Introduction To Cash Flow Generating Assets

Complete Lesson Notes on the topic "Cash Flow Generating Assets". Enjoy~

Cash flow #investments are some of the best assets to build wealth. Imagine, having a an income generating machine that makes you money while you sleep.
With enough time, energy, and investments, you could replace your income and quit your 9-5 job with cash flow.

Luckily for you, I’m going to show you the best income generating assets that revolve around cash flow. Buy these assets in your 20’s or as a teenager and you shouldn’t have a problem retiring early.

Asset#1: Dividend Paying Stocks
#Dividend paying stocks are one of the easiest ways to generate cash flow. Simply purchase a share of a dividend paying stock and the company will pay you time and time again.

Companies pay dividends to #shareholders when there’s no growth opportunity for the money. So you’re paid just for owning the stock!
Continuing to #reinvest your profits will lead to a snowball effect, where your income grows larger and larger over time.

Maybe you’ve got $100,000 at a 7 percent dividend yield. Not accounting for capital gains or losses, your investments would pay you $7,000 in one year. Reinvesting your profits would give you a portfolio of $107k and pay you $7,500 in dividends the next year!

How should you reinvest your profits. Should you find a new stock or invest in the same ones?

The best thing to do is reevaluate the stock market and find the best opportunity. Generally, this is the worst performing stock on your watchlist. Your goal is to constantly purchase quality #stocks with good yield that are momentarily down on their luck.

Asset#2: Real Estate Investment Trusts (REITs)

Real estate investment trusts are similar to stocks, but the company is involved in real estate. Investing in a REIT is basically like investing in real estate without having all the upfront cash.

You purchase REITs the exact same way you would buy stock. Again, you’ll need a brokerage account, like Robinhood, to purchase a REIT.

#Crowdfunding is another way to purchase real estate with as little as $100. Companies like FundRise allow you to invest your money into real world real estate projects.

You don’t have to manage properties or deal with tenants. FundRise handles everything for you, so all you need to do is check your bank account.

Maybe you only have $1,000 to invest and that’s ok! FundRise takes your money and the money of others until they have enough to purchase property. Income from the properties is then distributed to the investors according to how much they invested.

FundRise has three different core plans depending on your investment style. If you’re interested in obtaining cash flow assets, stick with the supplemental income plan which distributes more dividends than the other plans.

Asset#3: Rental Properties

Rental properties can be one of the top cash flow assets, but they can be risky if not done right. The best part about real estate is that you can use someone else’s money to make yourself wealthy.

Once you determine if a property is profitable, you can apply for a bank loan to purchase the home. Now you’re responsible for finding tenants, making repairs, and making sure the mortgage gets paid.

You can either hire a property manager to handle this for you or start an AirBnB. Good property management companies can take the stress away from owning a rental property. However, the more profitable course is to start an AirBnB.

AirBnB does require some effort to keep the place clean, wash sheets, and keep up with the property. However, most of these tasks can be hired out at some point.

You may not think AirBnB is worth it but people really are staying in them. From soccer tournaments, conferences, work travel, etc, people are using them. If people are renting then you could be profiting.

Asset#4: Peer To Peer Lending

Another cash flow asset you can invest in is Peer to Peer Lending. As an investor, you give money to families looking to buy their first home, refinance credit card debt, or with a personal loan.

You can get started with as little as $25 on P2P lending websites like Lending Club. However, it’s recommended investing a minimum of $2,500 in at least 100 different loans. People diversified in over 100 different loans tend to turn profit more than those who aren’t.

Summary: Cash Flow Assets for Income Generation

There are so many cash flow assets at your disposal, but these are the best ways to put your money to work. You’re not going to generate much cash flow keeping your money in a money market, savings accounts, or certificate of deposits.

Most cash flow assets require an investment of either time or money. Dividend stocks, REITs, and Real Estate Crowdfunding are easy income generators which involve investing your money.

You can invest in single or multi-family real estate if you’re willing to take risks. Financing allows you to use the banks money to generate a real estate business, which can be managed by property managers.

Peer to Peer lending is another option for generating cash flow. P2P lending essentially lets you and others be the bank by crowdfunding your money. Your money is then invested into families in need.

There are many ways to create and build Cash Flow. You need to discover the best way that suits you! Always remember: Cash Flow Is King! We will talk about more and more interesting topics in the coming days! Stay Tune!

By the way, we are giving free E-book as gifts for people that sign up for our community. We will share resourceful information and helpful tips about investing in different asset classes.

We need more people that really eager to learn more about investing in different assets classes to join our community. Join Us Today! Here is the link: https://bryanandrobertpublishing.mail...

Bryan Hoo

#cashflow #passiveincome #investing #RealEstateInvesting #makemoneyonline
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Published on December 04, 2020 16:12 Tags: cashflow
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