Print Your Own Money, Legally

[Tim Hendricks]

Print your own money, legally.

Instead of swapping hours of your life for dollars on a job, do what many wealthy people do, print your own money. You say, that is illegal. Let me expain.

I am not suggesting that you get a printing press or copy machine and literally print paper money. That is illegal. What I suggest is legal and done every day.

It will take some study and learning about real estate markets. This is an example in residential single family homes.

Whether you purchase with your money, a loan from the bank, or partner with someone who has the money or good enough credit for a loan does not matter. Let’s say that you purchase a 3 bed 2 bath 1500 sq ft home with a money partner who gets a loan.

Purchase Price: $100,000.

20% down payment, 80% bank loan at 6.0 % interest, 30 year amortization.

Your principal and interest payment is $599.55 taxes and insurance about $150.00

PITI monthly payment of about $750.00

Now you advertise that you have a 3 bedroom, 2 bath home for sale (on a lease with option to purchase agreement). Just like a bank loan they are responsible for all maintenance and repairs (because they are buying, not renting)

Lease Terms: Purchase price when they exercise the option: $150,000.

Monthly payment: $1,250.

Non refundable down payment: $10,000. Depending on how you structure the agreement with your money partner, you can spit this, or keep it all for yourself. So the lessee will still owe $140,000.

Again, depending on your agreement, lets say you split the cash flow with the money partner. You each get $250 per month cash flow.

So where is the money printed?

When the lessee signs the agreement with the purchase option, you take the 140,000 that they owe, and subtract the 100,000 (80,000 owed to the bank and 20,000 owed back to the money man) which leaves $40,000.

That $40,000 goes into your equity account (on paper). In two months or 5 years or whenever the lessee gets a bank loan and pays off the $140,000 that is owed, you pay off the bank and investor $100,000 and you put the bank cashier’s check for $40,000 into your bank account.

So where did that $40,000 come from? It did not exist before you signed the agreement with the lessee.

You just printed it up! You created $40,000 out of thin air!

That is how you print your own money legally. With knowledge and paperwork.