Earners. What's up.
You ever walk into a small business and everything just works like The checkout is fast, the receipts are digital, tipping is a breeze, and you're out the door before the line even builds. Odds are they're using Square. We love supporting businesses that run on Square because it just
feels seamless. Whether it's a local coffee shop, a vendor at a pop up market, or even one of our merch partners, Square makes it easy for them to take payments, manage inventory, and run their business with confidence, all from one simple system. If you're a business owner or even just thinking about launching something soon, Square is hands down one of the best tools out there to help you start, run, and grow. It's not just about payments, it's about giving you time back so you can focus.
On what matters most Ready.
To see how Square can transform your business, visit Square dot com backslash go backslash eyl to learn more that Square dot com backslash, go backslash eyl. Don't wait, don't hesitate. Let's Square handle the back end so you can keep pushing your vision forward. This episode is brought to you by P and C Bank, a lot of people think podcasts about work are boring, and sure they definitely can be, but understanding of professional's routine shows us how they achieve
their success little by little, day after day. It's like banking with P and C Bank. It might seem boring to save, plan and make calculated decisions with your bank, but keeping your money boring is what helps you live or more happily fulfilled life. P and C Bank Brilliantly Boring since eighteen sixty five. Brilliantly Boring since eighteen sixty five is a service mark of the PNC Financial Service Group, Inc. P and C Bank National Association Member FDIC.
Real question, if you're a beginning investor you want to invest in real estate, what's your framework for what to look for in a property or multi family to invest in a lot of this stuff is regional, so the advice would be regional if you are serious, Like if you are a real serious want to be real estate investor, it's a few things that you have to You have to first be in a mindset to be an investor, So stay away from the cars. Like I see a lot of people, we hear all the stuff about yo.
I had a seven eighty credit score and I made one hundred and fifty thousand dollars and I couldn't secure a mortgage. Yo, it's racism. And it's like, nah, it's not racism. You spend too much money. You might make two fifty, you might make three hundred, but your bills are up here, you know what I'm saying. Like you got two benzes, you got a g wagon, your wife got a car, like all of those things when you want to be a real investor. In my opinion, real
estate investing is not hard. The concepts are simple. You know what a hard part is most of us are not disciplined. When you really want to start saving money, most of us can't. We can't stop going on vacation, we can't stop buying frivolous things, we can't stop buying depreciating assets, and so that it's a counterpro counterproductive thing when you really want to be an investor, like we'll go buy a car six months before you're trying to buy a house. It doesn't make sense. It messes up
your ratios. It's just a bunch of things. But as I was saying, it's regional. Real estate is regional. So if I was a beginning real estate investor. If I could advise somebody, I live in New Jersey. We all are well shoddy and Troit, we're all from the trial state. I would advise anybody to start in the multifamilies. The multifamilies are great with leveraging expenses. So if you have
a four family, let's just hypothetic, give an example. You can buy four family four million dollars, you get three rents. You get what I'm saying. So, and what the mortgage companies will do is they'll take those three rents that you are gonna acquire once you purchase the property, they add that to whatever your current salary is and they combine them, and that is what they get to qualify you.
So if you have a million dollar property and you're getting four thousand dollars a month, right, that's twelve grand, they take eighty percent of that, They add that to your salary and they use that to qualify you. But in many instances, when you pick up that piece of property,
you can live in that fourth unit rent free. You know what I'm saying, Like the contingent plum with the rents already in real estate investor, you make I don't know, eighty ninety grand, one hundred grand, Go find a multifamily. What happens is our egos start to get into play. Like I've had people say I don't want to live with anybody, and it's like, you live with people. Now you live in an apartment. Now it's somebody right next door to you, it's somebody above you, it's somebody below you.
So you're already living in somebody else's property. Now, why not living your own? Why not reap the tax benefits from the depreciation in the rental real estate stuff that you're going to acquire that you don't get. Now, Uncle Sam is kicking your ass. You're an RN, You're doing mad overtime. Uncle Sam is taking all your money. A lot of that stuff is mental when it comes to investing in real estate. You got to change your mindset and say, hey, this is what I want to do.
I want to be an investor. I'm gonna get a four family, I'll live in it for a year. I'll take advantage of my FAHA benefits where I only got to put three and a half percent down as opposed to the twenty, and then next year I could use my faha again and go maybe get a single family or get a duplex. You know what I'm saying, Like, there are things that you could take advantage of that are just offered out here that most people don't know. You got to learn to educate yourself too, But ask people.
I think that you know, especially with what you guys are doing, what some of the other people are doing in the space. Knowledge that I didn't have twenty years ago is everywhere. Like when I started twenty years ago, Dog, I was reading everything on Google, you know what I'm saying. I was getting all my information from Google. And that's how I started jumping off the bledge with no parachute, just you know, learning on your way down.
So I've always heard that, you know, contractors use money from new jobs to pay for old jobs, right, and so I'm interested to hear from a contract that his perspective on that, and then also what is recommended the positive amounts that you should give to a car. I've also been educated that you should never give a contract a full amount. You're paying stages or is it like you pay ten percent, you pay when it's completed. How do you go about actually.
You know, doing that? It depends on the scale of the job, right, or the scale I mean the scope of the project. So New Jersey state laws, a contractor cannot demand more than third by law. Now, if we agree to hey, I need fifty percent down, and it's okay with you, then that's fine. Like the terms are the terms. Whatever we agree upon contractually are the terms. But I recommend never giving anybody all of the money.
You need to have leverage. So if I'm going to build a house for Shati and he gives me eighty percent of the money, what leverage do you now have? You get what I'm saying, Like I got eighty percent of the bread, I could run off sue me. I could pull a Donald Trump sue me. Okay, what I'm saying you literally have no leverage. Once you give somebody the lion's share of the money, what ensures that you're going to get the work done.
But we have what we have a week with the thing that we're doing is construction loan, and they have a draw sheet, so it's like, Okay, the flooring is twenty thousand, and then the inspector comes. They have to make sure the flowing was done correctly. Then they get paid, and then you know, the sink is ten thousand, they have to make sure they sink. So it's like eighteen different things that have to be put in place.
Completion.
Yeah, so I mean that's done because the bank. But that's probably good. Even if you're not using bank money, you can still probably use that same thing, right, like a schedule of things that have to be done, and then as each one gets done, then you get paid. The problem is that a lot of contractors want to get paid before they do the work, not after the work is completed.
So again, let's say hypothetically, I'll come out and I'll do your project. Right, it's electrical, it's plumbing, it's framing, its roofing, it's sidings, it's many different moving parts all at one time. So I might ask let's say the project is three hundred grand, just for round numbers, I might ask you for especially if I'm responsible for buying material. That's the thing too. You'll be responsible for buying material. Then the contractor has to also maintain a certain level
of leveraging protection for himself. I'm not gonna just go out and buy twenty thousand dollars worth of material start this work. Out of my pocket, because there's just as many contractors are still money, there's as many homeowners that's still money. You get what I'm saying, Like, people owe me money to this day that I doubt I'll ever get. So it just has to be a rapport. If I'm doing a job for you in this three hundred grand, I'm not gonna ask you for three hundred grand. I
just think that's asinine. But I might ask you for sixty, right, I might ask you for seventy grand, And then you'll see me working. You'll see me working. And then also, if you're building a house, or if you own a house and you're renovating a house, start familiarizing yourself with some of the terms, start familiarizing yourself with some of the materials. Designing the house is fun, it's dope. So you and your wife might stay at home depot picking
out this, picking out that, picking out this. You start to see, Okay, this tile right here is three dollars a square it's seventeen dollars a square foot. You get what I'm saying. So a lot of times homeowners might want the best stuff that's not in your budget, that's not in your budget. So, and like when I write out of contract, my contracts is are fives is six pages long. A lot of contractors I see might be for three hundred grand, it'll say floring twenty seven thousand dollars.
You haven't described what type of flooring is? Three quarter hardwood? Is it? Luxury? Vinyl? Toiel is it? You get what I'm saying. So all of those things are needed in a contract, like because somebody can say flooring, you signed here, flooring twenty seven grand. They didn't specify what type of florin. They didn't say this, They didn't save that. You know what I'm saying. So I put a cap on a tile amounts, I put a cat on certain stuff. Anything that is over seven dollars a square foot you got
to pay out of pocket. I'm not gonna buy twenty dollars a square foot tile for you, and then I don't make any money off your bats. That's not gonna happen. You get what I'm saying. So the particulars need to be kind of ironed out. And if you're new to this, you may not have much experience in ironing out the particulars, but you gotta start reading. You gotta start asking questions. A lot of this stuff is scary, so I think educating yourself is paramount because you may not know what
you're doing. But get as much education from Google, get as much education now from these websites as possible. It'll walk you through some of the unanswered questions.
An illegal alien from Guatemala charged with raping a child in Massachusetts. An MS thirteen gang member from El Salvador accused of murdering a Texas man of Venezuelan charged with filming and selling child pornography in Michigan. These are just some of the heinous migrant criminals caught because of President Donald J. Trump's leadership. I'm Christy nom the United States
Secretary of Homeland Security. Under President Trump, attempted illegal border crossings are at the lowest levels ever recorded, and over one hundred thousand illegal aliens have been arrested. If you are here illegally, your next you will be fine nearly one thousand dollars a day, imprisoned and deported, you will never return. But if you register using our CBP home app and leave now, you could be allowed to return legally.
Do what's right. Leave now. Under President Trump America's laws, border and families will be protected.
Sponsored by the United States Department of Homeland Security,