All Forum Posts by: Jim Kindred

Quote from @Jesse Poll:

Hey Taylor, 

I am an active agent here in Southern Utah and I would have to concure with the others that the Short term rental market may not be the best invvestment in Southern Utah at this time. 

Many are selling because the properties aren't cash flowing well or at all. 

I would love to sit down and go through the markert with you so you can see why this is happening and help you come up with a long term game plan. 

Jesse - 435-619-9415

The Larkin Group 

KW St George Keller Williams Realty

I am a Financial Strategist with 21 years experience helping investors fix their investments.  Jesse is spot on... because home prices have esclated so much under the mismanagment of Joe Biden and his highly effective interference in the free market, many homes have "appreciated" far more than what the money invested in them will justify.  If you are looking for a way to get out of the STR or STVR market and would like to see how you could reap twice to three times or more income than you are currently getting on your rentals... and that money would come to you every month for the rest of your life... income tax free, let me know and I will show you something you've never seen before and didn't know was possible. Buckle up!

The problem with using IUL's for lending strategies is not just the "slight volatility" but the lack of guarantees and the ever increasing cost of the insurance which is the primary guarantee of IULs and that is the costs are guaranteed to increase year over year, and they can not be leveraged like whole life can.  There is a reason why banks won't allow you to leverage them, and it has to do with the lack of guarantees.  IUL's are the tired old hackneyed 'buy term and invest the difference' of the 1980's which is based on the mistaken idea that investing will yield more spendable income in retirement than one can get from whole life alone.  Remember, it is not how much money you have at retirement, but how much money you can SPEND in retirement (and I might add, how much you can USE on the way to retirement).

Interesting responses from those who admittedly have only HEARD about the idea but have no practical understanding of how Privatized Banking actually works. Those who think the Infinite Banking Concept is about life insurance (AKA Death Benefit) are missing the concept all together.

Banking is a CONCEPT, not a product. Infinite Banking is designed around the radical idea that YOU (the owner of policy designed for maximum efficiency) should be the First Beneficiary of the policy; with your family being the secondary beneficiaries. As the first beneficiary you have access to guaranteed cash values that form the basis of what will become your privatized financing system. Properly designed and used, a Dividend Paying Whole Life Contract from a Mutual Insurance Company makes an incomparably great base from which to conduct a financing BUSINESS (right alongside your Real Estate Investing Business).

HOLDING your cash in a tax-advantaged environment until you USE it for banking purposes during your accumulation years, then converting profits from your Real Estate into tax free dollars at retirement provides privileged access to cash on demand with non-structured loan repayments... that may even be tax deductible.

When you understand and can emulate the way traditional banks have made money for the past 5,000+ years, you suddenly realize that owning your own tax-advantaged financing system will make your good (Real Estate) investment even better, and that financing may well be more profitable to you than your investment.

Did you spend time learning how to successfully invest in Real Estate? Then you spend time and energy to understand Privatized Banking from someone who has used this concept with REAL deals. For example, with banking, there are two Internal Rates of return, plus the External Rate of Return and the Death Benefit (the Eternal Rate of Return). Learning the benefits and uses of all four, beats solely relying on Real Estate Returns.

Absolutely, it works! I have personally used Infinite Banking to improve cash flow, increase overall rate of return, provide immediate privledged access to capital, while providing a tax free place to return my profits for future use. Granted, there is a lot of mis-information about this concept on the web and it is NOT for everyone. But those willing to invest the time to learn the basics of banking find it wil improve every investment they make. My only regret is that I did not learn about this 30 years ago! It is a concept... don't get hung up on the promoters and thinking it is about insurance. If you do, you won't be able to see what it really is. Think about it... what would a tax free trust be worth to you in your business and to your investments?

First off, I was NOT describing 'the banking system' (and certainly not the banking system you represent which is the banking system that your clients don’t own and more importantly can’t control). I am speaking about the benefits of creating your OWN Banking System…one that THEY control. Second, do you doubt that when your client's buy a house using one of the mortgages your corner bank offers, that they will be paying for another house that will be bigger than the one you financed for them? And what percentage of your clients have you explained the tax advantages and tax gotchas of the mortgage you sell? Mind you, there is nothing wrong with using other people's money... It is just that there is a whole other way that people have not been taught. Becoming your OWN BANKER offers liquidity, use and control that few people have heard of and control that is certainly not possible from their corner banks. And being your own banker when you are purchasing Real Estate is an incredible combination that allows the owner of the bank to make more financing the property than they will make in purchasing and selling the property. You might want to try to understand the concept and consider the possibilities before you dismiss it out of hand. Oh yes, and thank you for the compliment that I am breaking new ground, for that is exactly what Being Your Own Banker does.

I have found that you will pay for education one way or the other. You will either pay up front to attend a class or seminar of some kind (regardless of the quality of the class), or, you will pay for the education through the school of hard knocks. As they say, 'if you think education is expensive, wait to you see what ignorance costs'.

Does anyone have any experiece building a mhp from scratch? What are the gotchas and benefits of from scratch vs buying an existing property?

In short, when you understand the power of the 5,000 year old rules and benefits of the Banking Process and combine those laws with tax advantages of Real Estate and a properly structured IRC Section 7702 contract (which is similar to those of a Roth IRA without the pre-distribution penalties), you now reap the benefits of your Real Estate as well as those benefits the banker gets on those deals where people rely solely on OPM. I will be posting more information shortly to help people understand the power of this process.

To help you begin to understand the power of banking and the importance of Being Your Own Banker, pull out your most recent Truth in Lending Statement which is commonly referred to as Regulation Z, which is part of the Consumer Credit Protection Act. Its purpose is to promote the informed use of consumer credit by requiring disclosures about credit terms and costs. You'll soon see that you are buying a house for you, one for the bank and if you look even closer you'll find you buying a third house for the IRS. Guess which house is bigger? Now wouldn't you like to trade places with the banker? That's what Infinite Banking is all about.

Absolutely, if you have the resources to be your own banker, there IS no better way to invest in Real Estate. You not only get the beneftis of the Real Estate but now you can get the benefits of IBC and earn what the banker earns (which is a whole lot more than you've been told). The only caution I will give you is that you must PROPERLY capitalize your bank AND you MUST have a qualified advisor who is using his own bank to guide you through the process, for banking is a PROCESS, not a product. Also there is no comparision between the benefits of implementing Infinite Banking and using a 401k or an IRA.