Behind the Beard | March 23, 2022

Something I'm Reading: 

I’m still working through “Winning the War in Your Mind” by Craig Groeschel which I mentioned last week. I also just started the fiction book “The Extinction Trials” by AG Riddle. Enjoying both a lot!

Something I Teach

One of my friends is obsessed with getting the cheapest gas. He complains about gas prices daily, drives across town to save $0.10, and is always on the hunt for ways to save money on gas. And you know what? He does. He saves a lot on gas.  Because - the problems we focus on we typically solve.  I have another friend who couldn’t care less about gas prices, but is focused intently on having the body of a Greek god. And guess what? He does.  Because again, we typically solve the problems we focus (obsess) about.  So, the question I have for you, is this: what are YOU focused intently on? What problem(s) are pinging around in your subconscious even when you’re unaware? Knowing that whatever problem you give your mind to solve, it will, are your questions to the caliber you want them to be? Because the quality of your questions will dictate the quality of your life. 

Something I Photographed:

Each week I share a photo I snapped in the previous week. Sometimes serious. Sometimes random and funny. Maybe a selfie once in a while. Just because.

Go-karting in Tampa with some great friends :)

Something I'm Excited About:

After a great weekend celebrating (and being in) a wedding for my good friend and fellow real estate investor Darren Sager, my family is going to spend a few days at Disney! Also watched Cirque du Soleil - Drawn to Life, at Disney Springs last night. Fantastic show - probably the best live show I’ve ever seen.

Something I Can Answer:

Every week, I answer a question texted in by you! Reply to this text with your question to be featured in a future Behind the Beard.

Question: “Should one do a cash out refi on their primary home if your mortgage payment goes up significantly even though significant equity is extracted tax-free?”

If you can easily handle the increased payment, I like the idea of a cash-out refinance because of the super-low interest rates that you’re locking in at a fixed rate. And its tax-free so you can pull that money out to go and invest in something else.

If you’re pulling out that money to buy a new truck or a new camper, then that’s not wise. But if you’re using those funds to purchase an asset, then you’re gaining money. You’re borrowing money at 3% or 4% and hopefully making 10-15% on that money and that’s a spread you can do all day long. If your payment goes up by $500 a month but your cash flow goes up by $1,000 because you used that equity to go buy a new property then that’s not a loss of $500. That’s a gain of $500! That’s how I think of it.

Your Friend,

P.S. Have a question you want answered by me? Reply to this text with your question - I pick one to answer each week in Behind the Beard and do my best to reply to others directly via text.