Why the Rich Buy Assets That LOSE Money (But Still

Fund Rake

Why the Rich Buy Assets That LOSE Money But Still #FundRake, #MoneyHabits, #WealthSecrets, #RichVsPoor, #InvestingTips, #TaxHacks, #FinancialLiteracy, #RichMindset, #AssetsVsLiabilities, #PassiveIncome

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00:00Ever wondered how the rich seem to get richer, even when they make what looks like a bad investment?

00:05Here's a secret they don't want you to know.

00:07They buy assets that lose money on paper, but actually make them wealthier.

00:13Confused?

00:14Let me explain.

00:16Imagine buying a luxury apartment building.

00:19Every year, the building depreciates, meaning its value technically goes down for tax purposes.

00:24This depreciation creates a paper loss, which they can use to offset their other income.

00:28That means they pay way less in taxes.

00:32But here's the magic trick.

00:33While the building is depreciating on paper, its real-world value is often going up.

00:38Plus, they're collecting rent every single month, so they get cash flow, a growing asset, and a massive tax break all at once.

00:45It's a powerful strategy of turning paper losses into real financial wins.

00:49If you found this helpful, hit that like button and subscribe for more secrets of the wealthy.

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