Why Timing the Market is a Fool's Errand & The Commercial Real Estate Gold Rush: Where Opportunities Lie | Money Moves

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[00:00:00] Matty A.: What's going on guys? Welcome back to another episode of Money Moves. Whoa. You like that? I like that. That was a little, that was a little remix for y'all. Money Moves. As always, your host, Matty A, my co host, Mr. Ryan Breedwell. Howdy y'all, we cover all things, stocks, real estate, investing, and personal finance on this show.

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[00:01:58] Matty A.: All right. So with [00:02:00] all of that housekeeping out of the way, we got a great show today. Always. We got some big news today. Some good news, little nuggets, good news. I guess bad news is good news. We got all the above. Um, If you were invested in the market, and you weren't trying to time the market, If I was.

[00:02:21] Matty A.: There was a significant amount of wealth added to those in the market in the last 24 hours. Less than that, but yeah, there

[00:02:32] Ryan Breedwell: was. How much are we talking? 740

[00:02:35] Matty A.: billion. 740 billion added to the market in just one day. Fund coupons flying. Why, and what is the lesson, the takeaway here? Don't

[00:02:48] Ryan Breedwell: try to time the market.

[00:02:50] Ryan Breedwell: Be in the market for a long period of time. Um, market's fully recovered from its, um, September and October. Yeah. [00:03:00] And I tried to tell y'all, I tried to tell y'all not to fade the market, not to try to play the Fed, not to listen to headline news, not to listen to what other gurus were saying. Because I don't consider myself a guru.

[00:03:16] Matty A.: Well, if you would have listened to Peter Schiff, you would have been fucked.

[00:03:19] Ryan Breedwell: Yes, which is why we don't listen to

[00:03:21] Matty A.: Peter Schiff. But we do like to throw, uh, his little bearer comments in, uh, in the arena so you can tangle with them a little bit.

[00:03:30] Ryan Breedwell: Yeah, it's fun to, it's fun to have, like, you know, conflicting point of view, but it's, we didn't quite have a negative

[00:03:37] Matty A.: CPI.

[00:03:38] Matty A.: Um, yeah, so we had a core CPI was expected at 0. 3. It came in at 0. 2 and CPI. You were saying I have heard some whispers. I wasn't sure I'm not staking my flag here, but I wouldn't be surprised if it was a negative print. CPI came out at a flat. Zero print. [00:04:00] Zero.

[00:04:00] Ryan Breedwell: And you know, that's pretty close to negative.

[00:04:01] Ryan Breedwell: That's one step away from negative. I would have loved to see a negative print. The market would have loved to see a negative print. Um, but with that being said, folks, and I'm the only one that I know, I haven't even seen anybody in a headline, I haven't read an article, I'm the only one I know. There's others like me, but I'm the only one I know that said there could be potential cuts between March and May of next year.

[00:04:25] Ryan Breedwell: May is now consensus right now that there will be cuts.

[00:04:30] Matty A.: Yeah. I mean, I think percentage wise, since we love the data percent, we've got a 50 percent chance of a rate cut in May, a 32, which this bumped up a little bit in March, 32. 7 percent chance of a rate cut in March. And what was it? Was it Goldman?

[00:04:46] Matty A.: Goldman

[00:04:47] Ryan Breedwell: came out and said that it's definitely gonna Goldman was the first big shop, right? Yeah, they said it's definitely gonna Oh, was it Goldman or Morgan Stanley? Oh no, I think it was Morgan Stanley. It was Morgan Stanley. Morgan Stanley came out and said June of next year they will for [00:05:00] sure be cutting rates.

[00:05:01] Ryan Breedwell: And they have to cut them hard and fast when they start to get to their terminal rate. And you know what? Couldn't agree more, but I think they're going to cut sooner than that. If we get another good inflation, uh, data, uh, next month, that will make March, uh, even more likely. And, I don't, what I think would happen, I don't know if they'll just shock the market and cut.

[00:05:26] Ryan Breedwell: Um, they did that in 2015 with a rate hike and that kind of scared everybody and caused a big dip in the market. Um, but dammit I'm here if they do. Um, everybody, I was, I've been texting Matt and I even said this to you today. Because Matt and I have been talking about putting some more money in the market for his account.

[00:05:46] Ryan Breedwell: Get it in before the rate cuts. Yeah, because it's going to absolutely, I think between now and the end of the year we're gonna have a good little rally now given the current inflation data. So I think for the next 45, 50 days, whatever, how many ever days are left in the market, I think [00:06:00] we're gonna have a good end of year.

[00:06:02] Ryan Breedwell: I definitely think next year is going to be better than people are expecting because When they start cutting interest rates and they let money back into the market and people will spend money in areas and that will flow through to profits to companies and that comes through in earnings. Inflation is coming down.

[00:06:17] Ryan Breedwell: Companies are making money. It doesn't cost 7 percent or 8 percent to get a loan or mortgage right now. It doesn't right now, but I mean like at all. That's going to be. You know, that gets the engine working in all areas back where we want it to be. And I wouldn't be surprised if we saw gas, at least in California.

[00:06:34] Ryan Breedwell: I'll use our numbers below 4 a gallon again, that would be nice. Um, we're teetering right above that, but. Oh man, good job to everybody that held out. It's been hard, it's hard to do what you have to do, per usual. If it was easy everybody would do it, that's the old saying. But it does feel like there's

[00:06:51] Matty A.: light at the end

[00:06:51] Ryan Breedwell: of the tunnel.

[00:06:52] Ryan Breedwell: Oh yeah, and you know what? It's getting brighter. Even good to hear you say that because you have even told me, towards the beginning of the year, I don't know, I think there's [00:07:00] more turmoil, and I was like, Hold. Winter

[00:07:02] Matty A.: is coming. I do think there's more turmoil, but I don't think that necessarily is gonna translate into the market.

[00:07:10] Matty A.: It'd be the commercial

[00:07:11] Ryan Breedwell: market. And I think I, I think commercial real estate, not we're,

[00:07:13] Matty A.: yeah. We're gonna, we're gonna talk a little bit more about that. Auto loan, as you mentioned, auto loan debt crisis is of course crisis, uh, looks imminent for auto mo blog auto loan delinquencies among subprime borrowers reached a nearly 30 year high in September of 6.

[00:07:35] Matty A.: 1 percent, the highest rate since 1994. Credit card debt has reached an all a new all time high at 1. 08 trillion. We did see consumer spending pulled back a little bit this last month, so that slowed a little bit. Savings accounts have dropped a little bit. I know you mentioned a lot of that is actually being held in checking accounts, and we're hearing Two Fed officials said the U.

[00:07:59] Matty A.: S. [00:08:00] economy has yet to feel the full effect of past interest rate increases to its entirety, suggesting more slowing is yet to come. That's per Bloomberg. We're hearing more and more people still, the deniers. CPI. Those are lies. Those aren't real numbers. What do you say to that?

[00:08:19] Ryan Breedwell: I hear, I hear him because I took the position that CPI was not the most accurate data point to go off of, right?

[00:08:26] Ryan Breedwell: Which I'll still say that it's not the best, but it's what we got. It's what we use. So we have to play fair on both sides. If we're going to ride interest rates up on CPI data... That's not aligned with what this, what the current, uh, uh, interest rate environment feels like. And then we're going to also rely on it on the way back down.

[00:08:45] Ryan Breedwell: We have to do both. Um, I agree. It's not perfect. It's not the best. I think it's like driving them with the rear view mirror, but. If we have a zero, the nice thing to when that flips on its head is if we have a zero on this one and it's been coming down, [00:09:00] probably going to have another good print on the next CPI data, um, that could flip on its head as well, but I think people are going to spend through the holiday season.

[00:09:09] Ryan Breedwell: I think that's why we had a consumer spending pullback in October. That's that's fairly normal. Yep. Um, we have holiday spending, like a spending holiday coming up, Black Friday, Cyber Monday. Um, so, uh, I forget what it's called. Travel Tuesday, so like travel Black Friday is like Tuesday the 28th. So there's all these things and all these companies that are going to drive people's money from those checking accounts right into those companies.

[00:09:35] Ryan Breedwell: That's going to, companies are going to report those profits next year. That's going to keep the market driving forward. Things are looking pretty good. I, and I, I would say we have a good potential to have a Santa Claus rally wrapped up in all of this to continue to push to the end of the year. So I think things are looking fine.

[00:09:52] Ryan Breedwell: I think there are, um, the, this is why we were talking and said earlier, you stay invested, you reinvest your dividends, [00:10:00] you put your contributions on autopilot and do dollar cost averaging, because that's how you get rates of return in your account that are, you know, you buy the dip so that when the market.

[00:10:10] Ryan Breedwell: Goes up you go up with it.

[00:10:11] Matty A.: Yeah, and then something. Yep. Well, I loved what Warren Buffett threw a little shade at billionaire investor Michael Burry his 1. 6 billion dollar short position on the u. s. Economy is Officially closed out and he lost 40 percent of that bet now to clarify that wasn't a 1. 6 billion dollar Equity drop into the market, right?

[00:10:40] Matty A.: The short was in the 40 million range, but losing 40 percent of 40 million quite a bit is not anything to balk at. And I think if anything, it's a perfect affirmation with alignment on Warren Buffett's quote here that. You just can't count [00:11:00] america down and anybody that's betting against america Do that at your own accord because most of the time and historically what has proven to be is that america is strong It's resilient.

[00:11:11] Matty A.: We innovate we pivot quickly at that when we know we need to And we always find a way to come out a little bit stronger from even the most challenging circumstances. Yep. I've

[00:11:22] Ryan Breedwell: said it before and I'll say it again. I am bullish on the U. S. consumer. They spend money. They like to spend money. Part of our culture is spending money.

[00:11:29] Ryan Breedwell: We live in a capitalistic economy which is supported by spending money. Come on, it's uh, it's a good time. It's going to be a good time to be an investor here. Um, it's good. It's starting to be, you're starting to get rewarded for that. But I think on both sides of the street, real estate and traditional stuff, insurance, my side of the street, it's going to be a good time to be an investor.

[00:11:52] Ryan Breedwell: Patience is going to finally be

[00:11:53] Matty A.: rewarded. Yeah, I think that's it. We talk about being patient, but That's a really key word right now, is patience. At [00:12:00] least on the real estate side. I don't know how you're feeling about that. I think yours is more of

[00:12:04] Ryan Breedwell: consistency than patience, right? I'm telling my clients, put money into your accounts.

[00:12:09] Ryan Breedwell: Put money into your accounts. It is going to look great, I think, in the future when we fast forward 6, 12

[00:12:14] Matty A.: months from now. I was going to say, my perspective on anything that I give you Is that it's, uh, at least in the next 6 to 12 months is that it's going to fare very well based on what feels like looking in hindsight in the rear view mirror that we've, we've already found that bottom.

[00:12:30] Matty A.: And we bounced off it a couple times, but it feels like we're really pulling out of this, and

[00:12:35] Ryan Breedwell: I think if we have a negative, like if we, once they start cutting, if we break back above 4, 800 or so back on the S& P, and if we can break through that and hold, that'll, that's our new bull, bull run, like a hard bull run.

[00:12:47] Ryan Breedwell: That might last a year and a half to three years. I would love and that would say I would love that would be quite an understatement.

[00:12:55] Matty A.: That would be very much welcomed.

[00:12:57] Ryan Breedwell: I may take up saxophone lessons. That's [00:13:00] how much I love that. Grow my hair, get a little curly. You know what I'm talking about. You'd look good.

[00:13:06] Ryan Breedwell: I think I would look okay. Yeah, you would look good.

[00:13:08] Matty A.: Now, on the single family side, I don't think there's gonna be as much upside to be captured, but I think it's still holding very stable and all of the metrics, while we've seen inventory be somewhat flat, it's gonna end up year over year, um, you know, we've seen days on market increase a little bit.

[00:13:26] Matty A.: A lot of this is due to seasonality, but when you look at. How unaffordable single family housing is to make housing affordable and if rates stay at 8 percent and prices stay at current levels, income needs to increase by 63%. This is per the National Association of Realtors. A lot of people just income wise have not seen their wage growth or their income growth.

[00:13:50] Matty A.: Um, Run in conjunction with price growth and rate growth. Therefore buying power and [00:14:00] affordability just completely gets wiped out. And obliterated in that particular circumstance. And so with rates coming down next year, I think it's going to be a great thing for many people that want to get into home ownership, still look at, you know, uh, owning a home as a safe vehicle for either wealth preservation or wealth growth.

[00:14:20] Matty A.: Um, And I also think that we'll probably see much more appreciation than probably many people would like to see. Um, Zillow current prediction is that home prices will increase by 2. 1 percent between September of 2023 and September of 2024. I would love that. What are your thoughts on that? Yeah, I definitely do.

[00:14:46] Ryan Breedwell: Probably a little bit of an undershort. Yeah, probably closer to 3 5%. I was gonna say,

[00:14:51] Matty A.: I think it's definitely gonna be in the 5 percent plus range. That's just my opinion. I think when they cut rates, Yeah, I mean when they cut [00:15:00] rates, and inventory still being where it's gonna be. I just think we're going to see again, more people going after limited supply.

[00:15:09] Matty A.: And obviously we know what happens there. I think that will translate into some equity growth and

[00:15:14] Ryan Breedwell: appreciation. Lower and my equity starts flying. Uh, uh, he lock is what I'll be buying. There we

[00:15:21] Matty A.: go, baby. Tap tap in that bank account, you want a

[00:15:25] Ryan Breedwell: little bit of a jingle there. You want to know,

[00:15:27] Matty A.: uh, so I was at, um, this is a little bit, uh, I'll come back to some of the commercial real estate updates and news here in a second, but I was, um, I was kind of tapped into, um, a hedge fund that was putting on a little bit of a virtual conference and I tuned into some of the stuff that they were doing.

[00:15:45] Matty A.: And one of the things that there was actually a couple of things I wrote down that I loved what they talked about because I think this is for people that are looking to build and cultivate a wealth building mindset. the right wealth building habits, disciplines, [00:16:00] understanding money, the world of money, the game of finance.

[00:16:04] Matty A.: You know, there's a lot of moving pieces and there's a lot of, I think, um, stages to this journey, right? Correct. And one of the things that You know, it talked about was that there are many different forms of capital that we as human beings can leverage and use. And one is financial, which obviously we talk a lot about this show.

[00:16:27] Matty A.: It's what makes the money in the world go around. Yep. We've got intellectual capital, right? And I think both you and I have gotten into scenarios, circumstances, relationships, opportunities, because of our intellectual capital and the value that we bring, right? You don't always have to bring money to the table to get into certain opportunities.

[00:16:46] Matty A.: Yep. Now you can

[00:16:46] Ryan Breedwell: be sometimes intangible, but it's weird because everybody can almost like. I don't know how to say it in a different way, but like price or put a value in a, in a, maybe a numerical way on your intelligence. Oh, this [00:17:00] person's very intelligent. Yeah. Well, I mean, very intelligent and I, they're in a nice person, but I don't like to,

[00:17:05] Matty A.: I'll give you an example.

[00:17:06] Matty A.: I have, when I was first getting into really trying to master and understand the analysis of commercial deals and cap stacks, I was paying a financial analyst from wall street. Who had the intellectual capital and expertise to underwrite some of my deals that was worth money to me to tap into his intellectual expertise, right?

[00:17:30] Matty A.: So if you're somebody that maybe doesn't feel like you have this big, you know, war chest of cash or dry powder to be able to get into some of these opportunities or conversations, remember that there are other forms of capital. Intellectual is one of them. The third one is, and I would probably pair this with the third and the fourth one, which is social capital, right?

[00:17:53] Matty A.: Is kind of like your credibility, your reputation. Your face

[00:17:56] Ryan Breedwell: card. Right? Like, say your face card. Yeah. What do people

[00:17:59] Matty A.: think [00:18:00] about you? Absolutely. I mean, there's weight in that. And then there was human capital, which is more around like your network, your relationships. Hey, I can't help you with this. But.

[00:18:11] Matty A.: Let me connect you with my buddy Ryan, who is an expert in this and has billions under management. Right? Like that's my network. Is something that can be a value by connecting those dots that is a form of capital. The fifth one is emotional capital. In terms of, there's a lot of people that, their emotional intelligence, like there's people that have very, the intellectual IQ side of capital covered, but their emotional intelligence is dog shit.

[00:18:39] Matty A.: They're terrible. Like I wouldn't, I wouldn't want that. A lot of people

[00:18:42] Ryan Breedwell: are in that category. A lot of men are too, but it's just harder to deal with. You know, so it's. You know, it's it's it's better to you know, hopefully you have a spouse or a person you can talk to or a friend But gotta be emotionally.

[00:18:55] Matty A.: I was gonna say emotional intelligence Mm hmm is I know a lot of people [00:19:00] that aren't you know super tactical and smart with X's and O's and run in formulas and calculators and their IQ isn't crazy high, but they're Level of emotional intelligence and awareness has a way of making people feel special and finding ways to connect in You know build relationships with people in any shape size, you know capacity whatsoever And that in itself is a form of capital, right?

[00:19:26] Matty A.: Yep. And then the last one was spiritual capital But you have to manage all forms of capital and if you were to throw all of those out on a on a piece of paper and kind of rank or score yourself in each one of those from a scale of 1 to 10, that's a good place to start and then to go back through that into rank yourself based on it.

[00:19:47] Matty A.: Thank you. The goals, probably let's just narrow it down to the number one most important goal. If that's you want to make 100, 000 next year, if that's you want to make a million dollars next year, you want to buy a commercial property, you want to do whatever. One main [00:20:00] goal, circling what forms of capital have the highest ROI and leverage and helping you achieve that.

[00:20:06] Matty A.: And focusing in those areas can be a really great way to kind of eliminating some of the distraction and getting super narrow in the areas that you can control those forms of capital and doubling down and tripling down and exercising disciplines and routines and habits and challenging yourself to up your value in those particular areas.

[00:20:31] Matty A.: So I thought that was a great thing to remind myself of other people that Capital that can hold weight in a capacity that allows you to unlock new levels of opportunity, income, relationships, experiences in life, which all tie into the overall bucket of wealth, doesn't always come in just the form of money.

[00:20:52] Matty A.: Yes, money definitely has a little bit more weight and can open up different doors and different capacities, but there's other ways [00:21:00] of really compounding your wealth. through these forms of capital.

[00:21:04] Ryan Breedwell: Agreed. Yeah. And, and you've touched on essentially all of them. The thing is, it's just, you can't, a lot of people hyper focus on one or two and they don't nurture the other areas.

[00:21:13] Ryan Breedwell: So it's good to, you know, tap into all of those and, and spend time on working on this, the areas that especially don't get as much, um, notice. Like I said, and I think for men, sometimes

[00:21:23] Matty A.: that can be the emotional one. Yep. Agreed. Um, but going back to kind of this. Challenge that I think a lot of people are gonna have in this next year and we're already seeing the data kind of tie into it I'm curious on your thoughts and this is one of the kind of statements one of the speakers made And this is where I think well It's gonna be bad for some people and I talked about it on the last podcast Some people are gonna go bankrupt.

[00:21:53] Matty A.: Some people are gonna fall further apart Farther behind. And then there's also going to be people that really [00:22:00] leverage this opportunity. This chaos, the challenging times that often create the greatest opportunities to get that much further ahead. And now, while many people and some people do it unethically, a lack of integrity, I think there's a great opportunity You know, group of, of people that look at these opportunities and go one selfishly, how can I win and grow in that process, but how can I do it ethically with integrity alignment with my core values and try and help and serve people in the process?

[00:22:31] Matty A.: And he talked a big his talk was all about kind of businesses that are going to fail and struggle. Um, and he said the number one reason why businesses fail and you can even say he even said why families, individuals fail. Is a lack of liquidity and I and and then it got into We we had some different groups that were breaking out giving different thoughts and reasons why they agree or disagree with that I'm curious on How [00:23:00] important is liquidity?

[00:23:02] Matty A.: In markets like we think we're coming into right now, I would say very

[00:23:08] Ryan Breedwell: important because, um, without liquidity, you, you lack, um, or you gain opportunity cost. Um, so having, having the opportunity or the dry powder or whatever you, you know, you want to coin it down to be, you can, um, take action on those opportunities with liquid net worth or cash or whatever investment.

[00:23:33] Ryan Breedwell: Uh, real estate, you can do 1031 exchanges and things like that. Life insurance, you can take loans from your policies, do things like that. Um, but not having the opportunity to do any of that, or even just down to the liquid one, which is cash in my opinion. Yep. Um, I think that that's where a lot of people don't invest in a savings, or a, or a solution to pull money from, excuse me.

[00:23:59] Ryan Breedwell: [00:24:00] Um... Early. Yeah. And so I think that if people would more so say, okay, Hey, like I put a couple hundred dollars, well actually a couple thousand dollars a month into an account for opportunities and a lot of times it gets in depth going into my investment account, but that's where what I do it for. Um, the reason I do that is because I don't, I'm going to consistently invest, but if I see something that's out of the ordinary, I can make that decision and time it right then and there.

[00:24:26] Ryan Breedwell: Yeah. Versus having to say. Um, okay, I'm going to go ahead and, uh, pull from this account or I'm going to take this loan or I'm going to do this and it not pan out. Um, you can, a lot of times can lose or afford to, to let go of your liquid net worth, um, more so than other items as well. Yeah. So I, I would agree with that to an extent.

[00:24:46] Ryan Breedwell: Don't need to have all your money in cash and just try to time stuff all the time. Right. That's not smart to do either. Nope. Generally speaking, like I've said before, going to the gym and eating healthy is the best way to get results, not too much of one

[00:24:57] Matty A.: or the other. Yeah, I think it's a [00:25:00] diversification play, right?

[00:25:00] Matty A.: Mm hmm. And also, I think the climate, the narrative that most people who are looking at the data, right, aren't necessarily making every decision based on headline news, trying to time every aspect of every liquidity in times where it feels like, okay, we're going into some headwinds, headwinds create challenges for certain people.

[00:25:21] Matty A.: Right. And oftentimes in those challenging times is where discounted opportunities, distressed situations pop up and you can find those win wins. If you've got a, you know, a seller on one side, there's always a buyer on the other, right? Same thing in real estate. So I think that having liquidity right now.

[00:25:39] Matty A.: Is and it doesn't necessarily have to be in your savings account, right? Whether it's life insurance and you're pulling on that, whether there's other liquid forms or vehicles that allow you to pull on it when it's time. Um, but I do think liquidity in times like right now is going to be critical to one, whether any storms that you might have, and if you haven't gone through your entire portfolio, whether it's real estate or [00:26:00] stocks, and you're not looking at mitigating.

[00:26:03] Matty A.: All the potential risks, right? If you've got loans come and do in the next 12 or 24 months, there should be plans and action, swift action, right? To mitigate any of that risk and downside. If you've got, you know, certain expenditures that, you know, have to have, you know, you have to do in the next year in order to keep your business afloat in order to take advantage of certain situations, then make sure you've got a plan for that kind of stuff.

[00:26:29] Matty A.: Right. Um, but that being said also. maybe taking some chips off the table. I don't know how many people I've talked to over the years and different masterminds and networking groups that said on paper, I was worth 10, 20, 50, a hundred million dollars in 2005. Yeah. But I was completely illiquid. For when shit hit the fan, I had no way of saving myself or weathering the [00:27:00] challenges and the storms that ultimately took down all of that net worth.

[00:27:04] Matty A.: So, thinking about that and going, maybe there's some dogs in your portfolio or some semi performers in your portfolio. That might be a great time to say, hey, maybe I'm leaving a little bit of upside on the table. But to have some of that liquidity back to know that you can redeploy it and make that 3, 4, 5, maybe 10 fold in this next season.

[00:27:26] Matty A.: It may be worth exploring. I'm not saying to do it. But hence why I sold some of my hotels in the last years because while yes, I do think there was more upside on the table for some of those. Now I'm sitting pretty liquid to go into what I think is going to be probably one of the best buying seasons that we ever see on the commercial real estate side.

[00:27:47] Matty A.: And that kind of ties into some of the data that we've been seeing. An estimated 2. 78 trillion with a T of commercial real estate is [00:28:00] going to mature by 2027. That is debt that is going to be due and payable To the lenders by 2027. That is an insane amount of commercial real estate. And so whether you're a mom and pop investor, you're an intermediate investor, you're a fund, you're a family office, you're an institutional group that.

[00:28:21] Matty A.: To me is writing on the wall that there is going to be an insane amount of people that are forced, are going to have to do something. They're either going to have to refi, they're going to have to trade and transact, they're going to have to buy up. Right. And that means when there's activity going on, there's opportunity going on as well.

[00:28:41] Matty A.: Most of it is going to be. Against them wanting to do it at their own accord. It's going to be due to the fact that this current lending climate and what happened in the economy as a whole has essentially forced a lot of these banks. I even heard certain banks that were [00:29:00] literally People are trying to give the keys back and they were saying, no, no, no, you can keep it.

[00:29:06] Matty A.: We won't even make you make your payments for the next 12, 24, 36 months. We just don't even want that on our balance sheet because when we report earnings, that's going to look really bad on our side. So you can just keep it on your side. I'm hearing more and more everybody working together, but that's right.

[00:29:22] Matty A.: That's smart. I think that's a good thing. But there are going to be situations where that's just not going to happen. And therefore there's going to be opportunity there over the past nine months, the volume of office loans and special servicing has more than doubled to 13. 93 a billion. The total volume of commercial property loans held by banks declined during the first two weeks of October and all the way through the end of October, notably commercial property lending banks has declined for only two months since 2014.

[00:29:52] Matty A.: So this is a trend that. The commercial sector hasn't seen in almost a decade, so obviously I think more [00:30:00] is going to come from that commercial property lending by banks, mortgage backed securities and non bank lenders rose by less than 1 percent in the second quarter of 2023, which was the smallest increase in almost a decade.

[00:30:13] Matty A.: So again. Writing is on the wall. I just think that there's going to be some insane commercial opportunity out there and One of the best ways I wish I would have learned this earlier of going from single family to commercial Property is one of the best ways to build your wealth grow your income grow your net worth With way less effort by the way than single family is commercial real estate So if you're not trying to learn some of these types of things, if that's of interest to you, right, then now is the time to start getting very prepared, understanding what the game is, who's playing it, what are the strategies behind it, what are the asset classes and vehicles that you might be interested in investing in, and really skilling up because this could be something that one property you Completely changes somebody's life forever, their [00:31:00] family's life forever.

[00:31:00] Matty A.: So especially in the commercial space, especially in the commercial space. So I am beyond excited about what this next season, um, You know holds for many of you who are out there getting active I've been getting more and more people reaching out to me about commercial real estate Um, you know some of the coaching and the masterminding that i'm doing around that So if you want more information on that text commercial to 844 447 1555 I'm going to have more information in early Uh 2024 at the end of 2023 as we round the the corner on that Cause my core focus is all around commercial assets, hospitality, medical, multifamily, and many other people in our network that are focused on those asset classes.

[00:31:42] Matty A.: In addition to mobile home parks, in addition to all the other storage facilities, RV parks, ways that that's the beauty of commercial real estate. You can make money in so many different facets. And again, as long as you can increase income on commercial real estate and they trade on a cap rate [00:32:00] percentage.

[00:32:00] Matty A.: You can drastically force value into assets with little to no work and effort. So I'll get off my soapbox on that one.

[00:32:08] Ryan Breedwell: Hey, I love it. I like, I like things like I love things too. You, you

[00:32:14] Matty A.: and, and I like lamp lamp. Are you, are you focused on anything specifically? That feels more like a flyer in 2024, anything that you're spotlighting in your world that gets you really excited.

[00:32:30] Matty A.: Or is it more just around the overall macro setup of what you're seeing for the new year? I

[00:32:35] Ryan Breedwell: think it's probably going to be almost all, um, higher beta equities. So, things that have beta is risk and uh, compared to like the S& P 500. So things that have a beta of, you know, 8 to 5. Um, those are individual stock names that I'm looking at.

[00:32:53] Ryan Breedwell: I told people about, I think Nike, uh, about a month or so ago. It's been on a pretty big tear since then. I mentioned [00:33:00] Cardinal Health, it's up over 20 percent since then. So, those are, those are areas that I own for my clients and I, um, I'm buying into. Microsoft hit an all time high today, uh, we own that.

[00:33:12] Ryan Breedwell: NVIDIA hit an all time high today, we own that. So, um, I do good for the people that give me their money. Um, they just gotta trust me through the times that are a little bit, you know, it's hard to go through the times like

[00:33:24] Matty A.: you've earned your keep over the last 24 months. Yeah,

[00:33:28] Ryan Breedwell: it's it, but it's, it, these are necessary times and this is the times when we buy stuff and it averages the account balances down and then when the market recovers, we make.

[00:33:35] Ryan Breedwell: That money back and then some so it's just important to you know, give your money to the people that you trust have good counsel around you so you can trust what they're doing and then the results come

[00:33:45] Matty A.: after that. Absolutely. Well, if you guys want to connect with Ryan and his team again, text the word x ray to 844 447 1555.

[00:33:53] Matty A.: That'll get you directly connected with him, his man, his right hand man, Mr. Philly, Philly Phil, shout out to Phil. [00:34:00] And they will build out literally a comprehensive plan. Unlike anything you've seen, at least I had talked with many, and this was before I met you, you know, seven, eight years ago. Um, I'd never seen a plan like you built out.

[00:34:13] Matty A.: So, uh, even for educational purposes, you don't, you guys don't have to do anything with it, but to get more informed. And that's something that we offer to all the Millionaire Mindcast listeners. As well as for my credit investors, text the word DEALS to get connected with me and my team on different opportunities that we put out specifically to our credit investor network.

[00:34:34] Matty A.: DEALS to 844 447 1555. And don't forget to check out the Millionaire Mindcast store, shop. millionairemindcast. com. You guys will see the new Rich Life Planner in there. In addition to the planner, we have got a great deal in Special Runner right now, which is the Wealth Bundle Pack that accompanies that personal financial statement, net worth calculator, income and expense tracker, [00:35:00] daily goals and habit tracker, all kinds of cool stuff that accompanies the physical planner that you will get sent in the mail as well.

[00:35:06] Matty A.: So if you're looking to take back control of your time and turn into a productivity monster, it's a great tool for doing that. If you like those physical planners, we also have the digital one for you as well. All right, guys, thank you for tuning in to this week's episode. As always, you know, we appreciate you guys listening.

[00:35:21] Matty A.: If you enjoyed the show, you're not subscribed yet. Hit that subscribe button and all we ask, take 60 seconds, leave a review, share some love, say what we doing great, what we suck at, whatever it is. Just give us some feedback on a review and don't forget to share this out with anybody you think could get some value from it, who would want to participate in these conversations until next week's episode, keep investing in yourself and your wealth on your March to a million and beyond.

[00:35:44] Matty A.: Peace. Cheers y'all.