Crypto currency is a booming asset and it’s likely not going anywhere! How can you utilize the number one asset for a decade to buy real estate?
In this video, I am going to discuss how to Leverage Crypto currency to purchase real estate. I am discussing two tested methods that worked for me!
Welcome back guys bitcoinvoceti here teaching you today exactly how to leverage cryptocurrency to buy real estate so if you guys know anything about me I’m a big big advocate on building generational wealth and doing that through real estate but if you’ve been under the sun the last 12 days or really the last 12 months you know that cryptocurrency is here and it is likely not going anywhere all right.
Very similar to what we saw you know about 20 21 years ago in the dot com boom cryptocurrency is exploding in fact it’s the number one asset performing class in the last decade and again it’s probably not going anywhere there’s a lot of big institutional money like tesla there’s rumors about Facebook and all these massive hedge funds that are putting 5 10 15 20 of their company’s net worth into bitcoin and all these other different coins and and that’s not the point of this video.
The point of this video is how can we leverage the number one asset performing class like cryptocurrency to buy real estate to buy real assets that are paying you every single month that is yeah maybe not gonna give you hundreds or thousands of percent of return.
It’s potentially a little bit more safe and secure more proven over time and ultimately you have potentially more tax advantages as well all right so outside and investing into yourself and investing in a real estate cryptocurrency and other asset classes are phenomenal because you can leverage those asset classes to continue to buy and invest into what you know and who you know so for me yes I do understand quite a bit about cryptocurrency but I don’t understand nearly as much as I do about business or real estate okay.
So I’m gonna go over two specific ways that I’ve been able to leverage my cryptocurrency accounts investing the last couple years to build an eight-figure real estate portfolio and the first way that you can leverage cryptocurrency to buy real estate is actually using that specific coin so if you’re aware there’s over 8,000 different cryptocurrency coins and let’s just use bitcoin in this example you can go to the seller and ask Mr. Johnny Appleseed hey you want 200,000 for your home.
I will give you the equivalent of that in bitcoin and really what you have to do to make sure that you can facilitate that process legally and it’s all done is number one hire a real estate attorney okay if you don’t have a real estate attorney you definitely should get one because they can help facilitate a lot of different things outside of just the purchase agreement but they’ll be able to put all of that into the purchase agreement stating I Tyler ‘bitcoin’ Bossetti is buying Johnny Appleseed’s property at 123 main street utilizing bitcoin okay.
The second step where that real estate attorney will help you is making sure the title company and their attorneys will approve of that transaction okay and that could be super advantageous for many reasons because number one it could be more time and cost effective to buy that property using bitcoin versus having to go through like a loan process pla paying closing fees with the lender and all these different things but number two it could be a phenomenal negotiating tactic.
If that seller is you know likely educated on cryptocurrency and if not you can maybe get them up to speed but the point is it could be a phenomenal negotiating tactic considering we have a huge supply and demand issue with real estate hence why prices are skyrocketing as well where that seller may say hey look he’s willing to give me 200,000 a bitcoin and they may know that bitcoin could go to 200 a coin or a million a coin.
No one knows at the end of the day but that seller may know that’s the best asset performing class in the last decade and so really that 200,000 could be worth 400,000 or 4 million in a day and a year and 10 years regardless that just may be what they prefer and then most importantly is you’re beating your competition right like most transactions that are made are more emotional than you think.
Especially buying a home that you’re going to live in so if you’ve been like me and you’ve been buying a bitcoin a day for the last couple of years you may be sitting on a pretty hefty stack or if it’s cash sitting in your account collecting dust and not earning basically any interest at all you could put that that bitcoin or that cryptocurrency into step number two which is an actual wallet that will pay you interest on that specific crypto.
So again for me I have a fair amount of bitcoin and so what I do is I utilize it as a store value that’s its purpose at the end of the day is using bitcoin as a store value to have it go sit in this wallet or this exchange and earn me you know six to eight percent every single year versus my bank account that only earns me point zero one percent you know.
Chase you need to step up those interest rates my man whoever’s you know drawing that up behind the scenes let him know bitcoin both said he’s moving all his money out of there and he’s buying some real assets okay but what I do is I take my bitcoin.
I put it into a wallet like Celsius you can use block fi I prefer Celsius obviously you know use whoever you wish there’s some resources below do your own research but in other words I’ll have let’s say a hundred thousand dollars a bitcoin or a million or 100 million whatever that number is.
I’ll have it earn interest month after month year after year and then I will borrow against that crypto I can actually go get a loan against my actual cash value and typically they’ll lend about up to fifty percent loan to value so if there’s a hundred thousand of bitcoin in there right as far as the worth of USD I can go get a fifty thousand dollar cash USD loan deposited into my chase account and that 50,000 can be the down payment plus the closing cost for that 200,000 purchase and then I can go use a mortgage lender to give me the rest of the 150k all right.
Now yes there’s an interest rate attached to the loan but the beauty of that is that could be a tax deduction right so the interest that I’m earning and the the interest that I’m paying on the actual loan could be essentially a wash at the end of the day and I’m borrowing at a healthy loan to value which I think anything less than 50 is very healthy if bitcoin drops overnight.
You’re not over leveraged and the whole point of leverage in general whether it’s credit whether it’s crypto whatever it is the whole point of using debt or leverage is to go buy more cash flow I’m borrowing this fifty thousand dollars against my hundred thousand dollar bitcoin let’s say is because this fifty thousand dollars is going to go get me 12, 15, 20 and net cash flow with this real estate property have a ton of tax advantages and that 200,000 home is going to appreciate over time.
So in reality what what makes sense in most circumstances is leveraging different asset classes to number one be diversified but number two you have to become educated I saw that cryptocurrency a couple years ago was potentially going to be the biggest wealth transfer that we ever see in our lifetime so I started buying bitcoin I started buying and and I started putting it into accounts that I can earn massive interest and I can borrow against that value because I don’t plan on selling that bitcoin forever like I’m just gonna let it ride out right.
But what you can also do is you can pay that loan off right get the collateral back which is the bitcoin in this example and you know buy the dip or you can move things around so again the two ways that you can use cryptocurrency is number one you know get a real estate attorney and actually use the the crypto itself and exchange the crypto itself and make sure that the seller understands this is a huge opportunity for them,
It’s more time and cost effective for you but then secondly you can go put it in exchanges and wallets that actually pay you interest right pay you a substantial amount of interest sometimes six seven eight nine times more than what your bank will and you can still leverage that asset and borrow against it and have tax advantages to go buy again more assets okay.
So if you have any questions and you guys want to learn other ways to use cryptocurrency to buy real assets like real estate drop a comment below like the video send this to elon musk because he just tanked the price of bitcoin but I promise you it is likely going to go up because you know bitcoin is not here to be used as necessarily the world currency or the the US currency.
It’s there to be used as a store of value it’s there to sit in an account that you can leverage similar to like gold right it’s referenced as digital gold versus the other coins over 8,000 in particular the cream is gonna rise to the top there’s probably going to be like I don’t know maybe 20 to 25 coins that actually are here to stay and that actually have good projects behind the scene that’s solving real-world problems and one of those are likely going to be our currency.
I don’t know you don’t know elon doesn’t know but at the end of the day I love bitcoin because the store value it’s money that I would just have collecting dust in my bank account so I might as well go earn interest I might as well borrow against it and buy more cash flow into an asset that I really really know which is real estate.
So friendly reminder invest in what you know who you know make sure you buy some bitcoin so you can be Mr. Bitcoin Bossetti himself and again if you guys got value go ahead and subscribe to my channel drop any questions you have below in the comments and let’s connect on Instagram I’m gonna teach you guys exactly how to build generational wealth see you in the next video.