12 Reasons You Will Stay Poor: Helpful Advice For Prospective Real Estate Tycoons

“How can I make real estate investments with bad credit and no money?”

This is a common question and we are here to provide insight into the following 12 reasons why you will continue to remain poor, if you do not make the necessary changes.

1. Tattoos

Tattoos are great. This isn’t meant as a slight to those who purchase them. But quality tattoos cost a lot of money. Even a bad tattoo is still costly. Let’s say you want a tattoo that takes three or hours to complete. A 40 hour work week will not even cover it.

How are you paying your monthly bills? Are you still able to make ends meet? Body art should not be a priority in most instances.

2. New Cars

A brand new car loses 11% of its total value once it is driven off the lot. On the other hand, a user car is not going to have the same level of depreciation, so that you can avoid taking this sort of hit.

Related: How To Live Almost Rent Free Without Moving To An Apartment

Barely scraping by? You have no need for a new car. A quality used car works just fine.

3. Leasing Vehicles

This is worse than purchasing a brand new car. The car is being rented and is given back to the dealership when it is worth far less. Worst of all, if you go over, you pay for each mile.

4. Larger Homes

This financial sin takes place when you have far too much home for your needs. Do you need all those bedrooms and bathrooms? This can tie up your purchasing power.

If you are looking to lower your costs, downsizing is in your best interests. The smaller the home, the easier it becomes to save funding for future real estate investments.

5. Restaurants

Cooking a relatively easy meal at home lets you save money and hold onto the leftovers for days to come. Did you know that the average American eats out 18 times per month? Meal prepping is crucial to avoiding these types of expenses.

Otherwise, you are turning each step forward into two steps back. Cut back on eating out to free up some budgetary space.

6. Bars

Those who spend time in bars can probably tell you that the stereotypes perpetuated by shows like Cheers are fairly accurate. The same people really do plop themselves into the same stools each day.

Does this describe your days? First off, bars are expensive. While purchasing alcohol from the liquor store is a “better” financial choice, it is best enjoyed in moderation. If you are short on cash, drinking is not necessary.

7. Cable TV

Just ask any of your friends or loved ones who have sprung for the expensive if they own their own home yet. The answer is not going to surprise you all that much. Cutting the cord is a great way to avoid these expenses and pocket some extra cash each month.

Related: Debunking The Sweat Equity Myth

There are a wide range of more affordable options out there, including Netflix, Amazon Prime and Hulu and Amazon Prime. There’s no excuse to remain tethered to the old ways of doing things.

8. Television

Television does not have to be a money drain in and of itself. However, the money that is lost when we are not using the time wisely cannot be made back. Time is money and if you have time to watch several hours worth of television per day, it is time to get a second job.

9. “Treating Yourself”

If you don’t need it and can’t afford it, there is no reason to “treat yourself”. Learning the difference between want and needs is important. If you truly want to be debt free and achieve financial freedom, you need the wherewithal to avoid the “treat yourself” purchases that the Tom Haverfords of the world partake in.

10. Cigarettes

Are you seriously still smoking? When cigarettes cost nearly $10 per pack and it is scientifically proven that they are going to kill you?

Related: Zilculator: Best Real Estate Investment Software 2019

Just stop. We mean this with love. There is no good that comes from smoking, whether medically or financially.

11. Hiring Out

This is a common area of debate but it has very little to do with home repair. These debates are more focused on the idea of making sure that you are handling basic household tasks on your own. Landscaping and other forms of maintenance should always be handled directly. There is no reason why you should continue to rely on outside assistance.

12. Mani/Pedi

Manicures and pedicures are not needed on a weekly basis and guess what? You are able to live without them. Friends can get together and paint each other’s nails. When you are saving your hard earned money for future real estate investments, you need to stop and think about whether certain expenses are truly necessary.