Money Focused Podcast
Helping ordinary people, become extraordinary with MONEY! Each weekly episode is packed with actionable tips, expert insights, and real-world advice to help you grow financially and take control of your future. Whether you’re just starting out or looking to level up your wealth, you’ve found the perfect place. Get ready to transform your financial journey, one episode at a time!
Money Focused Podcast
EP 70 - Generating Wealth with Passive Income Through Syndication
Join me and my guest Bronson Hil as hel breaks down how to achieve passive income through syndication, making apartment investing easier to understand. Bronson shares his journey from a youth pastor to a top figure in real estate, explaining how syndication lets investors team up to fund big projects. He also talks about the hidden challenges of managing rental properties and why scalable investment strategies are the key to true financial freedom. Learn how to boost cash flow, save on taxes, and grow your wealth without giving up personal time. Bronson’s advice on strategic renovations, multifamily investments, and networking with successful people will leave you inspired to take action.
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Welcome back to the Money Focus Podcast. I'm your host, Moses, the mentor, and on this episode I have the pleasure of welcoming on Bronson Hill. He's the founder and CEO of Bronson Equity and he's also an authority on apartment investing, having raised over $40 million for real estate department investing. Having raised over $40 million for real estate, he's also been a general partner in over $200 million worth of real estate around the US, so he's here to help us understand real estate syndication and how it compares to other investment methods. You know I'm excited to understand what he has to say, so let's go.
Speaker 2:Yeah, well, I started out originally I was a youth pastor, so I was, you know, really want to change the world, working with high school students. I did there for about five years, did some overseas kind of service projects and things, and then got into medical device sales, which you will say, well, it's very different than working in ministry or working in, but I was helping people in another way, just another way to help people, and it was a way to kind of grow my career. So I did that for 10 years and it was doing really well, enjoyed, it was winning awards, and there's a lot of medical sales is great. I got to where I was doing heart surgical products and working with cardiologists and just very interesting stuff in the OR, so I'd go in and instruct on how to use this stuff is very interesting, and I was making really good money, like a high six figure, you know, salary and income, and doing really well, and I wanted the thing I didn't have, though and a lot of people can relate, whether in the medical field or any other field it's just that I didn't have control over my time, and I really wanted to have control over, you know, if I want to travel for a week, or I want to take my daughter on a trip, or I want to go somewhere. I want to be able to do that.
Speaker 2:And especially in the medical field, they were just one of a lot of people that could take a lot of time off. A lot of times, if you weren't at work, you didn't get paid. And so my family that was saying this is the golden handcuffs. Why would you really you know, that's how I felt about it right, this is a great job. Why would you ever lead your great job?
Speaker 2:And so I learned about syndication, which basically is a fancy term for just means raising, you know, money from different investors either.
Speaker 2:You know there's kind of two parties One is the operating team or the group that's kind of raising the money, and the other is the, the investors, and then we go, we partner, we do deals together, so the investors get mailbox money, which is the name of my podcast, and so that's kind of you know just some interesting things on how that works.
Speaker 2:So I learned, you know, raise a hundred thousand from one investor through, I started a meetup in Los Angeles, where I live, and then, through some series of just networking and partnerships, I found another person and was able to scale up pretty quickly and we raised $15 million over the next 18 months. And so it's just amazing how there's a lot of people that have a money problem Not that they don't have money, but they have money and they don't know where to put it. They don't know how to invest it. And when you're someone who does the capital side, where you're finding deals and you're bringing people into great deals or you're kind of a part of the operating team, it kind of allows you to get a piece of the upside as people invest along with you.
Speaker 3:For a lot of people that might be listening and watching, you know the idea of you know raising that much money. It just seems like like like a pipe dream, right? It just seems like like like a pipe dream, right. It just seems like like, how, how does that happen? It seemed like you, you noted a little bit about it as to why someone would give you money to invest. But you know, is there a way you can expand on that a little bit more so people can understand like it's not necessarily like they're just giving you money to play with You're, you're actually putting those people in a better position financially by taking on that money, right? So you know, kind of this, paint the picture for them, because if you say I raise a million dollars, people say get out of here Like I should know a millionaire. So help us understand the average person, understand why a syndicated deal can actually produce that amount of money coming in there from you know, ordinary people.
Speaker 2:Yeah, I mean it really is something that kind of surprised me when I first started. I mean I heard about you know, ok, people are doing this, they're raising money, whatever. I was like, well, how does that even work? I mean, like back now, it's been like five years and I raised $40 million. That sounds absolutely insane. $40 million, that's so much money. And it's not like there's just like money sitting in an account or I've got like like it all goes into deals, it goes into things.
Speaker 2:But the reason why someone would do that is, let's say, I'm a physician and I make, you know, and I make over $500,000 a year or $200,000 a year. A lot of people get this where they get into situations where they buy a rental house or two or vacation rental or they're doing a stock trading thing. But then they realize once you own two, three, four houses, it's not passive. Even if you have a property manager, you're active in that. Even if you're not the one doing it. They're calling you and saying, hey, the tenant didn't pay, or hey, we've got to repair, or what do we do? And I tell people, if you can't 10X your current strategy as a passive investor, then you're not actually passive investing right. So if I have three rental houses and if I couldn't pretty immediately go to 30, let's say the capital deploy to do that, but then, like that is a full-time job, not even just to manage it but to asset, manage it right. People are going to ask, hey, what happens? You may have a part-time job at least. So people will sometimes think things are passive, and that's why I talk about my first book, fire Yourself, where it's like how do you actually replace your working income with passive income in three years or less?
Speaker 2:And so a lot of people have a money issue where they're making money and they don't know where to put it, where it can grow wealth without taking up more of their time. And so this is where they had the term financial freedom. You say, what does financial freedom mean? Most people would say well, it really means money. But if you get to the core of it, it's I want more time. Because if you have way more money but you just added another job for yourself, you gave yourself 10, 20, 30 hours more week to do.
Speaker 2:No-transcript sides of it. One is for me I was making good money, but I didn't really have a lot of savings. So I was like well, I'm going to leverage my time to get more wealth and people that have more money than they have time. They can use their wealth to basically start to replace their income, replace their living expenses, get cash flow, get appreciation. But really people come to us for three reasons. We're solving one of three problems, or maybe all three cash flow Helps you cover expenses, helps you retire you can, you know, covering living expenses. Once you do that, you basically are financially free. Even if you don't cover your income, you can cover your living expenses. Second one is appreciation. So you know, property goes up in value. There's a long-term deal, you know. That's one thing. And the last thing is tax benefits. Right, we all pay taxes on things, and particularly if you're a high earn taxes if there's ways you can reduce that. Those are all reasons people come and work with us, I think the biggest thing that you can relate to this cause.
Speaker 3:You were in sales. You can't you can't sell with other people's with your wallet. You know what I'm saying Like, oh, I can't afford that. Or I don't have a million dollars, right, because it sounds like you took your sales background, your access to people who also had money as well, and use that as an opportunity to grow your business.
Speaker 3:So someone, just because you raised $40 million, doesn't necessarily mean you have to have $40 million. It just means that you bring a product or a service to the table that can help someone with money grow their money. So it's just one of those things and my show is really designed for that to really help people with their mindset to understand that some people do struggle to put food on the table and we empathize with them. But there's some people that really have too much money and they don't even know what to do with it. So if you can figure out a solution for that and get them a better return, then you may have the opportunity to get them to invest with you. So I think that's essentially what it sounds like it is.
Speaker 2:Yeah, it really is. It's really. You know, having talked with, you know a lot of wealthy people over 2,500, you know wealthy people to interviews with and just you know these are millionaires who average net worth of 2 million or more. And it's just a lot of people they do. They're in a place where they are trying to figure out how to grow their wealth. And if you're not in that place, then I think you know there's a saying that says you know, make yourself valuable to valuable people. And that really is what helped me to approach that partner and we're able to create this part.
Speaker 2:I wasn't even planning to like, hey, we're gonna do this project, but just think how can I help this person? And so if you're with somebody that has a lot of resources and you're trying to solve a problem, I would pay a lot of money if you could come some solve some problems in my business. Right, you get more clients, you get more things, you produce this, we help in these. Like I get more time back, like I would pay for that. Right, I would pay a lot for that. I'm sure probably you would as well. Like, if we can do things that really create value for other people, especially people that have resources, they're willing to pay Cause.
Speaker 2:At the end of the day, if I could pay somebody and they can solve all of my problems in my business and in my life and I could just do whatever, I could go start another business, I could go travel, I could go, you know, but that's how I've set up my business, where now I have a little bit of both, where I was able to travel six times internationally last year. I have a lot of things. I do a lot of these Spartan trail races and I just do. You know, I do the things that I that really give me life, and so I think we really try to help people design their lives in a way that you know they're able to scale wealth quicker and, you know, be more passive in it.
Speaker 3:Nice, my wife and daughter. They're doing a Spartan race. I'm not confident. Yet they're doing one in North Carolina. Oh nice, it's like October.
Speaker 2:Oh fun. Yeah, they're intense, they're optional, you can do whatever obstacles you feel comfortable with. But I kind of did it and I fell in love with it and now I do it competitively and I haven't done one in a little while because I've been kind of back and forth. You get older, you start getting injured and see you get in good shape. Then you go and then trying to get injured and you just keep doing it, so Cool.
Speaker 3:Cool. Well, let's talk about the market right now. How would you describe the current real estate market for syndication? Is this a good time for people to jump in?
Speaker 2:It's a pretty broad term. It's it's really the legal structure that we use to put different like pool investments together and set it up as what's called a private placement and get the documents to do that, so that we, you know, like when we buy an apartment building, let's say it's a you know $50 million apartment building and we put, you know 10 or $20 million down. Whatever we start, this company that's an LLC and because of this paperwork it's called. It's a syndication that we put together. Now you can do it with multifamily real estate. You can do it with self-storage. You can do it with other things in real estate. You could do it with car washes. We've syndicated a car wash deal, multiple car washes. We've done it within the ATM machine space with an ATM operator. We've done it in oil and gas. We've done it in VC. So we've done it in real estate developments as well. So there's different things people can do and actually people can actually syndicate a coffee farm in South America. I know people have done that. I know guys syndicating like an airplane that they're leasing out. So syndication is kind of the broad term. So I think it depends In real estate.
Speaker 2:We can talk specifically about real estate. I think the last couple of years in real estate has been really challenging for a lot of people. We really haven't done new deals in the last two years up until very recently. We started getting back in. We're seeing some pretty significantly discounted multifamily properties, which is great, so we're seeing more opportunity there. I think that whatever time you're in, I think of the challenges. Sometimes we say, oh, I want to be in at the right time in the market, or is this a good time or bad? I think in any market there's always going to be risks. There's always going to be, you know, positive. There's going to be pluses and minuses. So I think that you know they say the best time to plant a tree was 20 years ago and the second best time is today. So I think, in some ways, like we waste and the grass grows under our feet and we're like, oh, I should have whatever. And I mean the problem too. This is what a lot of people don't talk about.
Speaker 2:I've actually got a free guide for your listeners. It's called how to use inflation to your advantage, and I think inflation is not 3% or 4%. I think it's more like 6, 8, 9%. So if that's the case, if you've got a hundred thousand sitting in a bank, if you wait a year, you're losing six, seven, 8,000 bucks just sitting there. So I'm a big one.
Speaker 2:I like to deploy an assets I find safe. Some people like to kind of like, oh, they'll wait and they'll save and they'll wait for like the perfect time, but I don't think I don't know necessarily that we're going to have another 2008 or 2009. I think they're. So they've created so much new currency. We've seen probably a 50% increase in the currency supply in the last four years, which is insane. And that's why when you go to the store and they've done studies that show this like stuff costs 50% more.
Speaker 2:So if you know that and I really think inflation is going to continue so if you know that, if you buy assets such as real estate, such as other businesses or other sorts of even things like precious metals, whatever the things are, those things will hedge inflation and they'll help you to grow. So I think it is a great time. I think we're going to look back right now. I mean honestly, you look at it this way interest rates are higher, which typically keeps asset prices lower. Well, what happens if and when rates start coming down to more, like you know. Maybe we come down to 5% and we come down to 3%, we come down lower again, which I think at some point we will. That will cause the price of assets to go up, even if it doesn't come down. I think that we're going to know we're going to need more. A lot of you know, whether it's real estate or other sorts of business things, that there will be a hedge against natural inflation. So very long answer, but I think it's definitely a good time.
Speaker 3:Oh, I appreciate it and enlightening me and the audience about syndication as a whole, because when I hear syndication I'm thinking about apartment buildings and stuff like that, but you broke it down that it could be pretty much anything. It's the process of, like you say, gathering the money, so so that's, that's pretty cool. So I appreciate that. When it comes to real estate syndication in particular, what benefits are there versus other you know investment opportunities for someone Like are there any? Do you still get the tax benefits? For example, if you're, if you invest in a syndication, versus like truly like buying a rental property or something like that, what can you kind of outline what opportunities someone may have for a real estate syndication, as opposed to you know saying, hey, I want to go and get me a.
Speaker 2:As opposed to you know saying hey, I want to go and get me a put in the stock market, for example. Yeah, yeah, so, yeah. So real estate in general has a lot of tax benefits. So if you own a house and it's a rental house, even if it's your own house you can depreciate you know, the value of the house over twenty, seven and a half years. You also get a write off on any interest you paid. So there's some natural write offs there. So real estate in general is great.
Speaker 2:Now, multifamily or other larger real estate, there's been crazy additional benefits as well, where up till a couple of years ago you could take up to 100% of the value of what you invested and you can have a loss for year one. That again what we're doing is we're accelerating the depreciations, we're bringing the depreciation forward to this year and then, if you didn't hold it for the number, you just recapture that in the back end. But what it allowed you to do was to get into deals, have gains. Or maybe you sold a house. You know you had a hundred thousand in losses. That are they're not losses, but they're passive losses, so they're paper losses, and so you can use that against a hundred thousand dollar gain on some other investment.
Speaker 2:I'm not a tax person no specific tax advice but there are some, definitely some additional benefits. It's not quite as good as it was before. They've reduced the percentages. Instead of 100 percent depreciation, a lot of times it's like the max is around 60 percent, but again that just means how much you use forward. You still get more in year two and year three and you get more kind of in the future. But yeah, so that's kind of what you know what it looks like. So I would say there definitely are benefits.
Speaker 2:And again, if somebody has a tax issue, there are interesting things that are out there. I mean the hardest you know you can. Basically, if you are what's called a real estate professional, you can have lots of depreciation and you can reduce potentially your own income based on these, this depreciation, or other people's you know, maybe your spouse you can reduce their income. Let's say they're a physician and you're a real estate professional. There's a tax. There's a way that you can actually reduce your taxes there and I can get more into detail. That's a little bit in the weeds, but I was able to reduce my taxable rate from about 25% to about 1% by using that method. Right, there's another method. That's for people that are high earners or just a W-2 earner. Right, that's the hardest income to try to reduce. But in the oil and gas space there's a way that you can reduce. You know, commonly 85%, so you invest and then about 80, 85% is what actually gets reduced against ordinary income and that never recaptures as just like a reduction of income and so you pay less taxes.
Speaker 2:So you obviously want to make sure you're in a good investment and things like that. But I would say, you know, going back to your question comparing single family or doing it yourself versus syndication, I would say it depends really how active you want to be If you want to be the one who's swinging a hammer and cleaning and doing all the stuff yourself, or maybe you have a manager and you're kind of managing them. Some people do it and they do well and they enjoy it. I just think it's a lot of tasks to do and it's a lot of checking on people to make sure they did it, cause you know, no one really is going to care for that asset Like you do.
Speaker 2:Typically if you have a property manager, they're just trying to kind of like do well enough so they don't get fired on us as a property manager and they're trying to do you know not too well, cause maybe you'll sell the house you know it's like. So it's kind of a. It's a little tricky, but when you're in a syndication it does give a lot of other benefits that you know you're. You're passive, you get your time back. There's typically a little more tax benefits and then you get you kind of come in a combination of both. You get appreciation and you get cashflow. Now, if people are investing in single family now or doing themselves typically, you're primarily only going for appreciation, your cashflow. You can get it, but it's very slow, it takes a very long period of time and I can get into specific examples of it. But I think that you're typically going to have a better experience with the tax benefits and cashflow in larger deals, such as larger multifamily deals.
Speaker 3:Well, you know, for me, I invest in Cleveland, so you know I'm there for the cashflow. But I know, yeah, I live in Atlanta. So for anybody who's buying rental properties in Atlanta, they're looking for appreciation. So that's pretty much what you're seeing now. Because it's so hard to get cash flow with rental properties, you have to go to places like Cleveland or Midwest for the most part, but you do have to be a part of it. It's not completely passive, Right, I self-manage my properties, but I still have to ensure that things are being done correctly. So it is a little different. But I do want to ask you about, like, so a syndication. A real estate syndication is still kind of set up for an exit, right? So when someone invests with you, how long does it typically take before you know you guys actually make, sell a property? Is there a sweet spot that you like to do it or just depends on the real estate cycle?
Speaker 2:Yeah. So there's a couple of things that go into that. We typically project around five years and you say, why five years? Well, a lot of loans are kind of five year term or just kind of gives you enough time that if things take longer than you expect or the market has a snag, you don't have to sell when you don't want to sell. The biggest challenge a lot of times and we've seen this the last couple of years if you don't have to sell right now, it's better to hold on to a property often because, at least in the multifamily multifamily across the country there's a lot of, you know, multifamily has dropped 20 to 30% in the value just from rates rising. We haven't seen it in single family, because 40% of single family homes are owned in cash. There's no loan and there's a high percent of maybe of the others, maybe half of the other ones have they you know finances more than a couple of years ago, right, so they've got this super low rate that they can't sell.
Speaker 2:Well, in multifamily is different. All these loans turn over every you know, three to five years. So a lot of them is they'll project out five years and then, um, for example, one group that we're partnered with. They've done over 50 deals the last um five, six years and you know they've had, I think, 11 exits. They've done very well on their exits but they, you know, they have in-house property management and in-house construction. So you can see, they know, hey, well, every time we turn a unit means we'll come in and we'll do a full renovation, we'll have our own group come in as construction, we'll do it. It'll take. This amount of time might take, you know, three months or whatever the timeframe is. And they say, well, and the increase in rent after we do that is $450 a month. Right, so we know, we have all that data. So if we can get done, if they can finish that with, you know, in less than three they say in less than three years they know they can renovate close to 100%. You can never get quickly to 100% because somebody, you know somebody, wants to stay in the unit forever or whatever. But you can get pretty close to 100%. So within two, three years you're at 80 to Um.
Speaker 2:At that point you evaluate and say, well, we've increased the rent this amount. You know rent's gone up on average in the property by 30% or 20% or 50% or whatever that number is, and how did that change the value of the property? Well, if it makes sense at that point to sell, we'd rather sell at two years or at two and a half years than to hold longer and not sell. And just just you know cause, in these type of deals that we do, they're typically Like when you come into a property that's not nice and you make it nicer.
Speaker 2:You think of like a single family flip right, you come to a place that's kind of not very nice, you make it nicer, the value is made as you make it nicer and you're able to increase those rents. So once you've done that, you've added all that value across the different properties or, excuse me, off the different units. It's actually a great time to be able to sell, because that's kind of when you maximize the return. So every year you hold it longer, you're reducing the IRR, you're reducing the returns for those like the more years you hold it.
Speaker 3:Yeah, that's the cool part about commercial is because it's really it's not. It's not measured on comps or anything like that. So, once you've done the work to make it, to optimize the property, like you mentioned, with the rents or you know, I don't know if you start charging for parking or something like that, whatever you know income, the net operating income, if you feel like, hey, we're at, you know 95% or whatever we projected for you, don't have to worry about Moses's apartment building down the street. That's an eyesore, you know, because it's really only about your building. So I think that's pretty cool. So what about, like can anyone invest in a real estate syndication? Or do I have to be, you know, a real estate professional? Do I have to be recognized by the IRS as a someone who is an informed investor? Is it closed in any way?
Speaker 2:Yeah, so there are some deals that require what's called to be an accredited investor. It doesn't mean you get a gold star, it just means you have a certain net worth, typically over a million dollars, not including your primary residence, or it's either two or 300,000 in income per year, depending on if you're married or if you're single. So you know there are different. There are some deals we have that we have some that are for, are not for, investors we can't share. You know a lot of somebody does. We are not able to share unless we have a call. We have some sort of financial relationship with individuals, and so that's kind of how we set it up. So we we have, we have both types of deals. Some of the more alternative stuff, the more business related, or car washes or other, you know, oil and gas. Some of that's only for accredited investors, but then some of the other stuff is is for, you know, the multifamily syndication is for individuals that are just you know are not accredited. So we kind of do different types of deals for different folks.
Speaker 3:I really don't understand why that's the case, though, but I guess that's the rule, you know, but I think I think it shouldn't be.
Speaker 2:I mean, they've talked about doing the SEC start up to make it like a test where, instead of it being by net worth and income, to say you take a test and then, if you pass this test, you show the level of sophistication. I think it'd be way better. But I think that there also is a side to if somebody like if somebody's got a two million dollar net worth and they're invested 50k into a deal that's very different than someone's got 100k or 200k but, I guess, just a much higher amount of their net worth. So I do understand that. But you know, we all know this that the amount of money you have doesn't mean you're more sophisticated, right, it just means you have more money. We all know people that have had money and when you look at the studies against people that are are are, uh, lottery winners or even sometimes professional athletes, like I said, they're not really trained, they just kind of were get, almost got this money out of nowhere and it's like how do I, how do I do this? Right?
Speaker 3:But you know, on the flip side, you'll, you'll, you know what's stopping me from, you know, going in the stock market and and putting money in the brokerage account market and and putting money in the brokerage account, so there's nothing. So, buying bitcoin, yeah, it was like, yeah, do it bitcoin and you know all this other stuff. So, um, but it's good that there there are options, but it's could be limited on what you can actually offer to someone who's not in that, uh, it doesn't fit that criteria. Yeah, and that's exactly. That's not a. That, uh, it doesn't fit that criteria. Yeah, and that's not your rule. That's, that's a, um, a government rule correct.
Speaker 2:Yeah, right, yeah, and it's something they've taught. They talk, they're going to, they may, they may change. You take the test. You are accredited Doesn't mean you can get into any deal at that point. You still have some net worth requirements and other things. But I've met people that, based on the definition I share with you, some net worth requirements and other things, but I've met people that, based on the definition I share with you, some people that are retired, that or you know they don't make enough, but they have a net worth of like 1.5 million but they're still not considered accredited because most of it's in their house. So just even the definitions are weird. So I don't know, I think eventually they, they may, hopefully they'll change it, because it just doesn't always make sense for a lot of people.
Speaker 3:Let's talk a little bit about yield. So you know it's a reason why people give you this money You're returning their investment. So what can someone typically expect from a real estate syndication deal? I know you said within five years is like your typical turnaround, but is there a target ROI that you look for for your investors?
Speaker 2:I think it depends on the deal. It depends on the type of deal. We have some that are, yeah, I would say, generally a real estate deal. I'll just kind of give a ballpark. Let's say it's a multifamily deal, that's, you know, a hundred units or more and it's in typically by somewhere in the Southeast where there's a lot of growth, so kind of like the area you're in Atlanta or other areas. We're doing stuff in the Carolinas and in Texas and Florida.
Speaker 2:You know, let's say we have a deal, we want to see that as we project out the next five years, that we, you know, we can get at least a 15% average annual return. So sometimes it's a little higher than that, it's a little lower, but generally that's kind of a decent return. And if you're at 15% per years you should double your money right. So I think if we can find something that's about 1.8 to two times the money, that's called an equity multiple. So where does the? If I invest a hundred thousand in this, I want it to be at least 180 to 200,000 when we're done. So some of that will come through cashflow, some will come through appreciation and so.
Speaker 2:But again, it depends on the deal. Some deals are considered more conservative, a little more safe, solid. Maybe they're a 12% and there's some that are more aggressive, that are 25%. So it just kind of varies depending on the deal, and so you have to look at. We've done some development stuff which is higher return, but there's a little more risk there because it's development you don't have. You know, you're trying to build this thing straight out and it's a little more work to kind of get that going.
Speaker 3:When you do the math. The simple math is you know at the end of the day, you know if you're getting 12 to 15 percent return, where else can you put that money? I mean, you can have a 12 to 15 percent return on the stock market you could but it's going to be volatile. I think from the long stretch of time the averages are roughly about. You hear anywhere from like 7% to 10% or something like that. But this is a shorter period. It's a true asset. You know that you're owning and you can nearly double your money within you know a relatively short amount of time. So it just really submits why people would be open to investing in a syndication with you.
Speaker 2:So it makes sense, right? Yeah, I think it is. If you look at historical commercial multifamily, other commercial real estate, over a long period of time it significantly outperformed stocks and of course you get the benefits, the tax benefits and then when you buy and sell a stock, every time unless you're in a retirement account you're paying a pretty substantial fee every time, especially if it's short term, if you have it more than a year, you pay maybe 15, 20 percent, but otherwise it's much, maybe 30 percent, maybe much higher, depending on your tax rate. So I think you know anything you could do to try to find things outside of Wall Street. There's obviously a little more knowledge, a little more things you have to educate yourself on, but I just think that you know Wall Street and these are the options that are really people are educated on is do a 401k, get your money in stocks and bonds, and I just, I just don't see these as very safe investments. I see them as really one sided to really benefit Wall Street. No matter how, how you, how you do with it. If you lose half your money, they still get paid and it's just. It's.
Speaker 2:It's to me, it's why you know we, that's why the educational side and that's in my book rich brain I talk about is like there are specific wealth habits and things that wealthy people do, and one of them is they have a like learning as a job or never-ending learning. They're actually so committed to it. You know a lot of like mark cuban warren buffett open for these people read, you know, hour or two or more a day, like it's just it's tons and tons of reading. It's not just business, not just investing, it's all kinds of different things and what it does is it really helps to bring growth and learning and how to make money and how to grow. So I think that I think all this stuff is super and shows like this are super valuable as well.
Speaker 3:Moses Well you start talking about your, your one of your books but right behind you let's talk a little bit about fire yourself, because that's pretty much inspirational to me, because I still have a corporate career as well, so I'm blessed to have a great role, but at the end of the day, you know I'm looking to fire myself. Yeah, you know in there. So talk to us about the fire yourself, and then a little bit more about your latest book as well.
Speaker 2:Yeah, yeah. So fire yourself the working. The subtitle is replace your working income with passive income in three years or less. And just how would someone do that If they're making money? How would they? How would they go about that If I'm? If I'm somebody who's only done stocks or doesn't really know a whole lot of investing? This is just a great guide on how do you get started and what are the different assets that are out there and how do you vet and deal. I have something in the book called the deal funnel, right Of the deal flow funnel of how do you go. I you know, there's kind of a method I use to analyze the market or whatever that market is, whether it's real estate or ATM machines or car washes, or how do you know that's a good market to be in, who's the operator you're working with, and then what's the actual deal and how does that make sense and what are the ways you can make money and, more importantly, what's the one or two primary risks, how you can lose money. So those are all things that are important. So that book yeah, it's been an Amazon bestseller I'd love to the ones available on Amazon.
Speaker 2:This other book here is Rich Brain, which is how the wealthy change their brain to change their bank accounts. I'm in the process of writing this right now and, you know, again interviewing 2,500 millionaires, over 2,500 millionaires. I've learned that there's a few things that really are very different about how wealthy people act and the things they believe. And there's a belief, moses, that people are either wealthy they come from money or they don't, but the facts are actually very different. In 2019, fidelity Investments did a study and found 86% of millionaires are self-made, so that means that they did not come from money. So if that's the case, you think that's just kind of almost. It was very shocking. It's still shocking to me Nine out of 10, almost people that are millionaires, they didn't come from it.
Speaker 2:So there are things that they learn. There are things that are habits that they learn to do, and there's a way of you know when you change your actions, you actually change your brain. If you take 10 deep breaths, they actually can measure in neuroplasticity in your brain. It actually has changed the way that your brain functions. So it's the idea. We are what we repeatedly do. So if you want to change the outcome, you change the action, which changes your brain. So this is called rich brain, cause it kind of has to. How do we go from here to there, nice, when? When is the book coming out.
Speaker 2:Uh, hopefully this fall. So I'm in the process of writing it, so I will keep you posted and when. Uh, you know as soon as I typing as fast as I can, but you know, trying to trying to get the information out there, but it's been a lot of fun.
Speaker 3:Gotcha. No, that sounds great. I mean 2,500 people. Yeah, it's a lot of, it's a lot of. Uh, you know, knowledge, share knowledge here going on. So I definitely want to tap into that for sure. So keep me posted. Yeah, for sure, yeah. So what final advice or thoughts do you have for the audience about anything passive income or even just the syndication, real estate syndication game in particular that you would like to share, and then also close us out with the best way to reach you your website, social media, et cetera.
Speaker 2:Yeah, sure Sounds good. Yeah, I think there's a few things from the book. I'll just share one thing that's really valuable. You know rich brain, but the idea is we're the average of the five people we spend the most time with, and so one of the intentional things I call it net worthing. Right, it's not just networking, it's net worthing. But it's been said, how you treat your network is how you develop your net worth, and so if I'm the average of the five people I want to spend I spend the most time with.
Speaker 2:If I looked at you as a listener, as an individual, I could probably say this is you know, if I talk to your five closest friends or family or whatever people you spend your time with, it would be like I could probably figure out what your net worth generally is. I can figure out what sort of health habits you have, like a fair, what sort of spiritual practices were like. So if you want to change in those areas, like for me when I started running Spartan races, I had to get around, I hired a coach or I get on somebody who's who's literally won like world championships at Spartan racing, and so then I started, like me, with him and it's been. It's been great and it's it's caused changes in my body and it just, you know, as I get older. It's trying to just really maintain and not injure myself as well. But it's the same with wealth. If I want to grow my wealth, if I'm the wealthiest person in my family or my community, then it's going to be hard for me to grow my wealth beyond that. I mean, I can still try and do what I do. But if I want to get to like 10 X, I've got to get in the room with people that are 10 X or a hundred X of my net worth and by doing that, just by what they're saying, they're going to be able to share all kinds of things that are going to help me get there. So I think that's probably the biggest tip If people want to reach out.
Speaker 2:I really this has been a great show. Man you got can check out my book Fire Yourself, which is on Amazon. So you can certainly check that out. And then I have this guide that is how to use inflation to your advantage. So if you're tired of paying more at the grocery store and the pain at the pump, you can text the word inflation to 33777. So the word inflation, you can text it to 33777. And it's this 40 page guide that just basically gives all these ways that are not even talked about, even some of the methods on here of how do you actually benefit when there's inflation and again, I think inflation is actually substantially higher than what it's being reported as. But that's a gift to your listeners. But it's been a lot of fun being here. I'm on all the social medias. You can search Bronson Hill my podcast, social media as you search Bronson Hill my show. My podcast is the Mailbox Money Show and it's really great to be on the show with you today, moses.
Speaker 3:Thank you, thank you. And you know inflation is such a buzzword right now and everybody's feeling it, so that free guide that you're providing to help people actually benefit from it is game changing. So I'm definitely going to do it myself. So I appreciate you, bronson. Thanks brother.
