lets chat for a second, shall we?
watching hgtv is a good thing. i can even say that watching shows like ‘flip this house’ can be educational and entertaining, but let’s be real. just because you have your broker’s license, watch these shows religiously, and live in atlanta doesn’t necessarily mean that you’re going to make it big and live off of investment property income. long-term wealth is not built on the dreams of getting rent checks for the rest of your life.
john rogers, the founder of ariel investment corporation, recently proved this statistic and the misconception african-americans have about long-term wealth in a recent chicago tribune article. his solution? educate black culture.
so let’s do that, shall we?
it is not a coincidence that we at ybpguide constantly and consistently write articles about ‘feeding the pig’, becoming financially literate, and how to save $20k. statistics have been calculated and it is no secret that a majority of our parents’ generation did not have the means or tools that we have in setting up long-term, healthy wealth avenues. this has to change with us. real estate, no matter how much ‘bang’ you think you can get, will NOT get you there. stay in the lane of diversified mutual funds and stocks. learn about annuities. don’t just follow the fad of putting money in the 401k. know the myths. stay educated.
i am privileged to know some older black folk who are doing really well. their advice has always been for me to keep saving my money and socking dollars away. pay myself first. one of my older friends used to own more than 15 buildings! the dividends were not worth the stress.
the ybp is slowly being redefined. we are lean, green, financially sound machines. come join us.
Real Estate » ybps: get off the real estate bandwagon
[...] unknown wrote an interesting post today onHere’s a quick excerpt… healthy wealth avenues. this has to change with us. real estate, no matter how much ‘bang’ you think you can get, will NOT get you there. stay in the lane of diversified mutual funds and stocks. learn about annuities. don’t just … [...]
October 12, 2007 at 2:02 pm
Rashad L. Morgan
Fred, you actually beat me to the punch for this article. While I do not think that getting totally away from real estate is the answer, I do think that it is wise for young black professionals to diversify their investments. Instead of looking at real estate as the holy grail, understand that it may not provide the best return on your investment, and thus, should not make up the majority of your portfolio. But the key learning about smart investments and not trying to strike it rich on the deal of a lifetime. Sometimes you are able to find diamonds in the rough through research. But understand that investing is about setting goals and not getting rich quick.
October 12, 2007 at 2:40 pm
Martin Lindsey
Nothing like a lean operation. Good info man. You could also recommend to your readers to include a healthy mix of CD’s and money markets from your local or online bank or credit union as part of the portfolio.
Hey, you mentioned a few weeks ago, I think in a reply to one of my posts, that you have a VPN/VPS?, so sounds like you’re going the entrprenuerial route as well. Send me an e-mail and tell me more about it. I may be interested in becoming a customer.
Thanks…….Marty
October 12, 2007 at 3:48 pm
Fredric
marty, just sent you an email.
October 12, 2007 at 4:10 pm
ETS
“the dividends were not worth the stress.”
Bottom line. Period. If you look up what’s happening in Phoenix and many other places, I don’t have to explain.
October 12, 2007 at 4:58 pm
Greg
Hey Fred,
There’s always online Real Estate!
http://findarticles.com/p/articles/mi_qn4155/is_20070219/ai_n18623171
-That’s a joke by the way
October 13, 2007 at 10:37 am