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However, some financial experts believe the two have more in common than the average investor suspects.
They can also hold onto their assets for an extended period and earn a passive income.
Some investors may choose not to work anymore.
Others may reinvest their income to compound the growth and build more wealth.
While playing the Cashflow game isnt a strategy by itself, Tanner emphasizes that improving your financial education is.
Using Leverage
When you decide to purchase a property, you probably wont pay the full price upfront.
Instead, youll likely need to take out a mortgage loan from a bank.
In 2023, 80% of homebuyers financed their purchase.
Another major benefit you may enjoy is an increase in the value of your house.
Goldman Sachs analysts currently predict that U.S. homes will appreciate by 4.4% next year.
Tanner brings up the idea that you’re free to also use leverage in the stock market.
Buying an option contract doesnt give you ownership of a company.
However, stock options also come with a large amount of risk.
One wrong prediction could mean losing your entire investment.
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