Summary
In this episode of Wealth Building Made Simple, host Phillip Washington Jr. and Realtor Rob Lewis discuss the issue of housing affordability in light of higher interest rates. Rob emphasizes the importance of understanding reality and income limitations. Rob also believes that the easiest entry point to building wealth is through real estate, specifically one's primary residence, which serves as a savings account and forces individuals to save money. He acknowledges that higher interest rates may make it difficult for some to afford their dream home initially, but emphasizes the importance of building equity over time. He encourages individuals to live in a house they own for a few years, build up equity, and then move to a more comfortable situation.
Rob also challenges the mindset that may prevent individuals from pursuing homeownership, suggesting that if they are content in an apartment, there is no reason they cannot be content in a house. The conversation also touches on the idea of buying a home with roommates or friends.
Affordability is not as easy as it used to be if you’re buying the traditional way, so more people may start collaborating to buy a house and enter into an agreement where they will have the house together for a few years. After that, they can either sell it or one person can move out, pay the other their equitable interest in the property, and the other person can keep it as a rental.
There are still opportunities to purchase affordable properties in certain areas that are further out from current economic centers. Housing prices have declined nationally for three consecutive months, making it a good time to buy. Rob encourages listeners to take advantage of the current market and not be afraid to jump in, even if there is still competition for desirable properties.
Chapters
| **Timestamp** | **Summary** |
| ------------- | ----------- |
| 0:00:01 | Introduction to the podcast and topic of housing affordability |
| 0:01:00 | Discussion of higher interest rates and their impact on affordability |
| 0:02:23 | The importance of real estate as an entry point to building wealth |
| 0:03:11 | Addressing the question of how to afford a home with higher interest rates |
| 0:04:24 | The importance of building equity in a home |
| 0:05:31 | Comparison to historical housing affordability in England |
| 0:06:10 | The role of mindset in home ownership |
| 0:07:10 | The benefits of owning a home vs. renting |
| 0:08:15 | The importance of working with a qualified financial advisor |
| 0:09:05 | Discussion of current housing market opportunities and the potential for buying a house with others |
| 0:11:39 | Discussion of buying a house with friends |
| 0:14:45 | Creative ways to make money with a jointly-owned property |
| 0:15:11 | Contact information for Rob the Realtor |
| 0:15:39 | Information about complimentary consults with Philip Washington, Jr. of Stonehill Wealth Management |
Quotes
"Real estate is the easiest entry point to building wealth."
"The best savings account that you could possibly have is your primary residence."
"If you're going to be content in an apartment, what's stopping you from being content in a house?"
"Go get your house. Go get your house. One of the best opportunities that I have seen personally in the last five years...."
"I think we're going to start seeing more people that like now let's say me and you are graduates. We're 30 years old and single. I'm like, hey, bro, let's go buy a house. I don't plan on getting a wife anytime soon. I don't want to miss out on this property. Let's just go buy a house together."
Social Media Handles
Phillip Washington, Jr. is a registered investment adviser. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and, unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed herein. Past performance is not indicative of future performance.
Business: Navigating layoffs, talent shortages, and artificial intelligence
Wealth Mindset: Our Wealth mirrors our level of Faith in Abundance
Real Estate: The $28 Trillion in equity and ideas around what Americans can with that money
Investing: Understanding artificial intelligence and how it’s about to disrupt the world
Financial Planning: 3 income sources for achieving financial independence
Tax Strategies for 2023
Economic trends series: How to navigate 2023 potential interest rates hikes
Finding the home of your dreams: Think it ➡️ Feel it ➡️ Attract it
Wealth Mindset: Emotions are the muscles of the Mind
Wealth Mindset: How to magnetize our Mind to attract our desire
Wealth Mindset: Wealth Building Made Fun
Advanced Planning: New 401(k) plan changes
Real Estate: Making home buying affordable in 2023
Economic Trends Series: The Evolution of money to the blockchain
Wealth Mindset: How much money do you have in order to consider yourself wealthy?
Advanced Planning: The importance of having your assets owned by the right entity
Economic trends series: Solving the wage inflation problem
Wealth Mindset: How to use intuition to feel your way to investing opportunities
Wealth Mindset: A simple way to increase your financial intelligence
Wealth Mindset: An easy feeling goal setting process for 2023
Create your
podcast in
minutes
It is Free
The emPOWERed Half Hour
U.S Property Podcast
Aligned Money Show
Dubai Property Podcast
The Ramsey Show
The Clark Howard Podcast