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In today's episode, I'm going to teach you how to find the cheat codes to life, and believe it or not; they are everywhere.
All right. If you ever play video games, what's one of the coolest ways or the fastest ways to win at a video game? It's to go on Google and find the cheat codes, right? You find the cheat codes you put in the cheat codes, and now you get all these power-ups, superpowers things to make the game easier to play. And I get it. Sometimes, you know, people don't like to use cheat codes. They like to play the game as it is, but let me just tell you, when it comes to life, we only got about 70 or 80 years on this planet. And if you can get a cheat code to life, you should absolutely take it. And here's what I mean. There are cheat codes everywhere, because look, when you are, and this is why it's difficult for us to quickly evolve as a species is because maturity happens through age, right?
Just like a whiskey or a wine can only achieve a certain taste or quality through aging, so as with humans. When you are, you know, a kid, most children are only so mature because they just haven't been around on the planet long enough to experience situations that increase their maturity. When you're in college, and you're a young kid, and you know, that 30 or 40-year-old friend of yours or uncle or whatever, is like, Hey man, you know, let me give you a piece of advice, you never listened, right? We never listened. Ah, yeah, whatever, we think we know it all. And then when we get into our thirties or forties, we're like, wait a minute. That was true. And now I feel like it's my duty to tell a 21-year-old this same thing, because man, I wish I would have taken that advice when I'm 21.
And we get stuck in this infinite loop where, you know, we make all these mistakes, even though we have people telling us not to make them, but we're very resistant to that. And so here's something that I started doing a long time ago that really allowed me to skip a lot of mistakes and discover that the codes to life because, you know, where I'm at right now in my community, I'm the youngest person in my community. Most people in my community, you know, where I live, these are all anywhere from two to $5 million houses. They're all like old doctors. They've been, if they've got either old money or old businesses, they've been around for a long time. I'm the youngest one.
Whenever I go looking at some of these condos, like, I'm looking at a couple of condos right now. They're in the $2 million range, nobody in my age bracket. I'm 34. Most people can't afford that, at least down here. And so, you know, I'm finding that if I want to live in a building with, you know, more young people in a younger community, it's challenging because there are just no young people living there. And, and I keep getting asked by realtors and things like that. They say you know, how did you achieve this? How did you build this wealth so quickly? And I said, well, it's not really me. I just listened to people that had already done it. And I decided to actually take that advice prior, instead of waiting 20 years and figuring it out for myself.
And this is what I mean by that because there has to be a systematic, you can't just take people's advice that are older than you. That's a terrible, terrible way to look at it.
So let me give you a structured, systematic way to look at it and how to really find the cheat codes to life. What you want to do is you want to look for people that have done things in the realm of what you want to do and have achieved goals that you have that are much older than you. And you want to look back, and you want to find interviews from those people, talking about what mistakes they made. And then you want to find mistakes that you hear appear in multiple, multiple interviews from different people that have achieved that goal. And let me give you one particular example.
I used to think the debt was bad, meaning just pay cash, right? Because when I grew up, I had that belief instilled in me. Oh, just pay cash, don't spend money you don't have. You know, all this terrible, terrible advice that I later found out was terrible. But I didn't understand that debt could be a good thing. It's not always a bad thing. Let me give you a hardcore example.
I would listen to interviews where entrepreneurs would say; I wish I took on debt. I wish I took on debt. I wish I took on debt. I didn't understand how to use debt properly. And I'll give you a perfect example. There was an opportunity for me to purchase a home cash. And I thought, well, you know, I could buy this home in cash, and I don't owe anything. But I thought about it. I listened to some of these interviews. And then I went out, and I talked to my financial advisor, and I said, help me understand this. Why would I not buy this cash? And so he says to me, well, think about it in terms of math.
If you buy a house in cash, what are you saving? You're saving about 3% because that's what interest rates are right now, right? So you're saving 3%. Now, if you were to not pay cash and you were to take that same amount of money, and instead of paying cash, you got a loan. So now you're paying 3%, but you take that same money you would have bought, or that you would have put into the house, and you put it into an investment fund. Like a managed real estate fund or a debt fund or something that pays, say 15%. Well, now you're not saving 3%. You're making 12. So what that means is if you take that same amount of money and you put it into a fund that pays you 15% a year, you can take three of that 15%. And that pays for the 3% that you would've paid on the money for the house. And so when you buy a house in cash, you're not saving 3%, you're losing 12%.
That's what's happening. And I didn't realize that cause I would always listen, Oh, you don't want to have debt. And so that's what I started doing. And you know, when I bought the yacht for Millionaire Cruise, I did have to buy it cash just for the purposes of the deal. But we're doing a recapture loan where I basically, it's like a reverse loan, so there will be a loan on it. And, you know, I found a fund that I can put my money into that literally has such a good return that I take that money. I put it into that fund. And the return I get from the fund pays for the payment on the boat. So we found a government-backed contract for a food service company, a company that literally pays, it's like a six-month loan, and it pays 16%.
So let's just do the math here. Let's say I took just 1 million, right? Let's just take it to 1 million. And I put it into that. That's going to give me a $160,000 return in six months. Now the payment on the boat is about ten grand a month. Well, that means in six months, I will have paid for 16 months of the boat payment. So let me run that back for you. $1 million. Okay. Let's do the math times 16%. It's $160,000. And I get that in six months, and that is 16 months' worth of payments on the boat. And now that I have that money back in six months, I can put it into another fund. So I'm basically using, and you know what I pay on the boat is like three, 4%.
Now, obviously, I have access to these deals. I'm in investor networks. These aren't deals you can just shop for online. But the point is that understanding money, the movement of money, and understanding debt allowed me to create situations where instead of me buying something cash and just, Oh, I saved 3%, three or 4%. I was able to leverage that money to do other things, to pay those things. Like I use my money to pay off my money, right? You can use money to create more money. And the main way to do that is leveraging debt. Understanding that if you take on a debt that costs you a little bit, but then you give that money to where somebody else is in debt to you for way more, there's a difference. And that difference puts you in the positive.
So the point is, I'm not trying to get into investment advice. I'm not giving you investment advice in this episode. But the point is that my mind told me not to do that. But when I found that cheat code, I did it by constantly listening to other entrepreneurs who were 20, 30 years older than me, who said, one mistake I made when I was younger was I didn't understand how to use debt to grow my money and pay for things and leverage it faster. And I wish I would've considered it sooner. And so that, and I heard it over and over again by people I respect. And so I, okay, that's the cheat code, use debt. So now that I know what the cheat code is now, I got to go figure out how to do it. So I went, and I found the experts, and I learned how to do it. And I did it, and it's working out great.
The point here is, I would have never even gone down that road, let alone learn how to do it, let alone did it and benefited from it if I didn't accept that as a cheat code. If I didn't change my belief by finding people that were older than me, who just from a biological standpoint have been around 20, 30, 40, even 50 years, my senior who have achieved things that I want to achieve. And when asked in interviews, you can find them on YouTube. You can find them in articles. People will ask them, what's some mistakes you've made, right? Just listen to them because I guarantee you those mistakes they made are mistakes you are either making currently or you will make. And if you just listen and open your mind and you go, I am making that mistake. I need to actively look into not making that mistake and not put it off.
That's the main thing that I did and continue to do that allows me to continually grow my wealth at such a high rate at such a young age because I get addicted to changing my mind. That's what I get addicted to. So that is just one way to find the cheat codes in life. Look for people who are 20, 30, 40, 50 years, your senior, who've done what you want to do, who mentioned mistakes they've made, and you hear them over and over again. And then go figure out if you're making those mistakes and how to correct them and make it a priority. And if you do that, the cheat codes of life in all categories, not just business, personal, you know, relationships, everything, those cheat codes will come to you, and they will come to you in droves.
So that's my recommendation to you to find the cheat codes of life. I'll talk in my next episode about how to become smarter by creating a second mind. So don't miss that one. See you guys in the next episode.