Recently, Gary Vaynerchuck told his throngs of listeners that home ownership no longer makes sense in his world economy. As someone who likes people to believe everything he touches turns to gold, this should raise a few eyebrows…

While Gary is certainly looked upon as someone with street smarts who has made some very good business decisions, I am not sure that his real estate advice makes sense for everyone.

Apparently, Gary’s “kinship towards real estate agents” is cool when he’s being paid big dollars for spouting how effective Vine or Snapchat are for making real money. Of course, the fact that he’s an investor in Snapchat had nothing to do with him telling real estate agents how awesome Snapchat is. Right?

“I’ve always felt a sort of kinship towards real estate agents because, to be great in that industry, you have to have some real entrepreneurial tendencies.”

Gary Vannerchuck – Using Only Snapchat To Sell Real Estate

Is home ownership right for everyone? Probably not. For people who move from city to city often, for people who like to have freedom to move from job to job or travel a lot, the costs of buying and selling homes as a short term “investment” might not be a great fit, that is why you should learn multi-family real estate to make the right investment.

However, historically, home ownership has been a decent investment for many Americans. Chris Smith pointed this out to Gary today, as well.

One example I have is from personal experience: My wife and I purchased a house when we got maried. We were looking for a place to call home. A stable environment for the family we were about to start.

We purchased a home utilizing a 15 year mortgage. In the blink of an eye, we realized that our home was nearly paid off. Instead of paying a mortgage for a landlord, we had been quietly stashing away hundreds of thousands of dollars.

After 13.5 years had passed, our kids were heading to middle school. We came across a home that was super close to where they / we would be spending a LOT of time over the next several years. It was closer to where they would go to middle school and it was less than a mile from where they would eventually go to high school, so we decided to move.

Because we had nearly paid off our mortgage instead of leasing a home, we were able to “leverage” a much larger home into a lower monthly payment. In our way of thinking, a nicer home with a larger yard for our kids made a lot of $ense for our family.

Before we got married, I had owned more than 30 homes and found real estate to be a good part of my long term strategy. Of course, I’m no Gary V if you look at my financial statement. But I know I wouldn’t trade my world for his…

Gary seems to say that investing in the stock market and cryptocurrency is better than in real estate. It’s all about the right timing when investing in cryptocurrencies, so be wise and collect as much knowledge as possible by staying updated on the latest cryptocurrency & bitcoin news.

While I don’t necessarily want to disagree with him, I do wonder if more millionaires have been created from home ownership or from the stock market. Sure, many of the 1%ers like Gary have made FORTUNES by leveraging their stock investments, but how many every day people obtain financial security from the long term investment of where they live? Finding the best Canadian stocks to buy, or simply learning how to buy stocks, can be a challenging endeavor, at https://www.stocktrades.ca/ you will find the best possible Canadian stocks .

Interestingly enough, one of the companies represented by VaynerMedia is Berkshire Hathaway Home Services. Yes, the real estate firm. Gary likes to talk about how he loves “people and the relationships I have with them” (i.e. REALTORS and others in the industry) … I kind of wonder how they are feeling about their deci$ion right about now.

So, while the foul-mouthed Gary Vaynerchuck says you’d be a fool to invest in a home for your future, that doesn’t necessarily mean his advice is right for everyone.

While I appreciate the fact that Mr. V speaks his mind, I am sure he’d be open to hearing a different philosophy from someone who is normally a little less vocal than he is…

Update: Gary V Writes A Rebuttal

Shortly after making the video above, Gary decided to clarify his position by writing “One Man’s Point of View.”

As a media guy who loves taking checks from real estate agents, he apparently decided to clarify his position to people who disagree with him.

Some of my favorite nuggets of wisdom from his rebuttal talk about how important it is to make people think you are a big deal. You see, renting a larger home is a great status symbol find your perfect property to rent using this apartment questions. In some worlds, it is also really important to drive a fancy car so that you can impress people by spending capital where it really helps. Fancy cars, Instagram and status symbols…

Here’s a fun quote that I found interesting…

“If you’re driving a Lamborghini, you’re signaling a lot of things about yourself to other people, and people love doing that for a variety of reasons.” Gary V

Another great piece of advice to entrepreneurs is to make sure they know the importance of living in a better place. You know, a place where a different entrepreneur takes your money from you every month…

Instead of using that capital on a down payment, they can use that money to pay higher rent for a better place. – Gary V

I love how real he gets with us by saying “With the way Instagram ads are underpriced right now, I almost wish I didn’t own a home so I could spend more money on ads.” Because, I am 100% certain that he stresses out about not having the money to buy Instagram ads.

I LOVE that Gary talks about hussle and working hard. That should still be the American way. I just feel like he sounds foolish when he talks about an industry he knows very little about.

This justification article seems to want to play to the people in our industry who disagree with saying home ownership is a waste money. Maybe even a small attempt to try to keep his speaking gig$ alive in our industry?

“Too many entrepreneurial people in their 20s – 40s are taking cash out of their business to put towards buying a home, and it’s limiting the amount of success they could have.”

I wonder how many 20 somethings listen to gurus and sink all of their eggs in a basket that never pans out? When they burn that capital and the landlord decides to sell the fancy rental home they are using to impress their friends, what happens next?

Another question to ponder: Do you prefer to pay your mortgage or your landlord’s mortgage?

I also wonder how many people get rich by trying to impress their friends with fancy cars and large homes they don’t own or can’t afford? Look, Gary Vaynerchuch is probably a pretty smart dude and he has made a LOT of money. BUT, in my opinion, he shold leave the real estate talk to real estate professionals. Unless, of course, he wants his audience to be living in a (fancy) van down by the river…

Excuse me while I blow some dust off my keyboard. It has been way too long, but I am back. But you can never get to where you want to be by focusing on the past so let’s focus on the future.

And I believe the future is Voice!

Do you have a smart speaker yet? According to a report on January 4th, there have already been 100 million Alexa devices sold.

As of January 2019 reports say there are now 70,000 Alexa skills set up. In March of 2018 there were only 5,000 briefings. So times are changing and quickly.

So we have now launched an Alexa flash briefing.I have actually launched three, but the one I am here to promote today is the Phoenix Real Estate Guy Market update. If you want to BUY HOME then this is a great opportunity.

What is a flash briefing?

If you already use flash briefings you can skip to the next headline. One thing I have come to realize, there are several people who have an Amazon Echo who have no idea what a flash briefing is.

Hopefully, you know by now what a podcast is. A briefing is like a short podcast, in many cases a very short podcast of like 1-2 minutes

There are a couple ways you can enable a briefing. First you can just use voice. Say “Alexa enable (briefing name)”. The second way is you can go to Amazon’s website and in the search box click the down arrow and select skills.

Once there, type in Phoenix Real Estate Guy and the results will come up.

Click on the results link for Phoenix Real Estate Guy Market Update and you will have the option to Enable Skill.

Once enabled, head to your Alexa device and say “Play my briefing.”

Why a Flash Briefing

What is our goal with the flash briefing? If you are an AM or talk radio listener you know the top of the hour you get the news highlights. They will usually tell you about a story in about a minute. Our goal is to give you a little insight into what is going on in the Phoenix real estate market M-F in about 30-90 seconds.

We will take something we see in the market and explain to you what it is and why it may be important or what it really means.

As flash briefings become more popular the length of the briefing will matter. If you have 10 subjects you are interested in, the chances of you listening to a 4 minute update is not going to be high. The chances of you listening to a 60 second update are going to be much greater. This is one of the key reasons we are going to a short daily format rather than a longer format.

Now what?

Now make it a habit every morning when you are making breakfast or drinking your coffee to say “Alexa, play my briefing.”

If you have anything specific you would like to hear about on the briefing make sure you email me dean [at] phoenixrealestateguy.com

Other Briefings

If you are interested in hearing about the things going on Around Chandler, you can check out the Around Chandler Alexa Briefing.

If you live in Chandler and want just Chandler market updates, check out the Chandler Real Estate Update.