Unlocking the Secret to Business Credit Stacking & Real Estate Wealth

What's up guys, so today I wanted to discuss the exact steps you can take to buy either your first homestead property, first co-living, Airbnb, whatever you want to call it. I want to go over a strategy that I've personally used. Before we dive into it though, I just want to make well aware to everyone, I'm not saying you should do this. I'm saying this is something I did, it is aggressive, and it's not for most people. So now that I've made that very clear, it's probably not for you if you're watching this, I'm going to go ahead and dive into it. So the first source I didn't have, but it exists now, it's a way to find sub 2 deals. So this is relatively new, but it already has a few hundred properties listed on it. So right here, this is founded by Pace Morby, it's called creativelisting.com. So I'll have this link in the description, or you can just type it, it doesn't matter to me at all. And so on here, there's a variety all around the country, Texas, Florida, Nevada, look at that, Hawaii, New Orleans, all over, Indiana, California, another Florida. So here's an excellent place, it's going to be, you can see cash, sub 2, seller financing, it's going to be mostly those three. And you could filter right here on different states. I mean, I like Hawaii, I'm going to be going, I go there a couple of times a year. So let's just pretend we're going to buy one in Hawaii. So we have Waianae, west side of Oahu. I don't know which island this is on, big island or. So let's pretend we're going to buy this one. Now, the obvious question is, how do we buy it? Like, where are we getting this money from? That's the big question for everyone. So VA loan, before closing costs, this is about a $30,000 entry, assume another five to 10, roughly, but closing costs. And look at that, west side of Oahu. So I used to live here, North shore, went to Hawaii. And then I have a couple of friends that I visit throughout more on the south side of the island. And so anyway, let's pretend we're going to buy this beautiful home, condo. And so what it really comes down to is, okay, what do we do next? Like, how are we going to come up with this money? Like, how do we, how do we pull this off? And so again, this is what I did. I'm not saying it's for everyone. So I use business credit. I've always had good personal credit. And I went through credit stacking. This is with Jack McCall. I think he's somewhere in Italy right now, you know, living his best life. And I don't smoke. I don't drink. I have a very fresh, clear mind. And I apply myself, I push myself six days a week, take a day off. And this is just how I did it. I went through creditstacking.com. There's a bunch of, you could do plenty of different business credit programs. They're a dime a dozen. I chose this because it is, in my opinion, probably in the top five best ones out there, maybe top three. And so essentially what they do is they, they give you the game plan. One of those pieces being, okay, you set up your LLC, but then what? Well, you need to start building not just your personal credit. Ideally it's, you know, 700 or above already, but you also need to build your business credit, the score for your LLC. And there's an entire science behind that. So here's my free, just first tip, sign up with nav.com and register your LLC. Cause you need to start recording trade lines to that LLC. That's how you start building your, your business credit profile. The two most important, in my opinion, are Dunn's, DMV, Dunn's, Bradstreet. And then the next, you really want to build up that experience. So it'll take about three months for this business credit to build, but if you do it right, you have a high, you know, high 700s on your personal score. And then you have a solid business score, like an 80 paydex. I mean, you can get access to a few hundred thousand dollars. Again, I'm not saying this is for everyone. I'm just saying what is possible out there for you. So I have a lot of entrepreneur friends, also friends that just have high paying jobs, but they'll, they'll, you know, upgrade their job every 12 to 24 months. So there's, they're not bankable. There's all sorts of cases out there. So yeah, creative listing, excellent place to find properties. So let's pretend you have a good score. If you went, you could get business credit without any programs. I'm just saying this is the most reliable, especially long-term. So what I did when I bought this property, I'm in here is I got a 0% business card. I liquidated the business card and then I used it to buy a sub 2 deal. This is a VA loan sub 2 deal. And yeah, I did it through this program. So let's pretend though, you don't have good personal credit. You could join this, look at the tips on how to build your personal credit fast. There's a lot of strategy behind it. This isn't cheap, or there's a couple of things you could do on your own. So second free tip of the day after NAV is rent reporters, whether you're renting. There's a couple of programs like this where it'll report to your actual personal credit. So assuming that you're paying rent on time, this is a good way to start building your personal credit up faster. The second way this, and this one's free, I believe Experian boost. You sign up for this. I think it's free or it's like 10, 20 bucks a month or something, but it's totally worth it. And what it does is it takes your bills that you're already have electric cable, phone, Netflix, Disney, Hulu, whatever you want to think that really they can do. Of course, dive in to see what they don't do, but it's a lot utilities, car insurance, and it reports to your FICO eight. So everything I'm aware of is the most important. There's, there's others like Vantage 2.0, 3.0, FICO 10. There's a bunch, but the FICO eight is the best one that I know. So let's recap real quick. You can, if you're renting still, you can report your rent, build up your personal credit, use Experian boost to start adding more things that will help build your profile. And then let's assume that now you have enough business credit to tackle one of these deals. Now I recommend you already need some income. Like don't, if you don't have income, just, I don't recommend, you know, buying a sub two deal using business credit. Like you need a good game plan already on how you're going to pay that business credit back. Typically it's only 0% for 12 months. Now you can balance transfer and stuff, but you do have to make monthly payments along the way, a minimum of one up to 2% of the balance. Now, when I did this, I had active income from wholesale. I already had several wholesale deals under my belt, more in the pipeline. Like I felt confident. I think I used like 25 K something like that to tackle this sub two deal. Technically I ran the money through a whole life policy first and pulled it out through a policy loan, but I don't, I'm not even going to dive into that on this video. But for simplicity, just wanted to show this because a lot of people, I think it can help. Again, it's not for everyone. Make sure you have a clear game plan on how you can do this. I want to show a couple of properties just for example's sake. Like here in Florida, you could do this with co-living. I'm not saying it's the best idea because I mean, you're paying, you got to really need a solid game plan to pay this off. Co-living does cashflow heavily, but I'm just emphasizing be very wise. This is a powerful tool, the business credit, but you do need to make sure like you map out the game plan. You map out contingencies of something goes wrong. Okay. If this doesn't happen, what's my, my backup plan. If that also doesn't work, what's my next backup plan? Like need to build in multiple safety nets on however you do this. And yeah, I appreciate anyone that's watched to the end. And lastly, I just wanted to throw out, if you are interested in co-living, definitely hit up our free Facebook group. In some of the featured tabs here, we're always putting new tools, resources. We have like ebook, calculator. We do weekly office hours every Tuesday and Thursday. So definitely check it out if you're interested in the co-living space. And lastly, if you have any questions about anything in this video, hit me up on Instagram, shoot me a DM. I'll do my best to answer it there. If it is more of a lengthy question, then definitely look on this Facebook group and join our office hours. That's every Tuesday, Thursday, 4 p.m. Eastern. Awesome. Thanks guys. Have a good day.