, Grant Cardone's an idiot.
Grant Cardone don't know what he's talking about.
Grant Cardone's trying to turn everybody into renters.
We have 15,000 rentals now, and I'm just telling you, 15,000 rentals is better than one house.
Yeah. No, and I think, you know, that's definitely one of the things that's gotten you viral when you say that buying a single-family home is stupid.
I think you've criticized, you know, Roth IRAs or what is it?
No, retirement accounts.
Yeah, the IRAs, 401Ks.
You probably saw the Vlad interview, right?
Vlad's telling me he's got a bunch of money in IRAs, and I'm like, I'm sorry for you.
He's like, why are you sorry?
I said, because it's dumb, bro.
It's a scam.
Yeah. So Grant, this is a long time coming from back in the day as well.
Yeah. You guys are really grown up too, bro.
You guys are freaking rocking it.
Thanks, bro.
But just to your advice, man, buying a multifamily property when I first came to America, this was about, I want to say, seven years ago.
And what happened was, I bought a property back then, and it was for $330K.
Now, I put 3% down, FHA, lived in it for a year, moved out.
$780k. So that advice you gave to me, plus the cash flow, was incredible and life-changing.
So that alone was some really good advice.
And it was a smart choice, not a dumb choice.
Hey, what did you pay for that advice, by the way?
Zero. How much you make on it?
Well, actually, I didn't sell it yet, but I'm thinking of selling it.
Yeah, but how much equity do you have in it right now?
$180k or something?
No, $480k.
Yeah. Crazy.
But hold on, Grant.
And they only put in like 12K.
That is the thing I'm most proud about in my life is that I've helped a bunch of people.
I don't even know the stories of the people I helped.
And then I'll have opinions about things.
I try to help different communities.
Black are different than brown.
Brown is different than white.
Females are different than male.
15-year-old is different than 55-year-old.
The Chinese and Asians have different problems in the Jewish community.
And I try to bring this stuff to people's awareness, like, bro, this is happening.
And then when I do, everybody's like, oh my God, he's trying to pillage the black community.
I'm like, I didn't get any money from you for that advice, but I feel good about it because I know I did the right thing.
To whoever wants to listen and wants to employ it, you're going to make money, and money's in part.
Don't worry, Grant.
I'll give you a cut soon.
All right.
But listen, man.
I don't need a cut.
I'm good.
I'm good on the cut.
I'm kidding.
I'm kidding.
Let's figure out how to do it for 100x that.
Everyone watching, man.
But also, back in 2015, I did a show, actually, on a network.
It's called Whatever It Takes.
I got an email here.
Whatever It Takes is filming on March 30th.
And it's funny.
Today is March 31st.
So back in time real quick, if you don't mind.
Yeah, I got you.
A man, a great man told me to sell some water.
And I couldn't back then.
I couldn't even sell myself.
But I learned a very important lesson.
And we'll watch it here real quick on the show for you guys in real time.
Let's watch it real quick.
That was funny.
March 31st, man.
And what year?
This is, uh...
2015. Oh, wow.
Exactly almost 10 years ago.
10 years ago in one day.
Yep. One day.
Wow. Okay.
Here we go.
Talk about timing, man.
Wow. All right.
One set here, guys.
It should show.
Bill's got it.
Here we go.
It's like an OG clip from back in the day.
Oh, man.
Yeah, before he got banned on Instagram, I think this thing went viral, didn't it?
Yeah. It's had 20 million views, Grant.
Yeah. Wow.
And he got banned?
Yeah. Whoa.
It's a little bit more nuanced than what we're saying, but yeah.
We got banned for our political views, basically.
Go Trump.
That's what happened.
Go Trump.
It's all good though.
We got banned for our political views.
Here we go.
How much money did you make last month?
$120. $30 a week is what you made last month.
How much money did we make?
I'm in the 10X rule.
I really would like to make $100,000.
Why $100,000?
Done. You don't have whatever it takes.
Not this year.
Thank you.
Good luck to you, all right?
Thank you.
Good luck to you, man.
This is what every company in America is going through.
We get worn out looking at resumes, so we end up hiring Walter.
Ah, that's good.
Good luck to you.
How much money did you make last month?
$120. That was crazy, man.
So, you know, people take it as an L, but I take it as a W because back then, I wasn't ready for the world, man.
I was fresh.
I was green off the boat.
Fresh start.
And funny enough, a couple years later, now we're here.
Yeah, nah, man.
It's a great success story.
Obviously, I think Grant played a significant role in motivating you to not be a loser.
Rejection sometimes is the best teacher over success.
And I would argue, Grant, just real quick, to make this more of a palatable example, he's the Grant Cardone, I'm the Jerry Glant.
Okay. There you go.
So it worked out.
Yeah, I mean, Grant, I will say, because obviously I've watched a significant amount of your real estate content, I actually agree with you on the concept of the single family home.
You know, it can be an investment, but for most Americans, it's probably not going to be.
It's going to be detrimental versus like renting and buying something.
And I agree with you also on the 401k.
I remember when I left the government, you know, I depleted my 401k and used it to buy my first property.
And that's a way better decision than if I had just let it sit there.
So I agree with you on that.
I know that's like a controversial take for a lot of people, right?
The famous saying, who dares wins.
Can you, I guess, kind of go through with us?
Like, why do you think so many Americans are oblivious?
To the power of real estate, and they're so terrified of debt and acquiring real estate debt.
Well, because they've been indoctrinated.
Even the concept of financial illiteracy, you guys are told you're financially illiterate.
I mean, all of us.
We're sold this all the time.
You've got to go to college to get a good job.
That's bullshit.
You do not need to go to college to get a good job.
The best jobs in the next decade will be plumbers.
It won't even be AI, dude.
It's not going to be coders.
Shit. Robots are going to code themselves.
It's going to be plumbers.
It's going to be roofers.
It's going to be solar installations.
It's going to be people that can work with their hands and fix shit.
So, we've been indoctrinated to fund the banks.
And if people would get off of what your grandpa told you, or your dad, they were indoctrinated.
And they just pass on their indoctrination to you.
You know, like breakfast.
Why do we even eat breakfast?
We don't eat it.
It's probably not even good for you.
But you eat it because you were brought up to eat breakfast, and you're eating probably the same shit foods that you were brought up on.
Gary, Rebecca.
Yeah. So, oh, yeah, yeah, yeah, yeah.
Bless you.
So my point is, like, we were sold.
You cannot.
If you guys ever go to New York City, go to Goldman Sachs, J.P. Morgan, Morgan Stanley, Bank of America, walk in their buildings.
And understand, those buildings are built on selling you a story.
Save your money.
Save your money.
Wells Fargo, save your money.
Save your money with us.
We're right here for you.
We'll never lend you any money, but you save it.
You save it here, okay?
Well, number one, I'll just take a couple of these fallacies.
You cannot save money.
It is impossible to save money.
Because money is being printed as it is printed.
It depletes the value that it can purchase in that way.
It's not being saved.
So a million dollars today that you have, that you had in 2020, it's going to say a million dollars in the bank account, but it's not the same million because it won't buy the million.
Number two, buy a house.
For you to buy a house, where are you going to get a mortgage?
Bank of America, Fannie Mae, Freddie Mac, Wells Fargo.
These are trillion-dollar companies, folks.
They made trillions of dollars selling you this bullshit.
Hey, put your money in the retirement account.
You need to start when you're young.
Put a little bit of your check in every month.
You'll get it back when you're 72. Oh, by the way, you're forced to get it back.
Forced. You have to take it at 72 when the taxes are going to be three times higher.
So these are myths, man.
These are myths.
They're big scams, and they create trillion-dollar companies.
Wells Fargo has almost $3 trillion under management.
Merrill Lynch, $7 trillion.
Vanguard, $11 trillion.
Do you guys understand how big these numbers are?
To get numbers that big, you have to brainwash a majority of the public to believe what they're doing is right.
Grant, let me ask you this.
What I'll do is, because I really want to get your take on this, right?
I'm going to give you, name multiple asset classes, and I want you to kind of give us your raw, you know, unedited take on each asset class, why it's good, why it's bad.
I like that.
Because, yeah, I've always wanted to ask you this.
I haven't gotten a chance to ask.
So I'll start with precious metals.
What are your thoughts on precious metals?
Good, bad, ugly?
I don't like them because the only way to make money from them is to sell them.
Okay. Any positives you would say?
It provides no income.
It costs money to store.
It can only appreciate.
The only way I get the appreciation back is to sell it.
That means I got to go buy something else.
And there's no tax write-offs.
I hate it.
Okay. So do you hold any yourself or completely?
No, zero.
I mean, if there's anything in this watch.
This is a stupid investment, by the way.
Completely ridiculous.
Anybody who tells you guys that jewelry is an investment, I don't care if it's a Paddock, a Richard, a Rolex, it's bullshit.
It's a watch.
Don't call it any more than it is.
It's a fucking watch that you don't even need, by the way.
I agree with that.
What are your thoughts on...
The supercars.
The supercars.
Those are not investments.
Wait a minute.
They're fucking cars.
Wait a minute, Grant.
I like cars, man.
Come on, bro.
I agree with that.
No, you do, bro.
You're buying cars and I'm buying jets.
Damn. Okay.
Talk your shit, Grant.
Yeah, I agree with you on the supercar thing.
Let me ask you this then.
What about when it comes...
Because you said you don't like the watch game.
What about if you're buying plain Janes, things that hold value, etc.?
Do you think that's a bit more viable, or are you still kind of on the fuck watches?
They don't provide income.
You can't write them off, okay?
They're stupid.
You're going to sell them when you need money, and you're going to need money.
You're going to go sell it.
Oh, if I need my money, I'm going to sell my watch.
When you need money, ain't nobody's going to give you any money for your watch.
Okay. Let's get into stock market.
Okay. What are your thoughts on investing in the stock market?
Good. I want to sell to the stock market.
I don't want to buy from it.
Gotcha. The people making all the money in the stock market are the people selling into it.
I build a company, I take it to the marketplace, and I turn it into a piece of paper.
Go public with it.
Yeah, go public with it.
I'm going to go public with a company this year.
But me going out and buying stocks, unless I have some insider information, if I'm Nancy Pelosi, I love the stock market.
Yo, don't, DeMarco.
I can't lose it.
I can't lose because I got insider information.
Yeah, okay.
Good point.
So, stocks?
Widely useless unless you got insider information.
Fair. Look, can I just say this on stocks?
There's only seven stocks that have moved the market in the last two or three years.
Like, if you have an IRA or 401k and you have $100,000 and you're going to put $100,000 to an IRA, they're never going to invest in the seven stocks, which is the seven you should have been in for the last three or four years.
The rest of them are shit.
What are those seven?
You guys know a stock makes it into the S&P 500.
If it doesn't perform well, they literally remove it from the S&P 500 so they don't have to report about it.
Wow. What are those seven that you said are the only ones worth it?
The FANG stocks.
Facebook, Amazon, Netflix, Google.
You could add Tesla to that probably.
But again, I bought Facebook.
I had some Facebook, and then I bought it at $38.
It went to $19.
I'm like, fuck, I don't need to do this shit.
This is crazy.
Today it's worth like $500.
It's great.
I should have bought it.
I should have kept it.
But I should have bought a shitload of it.
Gotcha. So would you say that- Because if you only buy one share, right?
That means $19 became $500.
Okay, big deal.
But you had to go through all this volatility in the meantime, and you still only have a $500 score.
My point is, if you don't know enough about the company, you're not going to load up on it.
Okay? The stock market is like this massive casino.
You walk into the Bellagio or the MGM, and you place the bet on every table, every slot machine.
Every blackjack table, every roulette wheel, you're going to go broke.
Okay. The casinos are worried about the people that make one bet, one giant bet.
That's why they cap the bet.
Because the whales can break a casino, and little players never can.
And most of the little players in the stock market actually never make any real money.
Also, it doesn't cash flow, for the most part.
You can't write off the investment, okay?
You can't touch it, okay?
You're completely, you're not in charge of the direction of it.
And most of the stocks actually don't even, if you didn't have inflation in the marketplace, you wouldn't even have any stock gains for the last decade.
Okay, would you say that, has the ship almost sailed pretty much on these seven stocks at this point that you mentioned?
Would it be fair to say it's a little too high to get into now?
Well, I mean, look, the average company in America today, when I was growing up, lasted 73 years or something.
Today, the average company in America lasts seven years.
If you guys think that Apple is going to be around 30 years from now, maybe, but I'll bet you something comes and takes it out.
So you're not in control of these companies, right?
They can be, you remember BlackBerry?
Yeah. Nobody has one.
Yeah. It's still a stock.
It's a piece of shit.
Y'all remember Beyond Meat?
Beyond Meat went to like, I think, I don't know, some stupid $700.
It's $18 today.
Damn. See, but the marketplace is not going to tell you all that.
They're not going to tell you, bro, look at the damage.
Okay? They're going to show you the winners.
It's like when you get to Vegas.
You get to Vegas, you get off the plane, you're coming down the escalator, and there's a big sign of Rose and Fred won $1 million, and they look like idiots, okay?
Two white people, dumb as shit.
You can tell they're like, dumb.
They won $1 million at the MGM, and you think, oh, shit, I'm going to go there and win money.
You ain't going to win any money, man.
Yeah, they show you the winners and never the losers.
Well, okay.
So how about this?
So we went over stocks.
I got to ask this one too, then we're going to get into cryptocurrency.
What are your thoughts on REITs since we're on the topic of the stock market?
You know, the closer you can get to the real estate as an asset, the better.
Let's say the Grant Cardone, by the way, this is going to happen.
Let's say I put together a fund of 10 deals and then read them up and all the people that invested with me, Get to become part of that REIT.
That's where you want to be in the REIT.
Okay. So you got to be in a...
Now imagine this.
Imagine this.
I take real estate.
I take...
This is the real estate.
Let's say $80 million of real estate.
And I add $20 million of Bitcoin.
And I put them together.
I pay cash for it all.
I trade fiat for these two.
The real estate cash flows, the Bitcoin does.
The real estate's very volatile, right?
It's going boom, boom, boom.
It's doing all this crazy shit.
This is stable, stable.
Apple a day keeps the bank away, okay?
And these two are sitting together.
And then five years from now, six years from now, seven years, we know the real estate, if it was bought in the right place at the right time, is going to go up in value.
And there's a damn good chance that Bitcoin could be worth millions of dollars of Bitcoin.
The beautiful thing is every month, every month, when this thing cash flows, this doesn't cash flow, this does.
When the Apple cash flows, we buy more Bitcoin out of the cash flow.
We literally didn't buy the Bitcoin ourselves.
Okay. So you're saying you buy the real estate and you can combine it with the crypto?
I buy the real estate.
I buy the real estate.
I wish I had a better demo, but I buy the real estate.
I pay cash for it.
Yep. I need to buy a piece of real estate.
That's basically, it was worth these two together, and I got a deal on it, and I paid just for the apple.
Okay. Okay?
Then I add back what I robbed from the seller, because you can steal real estate today.
I am absolutely stealing.
I should be, what I did last year, I should be arrested and thrown into Gitmo.
That's how deep the freaking steel was.
About $700 million worth of real estate is worth about a billion one.
Gotcha. The dollars had to sell, okay?
So I just bought a deal.
We bought a deal for $72 million.
It should have sold for $85 million.
So I capped it back off to $85 million with the Bitcoin.
Got it.
So you made a REIT.
And you put the- No, no, no.
We kept it as a fund, separate individual fund.
Okay. It's never been done before, by the way.
This is the first of its kind on Planet Earth.
Yeah, I've never heard of this.
Okay. And it's at, what's the website?
Cardonecapital.com.
You can see the exact thing we did there.
So we bought the real estate, paid cash, bought the Bitcoin.
I just figured out the difference between what I paid for the real estate and what it should have sold for.
And I filled that up with a purchase of Bitcoin.
Put the two together in a fund.
Offered it to my audience for the same price I paid for the two.
Said, hey guys, you want this?
Sold out the fund.
What was it?
$88.1 million.
Sold out in 35, 45 days.
Damn. We take that fund.
We close it.
Now that fund, because we paid cash for it, we don't use any banks.
So this is about 100 people that own this deal together.
We're partners.
We're all partners in a deal.
Whatever amount of money they put in makes their percentage partnership.
I bought the first one.
I'm going to do 10 more of these.
I'm going to take all 10 of these.
I'm going to wrap it into a super fund and then bring it to the public markets and offer a REIT.
Okay. So I guess that perfectly dovetails the next question.
Cryptocurrency. What are your thoughts on it?
Good, bad, ugly?
You know, I love it if I can get it for nothing, man.
Okay. I mean, if you'll give me the Bitcoin, I'll take it.
Gotcha. And I figured out how not to pay for my Bitcoin.
I'm getting my residents of 300 units to buy Bitcoin for our investors.
Can you describe that a little bit?
The rental income comes in on the 1st to the 5th.
Whatever's left over at expenses, we buy Bitcoin with that cash.
Gotcha. Okay.
So the residents are paying for the taxes.
The residents are paying for the interest on the loan, if I have a loan.
The residents are paying for the maintenance, the electric bill, the water bill, the gas bill, and they're buying Bitcoin because I cash flow positive.
Okay. So I'm assuming you probably have like a portfolio dedicated where...
Every house that cash flows in this box of houses in this portfolio automatically gets reinvested back into crypto, and then you might have another fund where all that cash flow comes to you, I'm assuming, right?
Do you have something like that?
It comes to, not to me, it comes to an account, and then that money sits in that real estate account.
Okay. And then I'm in charge to go buy Bitcoin that month and store that with a fiduciary.
Now, my investors now own, at the four-year mark, Let's say the real estate was $85 million, okay?
And let's say the real estate didn't go up.
In year four, I still have $85 million of real estate.
It never moved.
The rents didn't go up.
The market was bad.
It just stayed at $85 million.
The real estate's not going down.
I have time.
I have no debt, so I have no pressure to sell.
But in those four years, I ended up with $30 million worth, about $29 million worth of Bitcoin that I didn't pay for.
Got you.
So I could sell the real estate, return all the money to the investors, and we own $29 million of Bitcoin at today's prices.
I don't know what it's going to be worth in four or five years.
You don't.
Nobody knows.
Michael Saylor thinks it's going to be worth like $6 million a coin.
Wow. Okay.
And that's the place.
So what I'm doing is I'm getting volatility.
Now, look, I didn't start doing this.
I'm not suggesting people buy Bitcoin.
You guys should buy real estate.
And let the cash flow buy your Bitcoin.
Gotcha. Okay.
So the key takeaway here is you're not taking earned income and purchasing volatile asset classes like cryptocurrency.
You're taking positive cash flow to buy cryptocurrency.
That's right.
And by the way, if you need cash flow to live right now, don't convert the cash flow to Bitcoin.
Convert. You've got to step back a second.
Live below your means.
Way below your means.
I live so far below my means.
I know a lot of people think that I have this fancy lifestyle.
I watch every penny I spend, guys.
Every penny.
And I'm just telling you, because I know every penny that I say, every penny that I don't waste, I can invest in something that will become worth something in the future.
Worth more than a penny, certainly.
Gotcha. So Grant, real quick, let's say Bitcoin is $82K right now, right?
Let's say it was maybe $5K.
You wouldn't buy it with the fiat cash?
If it went to $5,000?
Yeah, you wouldn't buy it?
Well, yeah, I'm going to be able to buy more.
I'm still...
Look, I'm going to have $350,000 of free cash flow from that property in the next 15 days.
Bitcoin goes to $4,000.
We're just buying more Bitcoin.
No, I'm saying, like, with hard-earned cash.
Not with the tenants paying.
I mean, just your money.
I wouldn't.
No, why would I?
Let me ask you something.
Would you buy Bitcoin, or would you rather me buy you Bitcoin?
I'd rather buy it.
Okay, I'd rather you buy my Bitcoin.
I think, okay, I see what he's asking basically is, let's say there was a shift in the marketplace where an opportunity presented itself, where the Bitcoin dropped to a very low rate.
Would you take earned income that you normally wouldn't otherwise do and take it by that Bitcoin?
I would not do that today.
I wouldn't do it today because most people cannot handle the volatility of the Bitcoin.
Gotcha. So you wouldn't change your position.
Like, no matter what, only cash flow is buying Bitcoin.
I don't care if it drops to 5K.
I'm not going to deviate from my established strategy of passive income purchases and stuff.
That's what I think Fresh was asking.
On the come up.
On the come up.
All my advice is for people on the come up.
Okay. There you go.
You're sitting with $165 million today?
I know somebody on this call that is.
Uh-huh.
In one account.
Then, okay, if I want to fucking put $16 million into Bitcoin today or...
Gamble on Solana and Carvana and Donna and Danny and Boo Boo and fucking monkey face.
Then fucking do it.
But goddamn, you're already in a place where you can't break, right?
Most people that are making moves right now, they're going to go into the crypto space.
They're going to study one thing.
They're not going to know shit about it.
And the next thing you're going to know, guys talking about Ripple, XRP.
You know, he's going to start.
Playing in all this shit, bro.
You're back in a casino.
Gotcha. You want to make giant bets.
You want to make giant bets.
When you make a bet, you want to make a giant bet.
And the only way you can do that is to have certainty of no loss.
And the only investment on planet Earth that cash flows, provides tax write-offs, and as long as you don't over-leverage it, you're not going to lose it.
There's only one investment on planet Earth that hits all three criteria.
And you guys know which one it is.
Oh yeah.
No, it's my favorite too.
But no, I think that what Fresh was asking, like I said, if like an opportunity to present itself.
But you're saying like, no, I'm not deviating from the strategy because it just doesn't make sense.
Like I'd rather put that money into something.
Until you're at a point where you can deviate from any strategy because it's not going to make a difference.
Gotcha. Okay.
So we talked about cryptocurrency and these other asset classes.
Index funds, I guess I'd lump that in with the stock market as well.
S&P 500 or total market index, you'd lump that in with the REITs and the stock market.
If you're doing the index funds, you don't know what you're doing.
You know you don't know what you're doing.
Warren Buffett says to invest in the index funds.
He don't.
He don't do it.
Don't do what people say.
Do what they do.
Gotcha. I'm just telling you guys what I do.
This is my playbook.
I said it before we started today.
I just do what I do, and I believe in it.
If I didn't believe in it, I wouldn't do it.
Right. Look, I used drugs for nine years of my life.
I would tell everybody, don't do that shit.
And then people were like, oh yeah, but that made you who you are today.
No, I didn't.
That was stupid.
That set me back nine years.
Let me ask you this, Grant.
I'd be better if I didn't waste that nine years.
Yeah. Let me ask you this then.
The real estate market, right?
Obviously, during the pandemic, 2020, 2021, the real estate market was hot.
It was going crazy.
Interest rates were the lowest we've ever seen for a long time.
We're talking sub-3% interest rates, wild time, right?
And I try to buy up as many houses as I could during that period of time.
But we've seen interest rates continuously go up and up and up, and I think we're sitting somewhere between 7-8% right now at the moment for investors.
What are your thoughts on the real estate market now?
Yeah. How should people move?
I know you had mentioned that you had gotten some deals that you were able to steal, basically.
I actually closed my first commercial deal not too long ago, thanks to you, some advice that you gave.
So, how should people navigate the real estate market on the residential side and the commercial side, given the current climate with higher interest rates than before?
Yeah, great question.
They're completely different, by the way.
I'm glad to know that you understand they're different.
Most people think real estate, they think single-family homes.
There's no deals to be had in single-family homes.
That is not where the carnage is.
Okay, real estate, you can literally take the line of real estate and track the line and watch what interest rates do to real estate.
The only thing that drops the value of real estate is debt.
There's never a housing crisis without first having a debt crisis.
Never. In the history of real estate, you never have a real estate crisis until you have a debt crisis.
1995, 2001, 2008, those are debt crises that are called housing crises.
There's no housing crisis.
70% of all the loans on single-family homes today in America are under 4%.
You don't have any sellers, man.
You don't have any sellers with urgency.
So to get a deal, you need a seller that's got a gun to his head.
Now, where's that?
It's all in apartments, hotels, industrial, office buildings.
I think I said office.
And it's a bunch of it's an apartment.
There's $2.7 trillion worth of debt that's due in the next about 30 months.
And most of it's sitting in apartments.
Los Angeles, San Diego, San Francisco, Austin, Texas, Dallas, Houston, Miami, Nashville, Atlanta.
I'm telling you guys the playbook.
I'm giving you exactly where I'm at.
The Carolinas, North and South, okay?
Like, all up and down the East Coast.
Miami, Fort Lauderdale, Tampa.
Like, there's no shortage of this shit.
I'm going to get so rich in this cycle, it's going to be stupid, ridiculous, crazy.
And anybody can do exactly what I'm doing.
I have my whole playbook laid out.
I can't buy all this real estate.
And I'm just telling you, the playbook is to find anything that was bought in the years you mentioned, 2021 and 22. Find someone, their debt's up.
Now, it's been four years now.
Maybe, what is it, three years.
It's been three years.
The debt is due now.
They probably had a three-year debt.
The debt's due.
And because interest rates went up, The property value or the debt that it will support went down.
These things work inversely.
So the debt interest payments went up and the loan the next buyer could get went down.
And if the loan goes down, the value of the property will go down.
So that's where the steels are right now.
They're in large complexes.
The bigger you could go, the better.
What you're really looking for is not even...
I'll just give you another little hack here.
Look for something three years old or better than that.
Look for something, look for an institution that has a lot of real estate, lots, like hundreds of thousands or 50,000 units.
And they bought, let's say they bought a third of their portfolio was bought in the last three to four years.
Look for the next level of all the purchases in their portfolio, something that's 10 years old.
Not three years old.
Because they still have equity in those.
Okay. They can't sell the newer stuff because they're going to take a loss and they don't want to report a loss to their investors.
So they'll go to the tranche underneath it that was bought back in 2000.
2015. And they're going to sell that tranche.
Okay. You said a lot of...
Really important stuff there that I kind of want to unpack for the audience who might not be as real estate savvy.
So in this world, there's residential chat, and then that's, you know, four units are below, and then there's commercial.
And Grant, correct me if I'm wrong here.
I'm just going to try to summarize what you said.
Basically, you're saying the residential game might not be worth it because 70% of these single-family homes have an interest rate of below 4%, so they're not selling.
The impetus for them to sell is not there.
They're going to list.
I'm sorry to interrupt you, but they're going to list their property.
You're going to see all this.
The number of listings in Florida has exploded.
Well, yeah.
And? Okay.
It doesn't mean, bro, anybody sold anything, and it definitely doesn't mean anybody dropped the price.
Okay. So the pressure for them to sell isn't there.
But what you're saying on the commercial side, that pressure's there because a lot of these guys got...
Unorthodox loans.
Hey, your loan is due, and bro, we've already talked about this shit.
We already talked about it last month, talked about it the month before that, we talked about it three months ago.
The loan is due, and the committee wants it paid off now.
And they're like, oh, okay, let me see if I can pay it off.
And they owe, let's say, $80 million.
Okay, they took a loan out for $80 million at 3%.
Now that loan's $80 million at 7%.
The difference in those four points is going to drop the value of the new loan, and they don't have the money, bro.
I'm talking about the biggest companies on planet Earth, the biggest institutions in the world.
BlackRock. The wealthiest groups on planet Earth.
You said one of them.
I can't say their names.
Okay? I can say BlueRock.
I can say Twinklewood.
But I can't.
I can say Brownsacks.
You're at Rumble!
We're rumbling.
Let's go.
So, just to make sure I understand.
So, okay.
So, on the commercial side, so residential's out.
For you, on the commercial side, a lot of these people that get these loans, they got adjustable rate mortgages, which comes due in three, seven, five years.
So, the bank is saying, hey, we lent you this money.
You need to pay off the full property now.
And they're saying, damn, I don't got the money.
So, it puts them in a rock and a hard place to sell.
And then that's where you come in and purchase.
That's where we come in and buy.
Like, Canada's got a housing problem, okay?
Canada has all their money.
On three-year terms.
Hang on one second.
Yeah, yeah.
That's some sauce.
Holy shit!
That's why I had to unpack it again for them because commercial...
And Chad, the other thing I want to let you guys know, right, when it comes to commercial versus residential, and I can tell you guys this from the big difference I saw.
When you're doing the commercial stuff, they look at the property and how much money it generates versus...
The lendee.
But when you do residential, they look at you and your profile.
So when you go into the commercial game, yeah, you might need a little bit more money to get in, but they don't scrutinize you as hard as the property.
Because the property is what they look at.
Versus in residential, they care more about your credit score, how much money you have, down payment, whatever.
So that's why you're able to kind of make some more moves with the commercial stuff, like what Grant is saying.
Also, you made a very good point.
You're making a good point.
I'm sorry, go ahead.
No, no, just out to your point.
You mentioned people are listing properties on Zillow.
For example, just to list her, but they're not selling because, again, they just want to see how much they can get for the property.
They're trolling, bro.
They're trolling.
They're trolling, yeah.
Okay. Hot chick goes to the bar, dresses up, spends an hour and a half getting there.
Doesn't mean you're going home with her, bro.
She could just be trolling.
Let me ask you this, Grant, because I'm sure people give you a lot of heat because you rally against the single-family home theory.
You think it's a waste of time.
What would you say?
I rally against anything that hurts people.
Gotcha. I'm the common man.
I mean, I say this to people like, you ain't the common man.
Okay, but that's where I came from, bro.
I came from the bayous, Louisiana.
And I'm a very simple person.
And look, nobody has to take my advice.
Shit's free, so you don't even have to listen to it.
I'm just telling you how I stack mine.
And it's undeniable that I did something right.
I did it without banks, without the government, without sponsors.
I have no sponsors on any shit we do.
Nobody. So let me ask you this, Grant, real quick.
So I know you can't mention the company, but let's say, you know, Black, and then you guys know what the ends are with there.
From what I've understood, they've been buying single-family homes for the better part of the last five years, almost exclusively.
They've been going crazy buying single-family homes, right?
But you say, hey, don't waste your time on single-family homes.
What would you say to a critic that might tell you, well, this big holding company is buying single-family homes.
Why don't you follow what they're doing versus listening to Grant?
What would you say?
Because they're not buying.
One single family home at a time.
They're buying companies that already assembled 6,000 homes.
Okay. So you guys would think that they're buying one house at a time.
Blackstone is not going to stop and buy a house.
So basically the fact that they're buying it in such ridiculous bulk makes up for the fact...
The headlines say Blackstone's buying single family.
No, they bought a company that assembled 6,000 units.
Come on in.
Come in, Rebecca.
Okay, makes sense.
That's an important distinction.
So, Grant.
One second, guys.
You want to just set up and then I just got to finish this.
Whichever one you're comfortable with.
Always working.
So, real quick, right?
Let's say someone says, okay, Grant, this is all good information, but you're rich, bro.
Why are you talking to us right now?
I'm just curious because I'm a common folk.
I'm a common man.
Why give us advice when you're already rich?
Well, because it's the right thing to do, man.
Why wouldn't I want to share what works?
I mean, I can share it with my daughter, or I can share it with everybody.
I'm an educator.
At heart, I'm just an educator.
When I was 10 years old, my dad died.
I wanted somebody to help me, and nobody helped me.
And I swore by the time I was 12 or 13 years old, I'm going to make it.
I'm going to fucking become somebody one day.
I've got a chip on my shoulder.
And I'm going to learn the game, and I don't know what game I'm going to learn, but I'm going to learn some shit, and I have no clue what I was even talking about.
And maybe God instilled me with being an educator and a mentor and a person of service.
So, you know, look, if I go to the dentist and the dentist does something good for me, I'm going to tell other people about the dentist.
It's just my way, and I think most people are like that.
They want to show people hacks.
Question. So I didn't know that.
I actually learned something new from you on the whole BlackRock thing, them buying not necessarily single-family homes.
Rather, they're buying holding companies that own a bunch of these homes.
Let me ask you this.
So if someone wants to get in the game, right, and they want to get into real estate, they might not have as much money.
How can they get their foot into the game?
And kind of get to where you're at and quickly transition over to the commercial property.
Or how can they potentially get a commercial property as their first property so they skip the whole single family thing?
See, here, you just got to dig a little deeper on the data.
By the way, this is just a practical thing that I'm showing you.
When people tell you something, hey man, Blackstone's buying companies that own single family, okay?
Then say, show me the data.
In real estate, show me the data.
Just show me the data.
Like, I won't listen to anybody that talks about crypto until they tell me how much their wallet is.
Okay. If you want to tell me about Bitcoin, how much Bitcoin you got?
I ain't telling you.
I ain't listening.
Fair. But if you can't tell me, I ain't listening.
Blackstone will have the third largest U.S. single-family portfolio once it completes its Tricon residential property acquisition.
They bought the whole company.
They didn't buy a single-family home.
Now, your viewer's going to watch this and say, yeah, but I don't have Blackstone's money, so I've got to start somewhere.
Do not start with one house.
That's what I was going to ask.
So how should they start?
That's exactly what I was going to ask.
You can start with one house.
By the way, it's easier to get a loan on 32 units than it is to get a loan on one house.
It's easier, by the way, to get a loan on 32 units with bad credit than it is to get a loan.
On one house.
Well, that is true because commercial assesses the property versus the potential lending.
And they give you credit for the income.
Yeah. But, Grant, how would someone go about doing that then?
Like, maybe they don't have as much money.
How can they go where they skip the single-family home trap and then go right into commercial where the money is and they assess the property versus the lending?
You do need to learn something first.
If you're not committed to learning something first, just take all this podcast that you're listening to right now and throw it away.
I'm doing an event in Miami.
They can find it at grantcardone.com forward slash resummit.
I don't even know if there's seats left.
I have no clue.
grantcardone.com forward slash resummit.
I think they're $495 tickets.
It's not free.
You've got to get to Miami.
That's not a government program.
If you need one of those, wrong guy, wrong place.
And it's two days of how to do exactly what I'm telling you right here.
We were there, actually, a couple years ago.
Yes. Last year?
Come back as my guest.
Come back as my guest.
Because I'm going to show you what's going on in the correction markets right now.
L.A., San Diego, San Francisco.
Unbelievable correction taking place.
Dallas, Austin, the Tampa market, Orlando, Fort Lauderdale.
Bro, the deals are crazy.
Now, your audience is going to be like, yeah, but I don't have the money.
You don't need the money.
You need the deal.
And you need to learn how to share it with an audience.
And your audience will fund the deal.
Okay. So, just to make sure I have this right.
So, to get into the residential game and kind of skip the single-family home situation, you're saying there's ways to get in residential even with less money.
It's just that you're going to probably need to crowdsource it, potentially.
100%. Look, getting a loan is crowdsourcing.
It's just going to Fannie Mae and you become Fannie Mae's bitch.
Gotcha. You're trapped.
You're trapped, bro.
You're trapped.
You got a lender.
You got a lender.
If you guys have good credit, you guys that have good credit and you got some money, you can put 25% down and you go get a loan from Goldman Sachs, bro, they're telling you what the deal is.
They tell you what to do.
You don't tell them what to do.
You're no longer in control of that deal.
When I crowdsource a deal, And I've raised $1.6 billion over the internet.
I'm probably the largest crowd funder on planet Earth.
And I'm not bragging.
I'm actually complaining because it should be $16 billion.
And it will be at some point.
But I'm just saying, if I can do this, anyone can do this.
No ad budget.
I have a lot of trust.
I have a brand.
And I use my education, my front-end education.
I use that, make it affordable for people to come get the education if they want to.
A bunch of free content online.
And then they come and see what I'm doing, and they're like, you know what?
I'm just going to give him the money to do it.
A tiny percentage say, I'm just going to do it with Grant as a partner because I make it so easy for them to invest with me and become a partner with me in these unbelievable assets.
It would be a very difficult undertaking if it was your first deal.
Gotcha. So it would be fair to say that if someone wants to get into real estate and they're like, you know, I want to skip the single family home thing and just go right into commercial where I'm now screwing eyes as much, pretty much the only way to do it is through, look, get with other people, turn yourselves into the bank versus trying to get a commercial loan from a bank to buy your first commercial property.
Saturday night, I was at a gala to celebrate the firemen of Los Angeles County for beating down the fires.
After five, you know, six or seven days of fighting those fires.
Even though there was 18,000 homes lost.
And I went by one of the tables and thanked a dozen firemen and there was hundreds of them there.
I went to one table and the guy's like, should I buy or should I sell right now?
I said, what you dumbasses should do is you should put all your damn money together and buy the whole fucking neighborhood.
That's what y'all ought to do.
That's smart.
Actually, with the fires, Let's talk about that real quick, because I know that you have some investments out there in California.
Obviously, the fires ravaged the whole L.A. area.
What are your thoughts on what went down, the government's response to it?
Should people buy in California, or is this a great opportunity with the fires?
Let me see if I can show you this.
I don't know if your YouTube channel is going to be able to see it.
They can see it.
We can see the top part of your image.
We can see the top part of what you're sharing.
Can you see that?
Yeah, yeah.
Now we do.
We got you.
Fire. So that's my house on fire.
Let me see if I have this other one real quick.
See if I have this.
You're back to me now, right?
Yeah, we're back to you.
What is this?
Yeah, shit, I can't show you that one, shit.
That one would get me in trouble.
Great, speaking of trouble, while you're doing that, There's trouble brewing out and about on social media with Gary Breka.
Now, we spoke about it a little bit earlier, but what's up with him, man?
He's talking a lot of smack about you and 10X and how he feels like tried.
What's going on there, bro?
Just a dumbass being a dumbass.
You know, just dumb.
Wasn't he out of like 10X health and fitness and all that stuff?
He was a minority owner in that company.
We bought him out.
He had a failing business.
We offered to buy the company.
He agreed to it.
We gave him some money.
Blew the company up.
Then he started doing some dumb stuff.
Then he started bringing attention to it.
I was really quiet about it.
Didn't say anything.
Watched him do dumb shit for two years.
Kept forgiving him.
Then we finally had enough.
And then he went on a bunch of podcasts and started making noise about it.
I'm like, okay, that's fine.
That's good.
I just kept listening and listening, and then I finally had enough.
We fired him.
Anyway, bro, you know, like I've been through this many, many times.
You know, these all end up the same way.
So basically, you put him on.
He did a pretty subpar job, and you fired him.
He got mad and talked about your podcast.
Look, he did a good job at what he does, which is talking.
You know, he did a good job at that.
I mean, he's a very charismatic dude.
He's good at that, but then, you know, it's just a bunch of stuff that violated a bunch of agreements that's going to be made public.
You can find it all, by the way, GaryBreccaExposed.com.
Oh, shit.
GaryBreccaExposed.com.
So you can find it there.
There's the facts.
So I don't need to...
I'm not here to hurt him or...
Destroy him or mess him up.
He'll do that for himself.
This motherfucker will fuck himself up so bad.
And then there's going to be a 10X flag planted right there.
Hey Grant, you ever been to Barbados?
Barbados, yeah, man, where they honk their horns everywhere they go.
Yeah, that's where I'm from.
Dude, that's the horn honking capital of the world.
It's like, when I was in Barbados, I'm like, these people just got a horn for the first time.
They think the horns...
The horn on a car is like an AI app.
They're like, oh shit, I got a horn.
Literally. Grant, I got a question for you.
Let's say someone watching right now wants to get in real estate.
They have somewhere between $3,000 to $5,000.
What would you tell them to do?
Yeah, I would tell you to find a great piece of real estate, secure it with your five grand, and then go raise money.
Okay, how should they go about like...
Look, this is how real estate works.
First the deal, then the debt, then the equity.
So you're going to get a 32-unit deal.
Let's say it's $640,000.
How many units did I say?
32. 32 units.
Let's say it's 200 grand a unit, so it's $6 million.
You're going to need about $1.5 million to buy the deal.
First, you need the deal, though.
You don't need the money.
You need the deal.
I need $6 million to buy the deal.
To close the deal, I need a million and a half down.
So what do I really need?
I need four and a half million from Fannie or Freddie or HUD or somebody.
If it's the right piece of real estate, you can get a loan.
Now, once I get the six million dollar piece of real estate under contract, I have the contract under real estate.
Now I have a loan in place.
Six million is not six million anymore.
It's, oh, 1.5 million.
And I'm going to take my five grand and say, guys, I got all my money in this deal.
And I need to raise $1.5 million.
And I'm going to run the deal, manage the deal, operate the deal, and 10 people each are going to give me $150,000, and boom, we got a deal.
So there'll be 11 investors in one deal.
These deals are all over the place.
Unfortunately, you cannot find a supercar if you're looking for a bicycle.
Okay. You're not going to find a 10 if you're settling on...
Threes. And that's the example of the single-family home.
Okay. If you're spending all your money in a single-family home, you can't find 32 units.
Really, ideally, what you're looking for is 32 units where they're under-rented by $400 a month or 64 units that are under-rented.
The rent's $200 too low.
Okay. That'll make you a million dollars every time you do it.
Okay. Inequity or cash flow or a combination of all?
Cash flow.
If you can increase the rents $200 on 64 units, you're going to make $1.1 million for you and your investors every time you do it.
Over the course of a year or?
As soon as you raise the rents $200.
If you can raise the rents in 24 minutes, you'll make $1.1 million in 24 minutes.
Okay. Oh, you mean...
Hey, guys, can we do this?
Can we do this?
I love this interview.
Can we do this again?
Pick it up right here at another time?
Sure. Yeah, yeah.
I mean, right here.
We'll just pick it up right here, and then we'll add to it.
Next time in studio.
We're down.
Yeah, yeah, yeah.
I mean, if you're back in...
You're in Brickell, so I'll come down to you guys.
I'm going to be there Saturday.
Perfect. All right.
Yeah, we can do something.
Maybe I'll do it next week.
I hate going down to Brickell.
Why don't you come to my studio?
Either or.
We could do either or because you're right up.
Well, I'm not going to say where.
I'm in Aventure, but it's going to cost me more to drive to you than it's going to cost you to drive to me.
Ah, you had to hit us there.
All right.
Hey, man, hold on.
You know what?
Call us a jet.
No, no, no.
You got us?
Call us a jet, bro.
Yeah, call us a jet.
Call us a jet over there.
Yeah, how about that?
Huh? Well, I could do this.
I could send a helicopter and just drop you on the building.
There you go.
Even better.
Oh, no.
No, no.
Kobe. Hell no.
Hell no.
No, no.
How about this?
How about...
Does next Monday work for you or no?
Let me just...
I'll work it out with Sherry.
We'll figure it out.
We got Sherry's contact, so we'll...
I'd love to do it, though.
100%. We'll do it.
All right, man.
We'll pick up here.
Good stuff.
That's cool.
Thanks, guys.
More to come.
Thanks for coming on, man.
Later, bro.
Later. So what we could do is...
What time is it?
It's nine right now.
We do got to get ready for what's it called anyway.
But just to recap, though, that was a pretty good sauce.
Yeah, yeah.
I will say this, though.
For the average person trying to buy a property with 5K, that tactic, you got to be skillful at networking, having connections, because...
It can be done.
Yeah, but you need the right people with you, because that is not easy to do offhand.
You can do it, but it's not easy to do offhand.
Yeah. Shit.
Wow. We have so many more questions.
Ah, it's all good.
I mean, I was just going to go more into detail about acquiring the commercial stuff with limited funds.
Because he is right in the regard where you're not scrutinized as hard with a commercial deal.
Yeah. But oftentimes, you have to come with more money.
Like, for the down payment.
Because the funny part is, I got people that, like, no offense, are above grant, money-wise, and they don't talk about shit.
They don't want to share shit.
This is probably for you for sharing because most people don't want to share it.
Yeah, they definitely don't want to share this.
Because they already got their own crowdsourcing with like billionaires and shit.
They don't care.
They got their little circle?
Exactly. And they don't need nobody else.
They know 5, 10 dudes?
Hey, I need 2 million.
Okay, here you go.
Yeah. You know, because this does get done at higher levels.
They do it behind closed doors, exactly.
Not bad, though.
Yeah. Let's see here.
It's 9 o'clock now, man.
Yo, he mentioned somebody's bank account.
On the show, Portfolio.
He mentioned a large number.
I'm confused.
He mentioned someone's assets on the show.
You didn't hear that part?
I remember him saying like $167 million.
I'm assuming that's him.
You're talking about something else.
He means somebody else.
Alright, I'll tell you after.
Fresh, why do you do this, man?
No, because you didn't get it?
No! I remember him saying $167 million.
Yes! Do you know who he means?
I thought himself.
Alright, probably.
I thought he meant somebody else.
I don't want to say his name, though, because he didn't say his name.
Nobody said on this call.
Yeah. It was only me, you, and him.
On the call.
Well, okay.
Alright, alright.
Unless Moe and Bills are secret billionaires that we ain't know about, but like...
I'll tell you.
I'll tell you out there.
Just say it, because these niggas are going to flame you now.
They're going to say Elfresh and shit.
He didn't say the name, so I don't want to say the name.
If he says a name, I'll say a name.
Next show.
How about that?
Let him say it.
Bro, just say it, man.
Nah, nigga.
Is that bad?
Why'd you break it up, man?
Because I want to know if you knew who he meant.
Hold on, hold on, hold on, hold on.
He didn't say a name.
I'm like, alright.
I don't want to say the name, but do you know who it is?
This guy, Fresh, always does this, bro.
I got you, Fresh.
W Fresh.
Nigga always brings this thing that doesn't say, bro.
Thank you.
I want all the sauce, man.
Just give me all the tea.
Nigga brings it up, and then I'll be like, and then he'll break it up, and I'll be like, what?
Can you clarify?
And then he'll...
I'm not going to say it on camera.
I have to see people after the show, okay?
I got to see them in the face.
You know.
I'm assuming since he brought it up that he didn't...
Well, let's ask him after.
But I have a feeling I know who it is.
There you go.
Anyhow. After hours.
Coming up soon.
Pretty soon.
Alright. I agree with some chats.
Alright. Pumpkin's low, though.
It's really low.
Oh, I know.
Yeah. Nigga said mine bald and more.
I know, bro.
I am bald and more.
How about two waves, man?
I caught him off, man.
Too much work, bro.
That's a lot of work.
That was a lot of brushing.
Yeah, man.
I'm still here, though.
You got this one?
Okay. Question for Brother Darkness.
Can you bring on someone who know is about natural holistic medicine and Mo Habibi get bills to say adieu?
Bliss to say adieu?
We had on Nate Belmar.
He's more holistic.
But, uh...
Yeah, wasn't he on your show?
Yeah. Bring him on and have him talk about that stuff.
Yeah, we could.
Great. Knowing what you know, do you regret not taking...
Okay. Yeah, this is earlier.
Yeah, you know what?
Save some of the...
Mo, can you do me a solid...
Make a folder.
Save these questions.
And when we link back up with Grant, we'll ask him these questions.
Okay. If you don't mind.
Sorry, guys.
Yeah, damn it.
Red Pill Overdose.
Question for Grant Cardone.
Fresh and Meyer.
How many rental properties would someone need to own making 10K a month?
Thank you.
I can answer that question for you, bro.
You're going to need roughly $2 million in real estate.
Like, roughly $2 million to make 10K a month.
You need to control roughly $2 million worth of real estate to make that.
1.5 to 2M.
What else?
And remember, that's not $2 million all your money in.
That's the total price, the total equity of the property.
So you can obviously leverage and put a small percentage down.
You know, acquire the rest from the bank.
But yeah, you need to control roughly $1.5 to $2 million worth of real estate in total to make your $10K a month cash flow.
But some of that is, you know, might get eaten up by costs and everything else like that.
But yeah.
DemetriusRap says, Grant Cardone was speaking at this event and he said to contractors or customers, don't get your counter replaced.
Get them wrapped.
After that, I got a bunch of customers for countertop and cabinet wraps.
I'm on a yacht in Bayside right now finishing the interior doing a wood wrap on cabinets and marble wrap on the counters.
Nice. Cool.
Shout out to you, Demetrius.
Fresh, sell me the water.
Well, you actually did on...
I did.
You already did.
What channel did you do it on?
Fresh Start.
There you go, there you go.
I'm forgetting, man.
Well, actually, it's called the 305 Podcast.
That's actually what it's called, officially.
Yes. You know what?
I'll make a difference here.
It's because that one's called 305 Podcast.
Mine's a fresh start.
That didn't even start yet properly.
So that's the big difference there.
Well, I'm confused.
So the one with me and Gary is a 305 podcast.
The one y'all do on Tuesday, Tuesday?
Yeah, me, Gary, and Dom.
Okay. But the one with myself and guests is called a fresh start.
We need a one episode with PJ.
Okay, okay, okay.
Okay, so when you're there solo...
Yeah, a fresh start.
Okay, but all of it, just so the audience doesn't get confused here, all of it is posted on the fresh start chat.
Yes. Okay.
Whether 305 or...
On YouTube or Rumble, yeah.
Okay. All right.
Cool. So, yeah, y'all get all the content on that channel.
You get all the content just by being on that channel.
Because Gary ain't doing 305 without you there, I'm assuming.
Nah. Well...
Because that might confuse people, too.
No, no, no, no.
It's going to be me and Dom, for the most part, yeah.
For 305?
Yeah. Okay.
So, all right.
So, all right.
So, Fresh Start, 305, doesn't matter.
It's all going to Fresh Start channel.
Pretty much, yeah.
Okay. All right.
Cool. That way you guys aren't confused.
Just go to Fresh Start YouTube channel.
It's all going to be there.
There you go.
It's the most important thing.
All right, what else do we got?
Peter Darker.
Hey, Myron, my grandparents are gifting me their house, and I'll get the loan at $120,000.
The house is valued at $180,000.
Can I turn around and sell the house and buy a couple of duplexes for that $60,000 equity?
So he's getting a $120,000 loan.
The house is valued at $180,000.
You could.
It depends on where you live, bro.
You know, your spending power, or excuse me, your buying power when it comes to purchasing homes is directly contingent to where you live geographically in the United States.
Like, 100, I'll give you an example.
What, you said you're gonna get 20K?
120K? Yeah.
Okay, let's just make it simple.
$100,000 in Ohio is gonna take you way further than $100,000 in New York.
New York, you can't get shit with 100K.
In Ohio, you could get...
Three houses with $100,000.
A lot.
You see what I mean?
So it's 100% contingent on where you are, Peter.
What else we got?
That's it?
No, one more.
Oh. Last one here?
Okay. Gary, I understand that it's easier to get a loan on a 32-unit compared to a single family so we can exploit the revenue cap rate valuation technique.
Exactly. How can I break the down payment barrier to entry, which is off at 20%?
Good question, Mr. B. And that's kind of what I was trying to get at.
He answered it.
Basically, crowdfunding is how you do it.
Now, the specifics of crowdfunding, he probably wants to do that at his conference.
In detail.
But basically, it's crowdfunding, guys.
And that's kind of what I was trying to get out for you guys.
Which, you know, I see the perspective.
If you're able to crowdfund, yeah, dude, you should never do a fucking residential deal.
Because the commercial deals are going to give you, a lot of the times, more cash flow and better situations.
But the average person can't do that off the fly, though.
Yeah, because not only do you need the money, you need the skill set.
And you need the network.
Which most people probably never have.
And that automatically ostracizes 99% of investors.
You would never get a chance.
Because you're not going to have the...
See, we understand.
The money is one barrier, but then getting the people to believe in you, to give you the money, is a whole other fucking game.
I got to like you.
You got to be well-spoken and established.
And you got to find a deal.
Yeah. That's another big part.
You got to find the fucking deal.
A lot of times, you ain't going to go on, you know, what is it called?
Dot loop?
The one for commercial?
Yeah. Because there's Redfin for residential, then I think it's Dotloop or whatever for commercial.
You won't even find it on the listings.
You're going to have to go there and knock on the door a lot of times.
Like, hey, I want to buy your unit.
Sorry, I want to buy your apartment complex.
Are you selling?
Also, they're going to have questions that they're going to ask you.
And if you don't have access to it, they're probably going to leave.
Here's the thing.
Can it be done?
It can.
But it ain't going to be easy.
You're going to need to put some work in.
You're going to need to know people.
You're going to have to be knocking on doors.
You're going to have to find off-market deals.
But if you can find it, Then you're golden.
The returns are way higher than a residential deal, is what he's saying.
Which, I get it.
He's like, yo, why waste time on a single-family home when you can just go right into commercial, which I would argue for most people, they can't go into commercial.
Yeah, they can't.
But if they have the skill set and the network, they can, which is where he comes in.
You know, he's a good salesman, man.
I mean, it could be done.
Absolutely, it could be done.
I mean, if you're putting it all together, you see why I ask why?
Is it because it leads back to...
Ta-da!
His program.
Smart. It's really smart.
Oh, yeah, yeah, yeah.
Yeah, for sure.
Yeah. For sure.
But, I mean, you can...
I mean, it's not a secret, though.
No, it's not.
There's a lot of real estate investors like him that literally crowdsource.
Everybody does it.
BiggerPockets. It's smart.
Chris Krohn.
All these guys do it.
They just do it with different pieces of real estate, but they all crowdsource.
Yeah. So it's not a secret.
But, yeah.
It's smart, though.
Yeah, yeah, yeah.
It could be done.
It can absolutely be done.
He wouldn't be having the platform he did if it was just scamming niggas and no one was making money.
People are obviously making money.
Okay. Fresh, if you need hell with your camera...
Help. Oh, hell.
Yeah, I think he meant to say.
He wrote hell, though.
With your camera settings and lighting, let me know.
I got you two on me.
Yeah, guys.
Thanks, bro.
TPC Films, actually, I'll give him a fucking Don DeMarco.
Because a lot of you guys are giving me compliments on the show's crispiness when it comes to the camera angles and shit.
Part of that is because I got a new switcher.
That I recently just started using yesterday, but also TPC Films has helped me with...
The camera settings on my cameras and, you know, making sure I get the best out of them.
So definitely shout out to him.
He helped me out.
He was literally on a Zoom call me for like two or three hours when I first got the switcher.
We were there trying to figure out some shit.
So he helped me out quite a bit, man.
So yeah, he's good, man.
He's good.
I got his number.
I'll pass it to you.
And then Bill's, just so you guys know, Bill's going to actually help me out after this with switching my OBS up so we can like go full on damn near 4K pretty much with the cameras and the new switcher we got.
So you guys should see.
An increase in camera quality over the past two days on the debrief versus last week.
So, anyway, it's 9.15 now, guys.
We'll probably be able to give y'all an earlier after hours today.
Depends on the girls, though.
Yeah, it depends on the girls.
But, you know, Chris, he always wants to start sooner than later.
Yeah, true.
And, yeah.
Anything else?
No. All right.
Cool. Guys, love y'all, man.
We are going to reschedule.
Not reschedule, but we're going to do a part two interview.
With Grant Cardone.
Make it happen.
I mean, he's here in Florida, bro.
If we got to go up to Aventura or whatever and do something for y'all, we'll do that.
So it's going to be a good time.
He was in California for an actual event.
Oh, yeah.
So he made some time for us when he could.
Yeah, yeah, yeah.
So that's why he's not here in studio.
For sure.
Yeah, yeah, yeah.
I was supposed to go, but I got massive.
Like, he kind of, bro, he made a lot of, you know, switches to schedule for us on that.
So I know some of you guys might be saying, oh, Grant, he dipped out.
Like, bro, he made a lot of, he switched things around for us to do that interview just now.
So shout out to him.
The guy's a fucking billionaire, pretty much.
You know, anytime guys like that take time out to talk to, you know, guys that are trying to learn or whatever, it's a huge opportunity.
I mean, I think, didn't, like, Alex Harmozi pay him $100,000 for an hour?
Yeah. Like, y'all got it for free through us, so you're welcome, niggas.
I'm about to hold you, bro.
Like, that talk you can do with us.
Obviously, with it in detail to the max, but, bro, that cost money, bro.
Like, a lot.
Bro, I remember Alex Harmozi literally saying, like, he paid, Grant, like, $100,000 for an hour.
Because you can take that information with your money.
I'm going to play it right now.
Yeah. And then you can win right now.
But we got y'all, man.
We're going to do our part two, and then we'll get them on a Zoom call for y'all as well, man.
So, you know, I know some of you guys are saying El Grant or whatever, but understand that the dude is pretty much a billionaire, man.
So, yeah.
Anyway, love y'all ninjas.
We are going to be back with some lovely ladies in about an hour or so.
And like the video, man.
Stay tuned right here.
We'll be back in a bit.
Later. Peace.
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