What's going on guys, It's Ricky with Techbook Solutions and I'm here with my little sister Clarissa My little sister just became an active real estate agent in the Arizona area and she thought it would be fun uh to kind of make a video talking about what's a better investment for 2023? Is it real estate or is it investing in the stock market? So I really hope that you guys enjoyed this video. If you guys do, please make sure you guys drop a thumbs up. And if you want to see more of these kinds of videos, then again, make sure you subscribe and comment down below what you guys would like to see next. So I'll let you start off um, why do you believe that investing in real estate for 2023 is the better way to go? So number one: I Think that real estate is a great investment because historically it actually appreciates over time and of course this depends on the area and local demand levels.

But you really have a solid appreciation with real estate, which I think is great. So I think traditionally, uh, real estate over a long period of time does make a great investment, right? No question about it. I Don't see that to be a huge difference from the stock market because traditionally the stock market doesn't matter how bad every crash has been, even talking about 2008. Eventually, it's not an if the market will recover to when right? One of the things that I want to talk about is one of the reasons I see the stock market to be a better investment right? now is asking how much money do you have to work with, right? If you're someone that has five Ten Twenty thousand dollars I Mean investing in real estate? what can you do with those Five Ten Twenty thousand dollars if you don't have a two year work history to qualify for a property.

um, and all those different other moving parts that you would normally or traditionally need to buy a real estate property right in the stock market. I Mean you can click the fifth Link in the description of this video download: Weeble It's free, deposit your funds just like you would with any normal bank account and you can begin to invest in whatever you want. Obviously, with great uh, with something being so accessible comes great responsibility. But let me ask you this: Do you know how much Amazon's stuck offers right now in Roi Do you know how much Apple stock offers right now in RI Do you know how much Tesla stock offers in Roi Right now? The reason I ask you this is: do you think that Apple stock or Amazon stock? Do you think those companies will fail? No.

Okay, so if those companies offer right now, Amazon let's use that as an example. If Amazon stock were to offer over a hundred percent ROI Right now, why would that not be a better investment than real estate If you have ten thousand dollars? Yeah, ten thousand dollars to work with, why would that not be a better investment if markets always recover? Just like real estate, but also just like the stock market markets always recover. You just said, do you think Amazon stock It's going to go bankrupt? No, it's probably one of the most valuable companies that's publicly traded. It will eventually recover and if previous all-time highs and from the price point route right now I have it right here in the screen just so you can see it.

It's at 82 dollars a share and if we look at it based off of its current value, it's not that it can't lose more of its value, right? Things can always get cheaper just like real estate, but based off of previous all-time highs that you see at 188 and at current price levels, it offers 128. Ri So my question to you Clarissa is what investment in real estate would offer me or yield me a 128 Roi in 2023. Okay, well that's a good question. I Don't you know I know for real estate Investments You do need a lot more money.

Uh, down. So if you have five thousand dollars to work with, you know short-term Investments like stocks are probably going to be better for you. But for real estate, real estate is a long-term investment and it's one of the safer Investments that you can make. Uh, so if you're wanting to diversify your portfolio and you know, add in a Long-term investment that is really going to appreciate over time, then I would recommend doing real estate.

and also if you wanted to get into fix and flips like someone I know, um that would be able to, you know, generate income for you at a much faster rate. You just have to have that money on hand. Now one of the things that I want to say on your side, Um, so close at this Uh 2022 is her first year becoming a licensed real estate agent. So how old are you 21 or 22? 22.

and again, um, obviously she has a lot to learn and and the thing that I love about her is that, um, she's trying right? She's obviously going to fail a lot. But one of the things that I wanted to talk about uh, when it comes down to the real estate side is I talked about the stock market where you know if you have five, ten, twenty thousand dollars, what good is that going to do you in the real estate side, But if you do have it to your work history, if you do have good credit, you know there are at least in Arizona a first-time homebuyer programs where you can try to put as as little down as possible right now because it's such a buyer's market. Now you can ask for sellers concessions right? So I am also invested in real estate and I also want to talk about the incentives? Um, you know of what might happen in 2023? Uh, with that being said, Um, even if you do only have 10 or 20 000 depending on the area that you live in, you can ask for seller concessions which pretty much means credits uh, from the seller to cover your closing costs. It can buy down points.

Uh, it can make it more affordable for you because if you qualify for the loan, all all all you should really be focused on Beyond that point is trying to minimize how much money you put into the actual Um property itself. and by those seller concessions the first time. home buyer programs and or just buying a cheaper property where you know 10 or 20 percent is equivalent to the 10 or 20 000 then so be it. So I don't want to say that if you only have 10 or 20 000 that it's impossible to buy your first home more now than ever before.

I Think it makes more sense now if you have the money, no, no, if it makes more sense Now, if you have the work history and if you have the good credit and if you have a couple thousand dollars saved to start getting connected with the real estate agent to start looking for deals you will never find and I don't want to say never, it will be very challenging to find a good deal in a very bullish Market Uh 2021 or very early 2022 I mean properties we're selling above what they were worth and what they were being at to sell for, right? Uh, that's that's it was. It was an insane time. That being said, now we've seen this correction. You know owners and sellers are getting a little bit more distressed and this is where getting plugged in with a good real estate agent that understands your needs, understands what you can afford um, and that you're looking for a good deal.

Now is a time where you can really leverage that. Um, where where buyers are actually valued, buyers are not valued in a seller's market and that's when property values are selling Beyond ask values. So I just wanted to cover that right that you don't need. All you don't always need a ton of money, there are programs available and I just want to make sure that that's uh spoken about.

So um, the other thing that I want to talk about when it comes down to, um, the stock market is I use like Amazon stock I used uh, Tesla stock. A little bit more risky obviously, especially with what's been going on. Uh, but even NASDAQ indexes, right? So traditionally, when I talk about the market always recovering, it's asking yourself a simple question if you're too busy with your job, if you feel like you just don't want to over complicate your investing or your Investments a great way to be invested is to be invested in index funds. There's three main overall major indexes.

and that's the NASDAQ that has a big focus on Tech. There's the S P 500, which is considered the top 500 most valuable companies that's publicly traded, And then there's the Dow Jones which is more on the industrial side of things. These indexes. when you invest into either the actual ETF itself, you're investing in these indexes and whatever they're Diversified in.

So therefore, if markets are down but you want to be Diversified but you don't want to own 50 different stocks, then maybe buying an S P, 500, Index or ETF fund, right? an ETF would be a value for you. Because at that point if you buy like spy, that's the S P 500, ETF I can buy spy. And when the S P 500 Market goes up, then so does Spy and I don't have to be invested in 5, 10, 20, or 500 different Stocks by simply investing in that ETF It at least allows me to be as Diversified as whatever the S P 500 is. and it's a great way, right? Just like Warren Buffett says, be fearful when others are greedy and be greedy when others are fearful.

And there's no question that a lot of people are fearful right now and again. That's why I Think investing in those major indexes is great for long-term investors, and why I Think real estate is great um is because it provides an inflationary hedge and this is a huge issue right now. Inflation is through the roof and ongoing increases in inflation tend to cut into earnings generated from most forms of Investments And historically this has not been the case for Real Estate It actually tends to appreciate at a rate faster than inflation, which is amazing. Another point is that real estate can be purchased at below market prices like Ricky was saying.

uh, you know right now is more of a buyer's market. So being able to have the sellers pay down your um like seller concessions and that kind of stuff and being able to have more negotiating power as well as not having so much competition with other buyers in the market right now because everyone's so scared is absolutely amazing. And having a realtor as an advisor like myself who really specializes in the housing market is absolutely key. and I'm being serious I can help you find a good deal for free and I can save you thousands.

Okay, and this is for free, Contact me. Um, yeah. so if you are in the Arizona area and you wanted to, uh, reach out or connect with, clear some I'll put her Instagram down below she has a real estate Instagram Um, but at the end of it I mean if if you don't think you have what it takes to be qualified right now just like when I was first I was back in 2015. I was 20 years old dude I had no idea that I could buy a you know, afford to buy a house I Remember when I told my parents or I told my friends, it just seemed like such a foreign thing, right? Um, but even if you can't afford to do it right now or you don't have that to your work history or you don't have that credit score, How are you supposed to work towards a goal if you have no plan of action, right? And regardless I mean with a real estate agent if you choose to go with her or not.

I personally really don't care? Um, but I think the biggest thing that you need to understand is that if you are actually trying to work towards your goal, if your goal for 2023 is hey, I Want to buy my first investment property I Want to buy my first house I Want to buy my first rental my first first short-term rental I Want to buy my first flip? How are you supposed to do any of that if you don't even know what you qualify for and or why you don't qualify. So this is something that I encourage for everybody is that get in contact with a good real estate agent, get in contact with a good lender and begin to ask those difficult questions. It is going to make you feel uncomfortable, but you're at least going to know where your credit score is at and what it needs to be. You're going to know where your income is at and where it needs to be.

You're going to need to know what you have saved and what you're going to need to have saved. At that point, you at least have a road map to get towards your goal and that's one step closer than you were before. Again, people try to over complicate their goals. Uh, but again.

uh, the idea of stress often comes from, you know, trying to avoid things that shouldn't be avoided. Um, when it comes down one of the last things that I want to say about uh, the stock market and why I think um I Want to say two last things on why I think it's a better opportunity In 2023, we have seen markets aggressively correct themselves already alone in 2022. Real Estate Traditionally just like the way that it goes up. it's more conservative on the way down.

It's also more conservative so as inflation is rising as interest rates are rising, it affects real estate at a much slower pace. For the stock market, it's instant. So the stock market I would say is closer to the bottom than it is to the top real estate We still don't know, right? And because of things being so ideal for the stock market I would say the best time to prepare for the market to recover is before it actually recovers. Preparing does not mean that you have to buy or be invested right now.

Just like I said, it's about creating a plan of action. So understanding that hey, when the stock market does begin to recover, do you have a trading account open? Do you have your your funds available in that account? Do you have your watch list set? Do you have your alerts head? Do you know how to buy the stock? Do you know how to sell it right? Having that entire understanding of what to do and what not to do prior to the market, actually recovering is something that needs to be done in advance. And this is why I'm saying for 2023 because of how oversold the markets are, even if it takes a little bit longer for markets to recover, first thing you can short the market on the way down. Can you short real estate on the way down? You can't.

No, you definitely can't. You'll lose money, right? But the great thing about the stock market is if you choose to do it this way is I've had one of my biggest months in the month in the year of 2022 shorting the NASDAQ market so as the market sold off I made money, right? That's obviously a much more aggressive way to trade in the market. but again, now is the time markets are very oversold. so regardless if you choose to go with the real estate set of things which is more traditional or with the stock market side of the things all I ever encourage any of our beginner investors in whatever Market you choose to partake in is don't bite down more than you can choose or don't bite down more than you can shoot.

And what I mean by that is, pick a market, learn about it, stay calculated, and stay light. It doesn't matter if you only buy one share this time, buying one share of whatever company you find to be the most valuable is better than buying no shares, right? I'm tired of. you know, Like all the people that always talk about, well, you know this year is my year. This year is my year.

2023 is my year. It's like all the people that go to the gym for the first month to two months of of the new year, right? Guess what? How many of them are there? Six or eight months after a very small amount, right? We all know this about just humans in general. Do not be someone that sets unrealistic expectations. The hardest part is always just getting started.

So again, if you want to open up your trading account, it's going to be the fifth. Link in the description. it is free and if you deposit one dollar, it would earn you a total of five to six free stocks just by using my link, you get six free stocks I Use I get one free stock and again, that is the trading application that I use every single day to trade live. So if you have any questions before you get started, you can shoot me a direct message via Discord and that's that first link in the description or shoot me a direct message via Instagram And that's that third link down below.

Do you have anything else you want to say? Yes, The last thing I wanted to touch on Is That real estate allows for active investment control, and most investors simply buy stocks and bonds which typically has a higher risk of them going up and down without them really having any control over the proceeds. And this is not the case with real estate because it's a lot more tangible and so as an active investor, you're able to search for the best deals, control the costs. If you're going the rental route, you can judge which tenants are going to be good or not, and then you're able to decide when you want to sell. So by participating in every aspect of the investment process, you can impose a lot more control over how much you earn.

Agree to disagree. I Do agree that because these markets move slower on the real estate side of things, yes, you do normally have more control, but I also know a lot of real estate flippers that sure, they calculated a good entry for their price. but then markets began to shift as interest rates began to go up. and then guess what, They lost fifty? a hundred thousand dollars And it's not like, hey, they have more control they can sell at any time.

No, they can't because guess what, Normally or traditionally, it takes 30 to 40 days. 45 days for the market, uh or for the title companies to close on that property. If I'm trying to manage or mitigate my risk in the stock market, I can have a stop loss and at one percent I can count losses and it's instant. and then I can re-enter a short position.

So just like anything right, you need to be calculated. and regardless if you choose something to be a little bit more on the traditional side, which I think is a great Outlet even if you choose something to be a little bit more on the risky side which is obviously the stock market just like we talked about. Do not put yourself in a position in which you cannot tolerate, right? If you begin investing very heavily in real estate and or very heavily in the stock market at one point or another, you're going to bite down more than you can chew and it's going to be a very uncomfortable experience. So again, especially as you're just getting started, focus on just getting started, focusing on what's important and that's actually understanding what you are doing on either side of things.

So again, I Appreciate you guys time. I Hope that you guys enjoyed this video. Please make sure you drop a thumbs up again if you want to connect with Clarissa I'm going to put your information down below and if you have any questions again, you can send me a direct message via Instagram I am verified. That's my third link down below.

That is my only Instagram account. Every other Instagram account that pretends to be me I can guarantee you is fake I Do trade live every single day. So I don't just post my profits or my losses. but if you actually want to see this happen in real time I Do this every single day exclusively for my Learn Plan Profit group and that's that second link in the description down below.

Appreciate your time like always. Let's make sure that we end the year on our green now. Take it easy team!.