The reason why 90 percent of people lost money when the real estate and stock markets began crashing in 2007 is because instead of playing the game of cash flow, they played the game of capital gains.
People who play the game of capital gains are often hoping the price of their home will go up or that the stock market will go up.
However, someone who invests for cash flow does not really care if the market or the price of a house goes up or down.
The money my investments bring in every month is true wealth - not some perceived notion of value that may or may not be true.
Invest for cash flow, and you'll never worry about money.
Invest for cash flow, and you will not be wiped out in boom and buse markets.
Invest for cash flow, and you'll be a rich man.
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Net worth is often measured by capital gains.
For example, if you buy a house for $1 million, technically that is part of your net worth, but if you cannot sell it for $1 million and instead have to sell it for $500,000 and your loan is for $700,000, your net worth is worthless.
