I Live On $183K/Year & Own Four Rental Properties Worth $2.3 Million | Millennial Money
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- Опубліковано 20 вер 2024
- For his day job, Karun Vij earns $183,000 as a regional sales manager for an automation supplier. But before the age of 33, he has also amassed four properties, worth over $2.3 million. His ah-ha moment came about in college, when he realized the value of buying up student rentals -- and he doesn't plan to stop any time soon.
This is an installment of CNBC Make It's Millennial Money series, which profiles people across the globe and details how they earn, spend and save their money.
Produced and Edited by: Raffi Paul
Senior Managing Producer: Eric M. Clark
Camera: Jeremy Applebaum
Animator: Elham Ataeiazar
Reporter: Mike Winters
Additional Footage: Getty Images, Karun Vij
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I Live On $183K/Year & Own Four Rental Properties Worth $2.3 Million | Millennial Money
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Do you take South Africans?
Love youll here
I like his explanation of "GOOD" debt. It makes sense
"If I feel uncomfortable or feel fear, that means I'm learning" Now that is wisdom.
2.3 million in properties AND 2.2 million of debt. What people don't understand is all his rental income is getting taxed at 24% minimum. So if he's renting for $2000 and the mortgage is $2000. He's actually losing $500. When the next housing recession hits, this guy will be the first to go under just watch.
Yeah this guy is not doing well at all. This video just shows half the equation
Yep. This is the exact truth.
If those numbers are real, then he is over leveraging. I own 3 rentals properties and 1 primary resident. All paid off and yes I am getting tax heavily as these are treated as ordinary income. And yes if home values goes down 20%, he is upside down.
At least in the US he can offset the rental income with expenses and depreciation so it’s highly unlikely that he’s paying much tax if any on this income. Also, if he’s as leveraged as you claim almost all of the mortgage he’s paying is going to be an interest expense. Having said that I highly doubt he’s as leveraged as you claim
Bruh what are you on about. He’s speaking generational wealth you’re probably thinking about short term profit. He makes 183k annually at his ‘day job’ and own 2.3m in property with 2.2M in debt which is actually a positive net worth. And the approach to only rent to students so he can rent out per room and continually increase rent as the market changes is per genius. His mortgage on a property might be 2k but he’s probably making 5k in rent a month. There’s no way he’s breaking even or losing renting to students per room. Think before you type
Jobs will pay your bills, business will make you rich but investment makes and keep you wealthy!
Last year, I was working full time, budgeting groceries, unable to afford date nights, and missing time with my kids. Now I learned how to make money online. Now am a SAHM, homeschooling, and making profits every week.
This video got me hooked, and now I’m determined to become a billionaire in just two years! 💪💰
That's great! I'm motivated too! How can we achieve this challenge?
I've heard alot about crypto currency investments and how effective it can grow your income! Any recommendations on a guide?
Catherine S. Woods is an amazing tutor for crypto. Highly recommended! She’s been my Tutor and Mentor for past solid 8years!
Love his story and his grind. He's not pitching a channel or any product but telling his story and plans. Well done champ!
No just fleecing renters
No I don’t think you’re understanding no hate to this guy but when he says charge per room, he forgot to tell you he’s packing probably over 30 ppl into a house like Sardines…that’s how he’s able to make his money. And primarily renting to ONLY students of South Asian decent mostly Punjabi here in Canada. He’s most likely violating tons of housings laws and these people don’t know any better. You can bet your bottom dollar he’s not paying taxes like he should as well.
I don’t know why CNBC is out here just covering another slumlord out here in Ontario, I’m actually appalled.
Many of us own multiple homes and rent them, but these South Asian landlords are some of the worst, don’t just take my word for it do look all this up yourself.
@@donm6595you know this for a fact or just assuming things with your limited perspective?
Experience an authentic and intimate perspective on people with intriguing careers and lifestyles. This podcast features interviews with two guests every week, with new episodes available every Monday. Past guests include ASMR artists, plastic surgeons, Olympians, female car mechanics, therapists, ghostwriters, morticians, and a person who waits in line for concert tickets and iPhone drops. The guests come from various parts of the world and different walks of life.
I’d be retiring/working much less in 5 years and curious to know best how people split their pay, how much of it goes into savings, spendings or investments. I earn around $250k per year, but nothing to show for it yet.
it is never too early or late to start retirement planning, there are advisors out there that can help you build a personalized plan
Money advice is subjective, what works for you may not work for me, but it's always better to plan. I'm quite lucky exposed to personal finance at early age, started job 19, bought first home 28, got laid-off work 36 amid covid-outbreak, and at once I consulted an advisor to handle growing my finance. As of today, I'm only 25% short of my $1m goal after 100s of thousands invested subsequently.
bravo! I am 36, inherited money from a childless relative and traveled overseas, got married to a lady almost my age, but the only issue is how to preserve and grow my wealth in this shaky economy, can your advisor please be of help?
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I feel excited to have come across this, curiously inputted Theresa Leigh Detrick on the internet, spotted her consulting page ranked top and was able to schedule a free session. Ive seen commentaries about advisors but not one looks this phenomenal
CNBC Make It: just be a landlord lol
Our economy struggling with uncertainties, housing issues, foreclosures, global fluctuations, and pandemic aftermath, causing instability. Rising inflation, sluggish growth, and trade disruptions need urgent attention from all sectors to restore stability and stimulate growth.
Things are strange right now. The US dollar is becoming less valuable because of inflation, and other powerful nations waking up to trade in their own currencies. Good thing is, a lot of people still turn to the Dollar because of the safety is somehow assures. I'm worried about my retirement savings of about $420,000 losing value because of these factors and more. Where else can we keep our money?
@RobertCooper03 That's fascinating. How can I contact your Asset-coach as my portfolio is dwindling?
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Most generic comment ever. Are you a chat bot?
When he said he charges per room, I took that too literally like he charges the tenants ten bucks every time they use the bathroom. 😂
he needs to install key fob access points to bathrooms that logs all logs
You all, we should all buy 5, 6, 7+ houses and keep rolling the profits into owning more. We could literally prevent anyone else from getting their first by keeping the supply low, and force the entire population to rent from us forever :D
But how does that contribute to National exports to create profit as a country?
landlords are the scum of the earth
@@Legoman69469it’s a joke… but it creates workforce housing, creates jobs for contractors, suppliers, and manufacturers. Pays realtors commissions as well. Generates interest yield on debt for banks which supports the flow of commerce in general. Just a few ways…
Solid story. Great LONG term vision and diversifying long term through real estate and 401K.
Yeah !! With the current problem around the world today I think it's best everyone invest more in digital asset than Saving in banks and real estate . Just my thoughts
Traders should exercise caution with their exposure and exercise caution when considering new investments, particularly during periods of inflation. It is advisable to seek guidance from a professional
Wow, that's stirring! Do you mind connecting me to your advisor please. I desperately need one to diversify my portfolio
William G Berkman
Quality predictions always. Really helped trading with William G Berkman analysis and services, even with the market in a downward trend. Definitely riding the market wave is a good perspective.
How can I get in contact with him, please?
Well said, any money generating hustles are long term. very few unicorns out there. great income on FT job. I'm a 48y old, I invest/save 40-45% of income. If I could turn back time I would've looked into real estate more. Great job Karun. thanks for sharing.
I'm surprised he's spending so much on rent but he's a man with a plan and hopefully it works out for him
Having a fiance in grad school getting her PhD I actually turned to student rentals as well. I get between 1000-1400 per bedroom.
Congrats you are part of the problem.
Surprised he isn't in any stocks outside of that 10% 401K contribution. He might be able to do a lot better than that 5% interest rate with an ETF or something. Very inspiring, I like real estate, not sure if I want to deal with tenants like he does and would much rather leverage a management company to deal with those calls.
The $100k in the savings account is cash ready at any time to buy real estate.
This man has solid fundamentals and while he could make more money on ETF, they are a gamble at the end of the day. He knows real estate and is putting his skills to work in it.
@@saltorres9989 Yeah, but QQQ is an index fund which is designed to lower the risk at the end of the day. To each its own though.
@@saltorres9989real estate is a gamble too
Credit card debt making 183k? LOL
You missed it he said he’s buying ASSETS with his credit card lmaooooo
margins must be really low
@@d.akhtar9080 thats a terrible strategy...definitely weird
My man out really doing his thing-thru failures and all. Respect.
He's highly leveraged it sounds.
How so? He bought the first property in 2016 (8 years ago) and probably picked up the rest of the properties along the way, so a lot of the $2.3 million in value is from appreciation especially for properties bought before 2022. He should have a fair bit of equity at this point
Chicago... barely equity appreciation and erosion of profit bc of high property taxes. Chicago real estate is a trap 😅
Amazing mindset
Over leveraging yourself in real estate is not a good mindset.
It's no longer a story that the world is experiencing a global economic downturn, I'm so happy that I've been receiving $41,000 from my $13,000 investment every 10 days.
I invested with Rida, i make about a 30,000USD every month.
Same here, a Transformation of £4000 to £15,400 in just 2 weeks, he's really the best
I heard a lot of investing with Mr Rida Morwa and how good he is, please how safe are the profit?
Just be a landlord, bro.
Haha yeah let’s get rich and not have to work and be financially free by making others poor. Let them rent forever and they can pay our mortgage. God we’re heroes !
@@omichaelnato5388welcome to planet earth
@@omichaelnato5388You are the definition of poor mindset. He’s worked hard to get where he’s at and to build wealth for his family.
@Jaypes3000 Being a landlord means draining the financial resources of other hard-working people, while doing virtually nothing.
@@tacituskilgore8747 I can tell you don’t own real estate. Try to get out of that mindset, buying and maintaining rentals is not that easy. But majority of millionaires have gotten to where they are at by owning real estate.
True indeed! Great episode! 🎉 Buying rental properties was the smartest thing I did financially, I wish I would've started earlier.
Maybe I’m being too cynical, but something about this video just seems off…
7:04 "I also want to show my daughter, that anything in life is possible, if you put the work into it."
This guy is a glorified slumlord. He's cramming as many international students into cramped houses near campus as possible.
??How did you come to this assumption?
A lot of people dont know how capitalism works. Everybody does not benefit. If everyone was successful and doing what he is doing then who would be renting? No one. You need those less fortunate for it to work and thats why its highly flawed
Few properties is fine just manage with management agency. But too many is hassle. Just invest in REIT
He clearly hasn’t found Dave Ramsey! 😂
Ramsey is for beginners, he learned more from his parents; as most East Asians.
@@tdgdbs1credit card debt for a baby when u make 183k?
Looks like his strategy is working out well for him 🤷🏾♂️
it did for dave and look how he turned out @@stefanossmitty3318
Absolute bold and confident person. These are the kind of people that make money!
If I knew about this earlier, I would have worked towards this from 15 years old!
He has credit card debt which is likely to pay 25% interest. Yet he talks about it being fine because he needs to keep buying property aka paying multiple mortgages.
He’s not stupid .. some credit cards are interest only for 18 months .
I wouldn't feel comfortable carrying so much debt. But that's just me personally.
@@beaniemac they’re 2 types of debt . Non recourse and recourse
It doesn’t say which it is
It's gonna be hard for him to continue acquiring properties with interest rates being high and him only using debt to finance his purchases.
I like what he’s doing but gotta get rid of those CC balances tho. Also think he should pause acquiring new properties after a few and try to pay down the current ones to eliminate some of the risks. That’s what I would personally do.
I started this business a year ago and I now have 3 properties. I have the same strategies, let out room by room and choose the properties close to the universities and town centres
Key word Bussiness real estate is like owning a bussiness “not passive income” and I like how he is putting money in his 401k as well, I disagree with his love of debt but he’s doing well
Mostly agree with everything except the $4000 monthly rent payment! This goes against your investment principles. Why not just buy a property in Chicago?
I bet it's cheaper to rent in Chicago than it is to buy
@@danforward3913 always better to buy long term. He also didn't play it smart by buying rental so far away. I wonder how much be pays in management fees as well as repairs. We all know how college housing is left once the students leave.
He's Canadian there's no guarantee he'll be living there indefinitely
Any profit he makes from his properties, he hands over to the landlord of his condo in Chicago. Makes zero sense
Owning a home sometimes far exceeds renting. Prop taxes, maintenance, etc.
Smart of him to buy property in Ontario. The housing there is absolutely nuts.
Hows he doing with the current interest rates ? Mortage terms renew every 2-5 yrs in Canada
Why is he renting in Chicago when he owns property in Canada?. $4000 a month is an exorbitant amount of rent here in Chicago.
Low monthly expenses and expenses are ~10k a month. 🤔
There is no 401K in canada
Even though this looks like a success story, there are several flaws. He is immensely overleveraged during a time with rising interest rates and massive housing prices. A market correction might not come in the very near future, but it will come in the coming years. Also in general terms I don't like this approach because it actually contributes to the housing disaster we are currently experiencing. Many people buy up real estate to maximize their own profit by either renting it out with a premium or (like the guy in this video) per room basis (for example via airbnb). This leads to insane prices in many cities which are often squeezed out to the maximum. Yes, this is perfectly legal albeit not unproblematic. Especially because many people do this with unreasonable leverages (again like Karun here), which artificially inflates the market and induces a lot of instability in the long run. It's like we haven't learned from the crisis in 2007-2009. Not even mentioning the moral aspects of maximing your own profits by squeezing out students or young families who often already struggle financially to begin with ...
This is one of the worst episodes y’all have put out
Credit card debt is not good debt
Universities are on their way out in a post-AI world. Most universities are transitioning to online schools now.
Well done - welcome to Chi Town!
Idk… this was a very bad episode for some reason… idk what it is but this is bad.
Yeah I agree
Because it's just a landlord episode lol
There is no reason to not pay off a credit card. You are being charged 30% interest, he is living above his means.
Landlord to landlord, your housing expenses are way too.high. I also rent but just outside a major city with a similar cost of living. However, your rental strategy yields the highest profit, renting by the room. Consider outsourcing your tenant calls to a phone operator to make it easier managing your properties.
Wow, this video was incredibly insightful! As a senior high student here in the Philippines, I learned a lot about financial strategies and real estate investment from Karen Vij's journey. Her tips on overcoming fear and taking control of one's financial future are invaluable. Considering my plans to move abroad, the information shared in this video will undoubtedly guide me in making informed decisions. A big thank you for sharing this knowledge and providing inspiration for someone like me aiming to achieve financial success in the future!
The smartest thing that should be on everyone's mind right now should be to invest in different streams of income that are not dependent on the government. Especially with the current economic crisis around the world. This is still a good time to invest in gold, silver, and digital currencies (BTC ETH...).
Incredible success story!
He is absolutely one of those greedy landlords
Well done. Your come-up has been similar to mine. Heavy real estate, yet remains a renter at the end of it. I am the same way. Keep inspiring and showing how the long game pays off!
Owning real estate is gross, you should be ashamed using it as investments.
@@Kelseyveg Good landlords provide a service, while bad landlords take advantage of people. The beauty of my business is I get to choose to be one of the good guys. Hope you have a great one!
@@running_realestate I knew you wouldn’t understand, hopefully one day you and everyone running after real estate will.
@@Kelseyvegnot everyone can afford to buy/own Kelsey… where do they gotta live? On the streets?
As a buy & hold RE investor as well, You are correct; you choose to provide a good service and having the proper mindset and discipline helps this process along the way.@@running_realestate
I feel like he’s yelling lol
I used to live in a house where you pay per room as a student at a university. It's not a bad idea at all. I would do the same. Living in a dormitory can cost more through student loans. It definitely helps the cost of living as a college student. Just as long as he's not charging what you can get for a 1 bedroom apartment, this should be a win-win for both the student and him.
Bro has his savings in his robbinhood account with that 5% APY
Wow, so inspiring!
Another success story started with “good advice from my parents” 🎉
Great strategy! I’ve imagined doing exactly this for a long time…I just don’t have the money plus single mom. But I’m getting there!
Isn't a stove and overhead range/microwave partially blocking a window a building code violation?
This makes zero sense.
100k sitting cash earning 5%, yet puts his kids clothing on a credit card at 20%.
This doesn't show his interest rates, so we have no idea what his mortgages are and what money he's making from these students.
Whatever profit he does make off his real estate, he blows by paying some other guy 4k a month to rent a condo in chicago.
And like every episode of this dumb series, only talks about assets, not liabilities. Show me net worth and we can see how successful he is.
Just exploit upward pricing hysteria against our educating youth guys
AAaaannnnD this is how we saddle an entire generation with lifelong student loan debt.
Blame it on the interest rate and the high mortgages it's let to.
But he’s providing housing. What are you providing??
Really missing the forest for the trees aren't we@@danielmankinde1706
We've seen this 1000x before. Brrrr'ing his way to bankruptcy.
Wonderful story. Good job on personal achievements, sticking with it and learning, and in setting the foundation for generational wealth.
"O.P.M, guys! The more you borrow, the richer you are".
I'm pretty old. I've seen soooo many people getting wiped-out doing exactly what this guy is doing. When the hard times come they come FAST. Lifes totally ruined. Marriages destroyed. Nervous breakdowns. It's no joke. People never learn. There's always a new generation that thinks they've hacked the system. Greed, naivity, and overconfidence is a dangerous mix.
This is gross. There is a housing crisis in Canada and you’re not even local to being a landlord, why wouldn’t you sell everything and do what you’re doing in Chicago? Free up housing for people who actually live there. And the comment about making 100% profit after the housing is paid for which is just sad, doesn’t mention property taxes, maintenance, this guy thinks owning properties is passive income. The only thing that makes me happy is he has to renew his mortgages at higher rates in Canada although I’m sure he’s one of the landlords that would kick students out illegally paying lower rent because he just sees this as money making and it’s just gross.
Your comment is gross. It’s capitalist market. Students have houses to rent because someone bought it and took on a mortgage. He has every right to do whatever business he wants. Instead of crying of over what he’s doing you do your part in whatever you believe … whether it’s giving free housing to locals or not. He’s not doing anything scummy or criminal. If you think like that you’d say wow this guy is making money baking bread Cz he knows people love bread.. instead of giving it for free… he Ben came from another country.. food is so expensive now. lol he’s corrupt and making money buy selling clothes Cz everyone needs to buy clothes… how’s absolutely horrendous. He came with zero dollars and built everything from scratch… that is the North American dream.
Alright now I've changed my goals 😂
Idk bit keeping credit card debt, probably around 30%, and not paying it down to save for property doesn't seem smart. At most that property will return what 8% after mortgage and taxes are paid.
Let's celebrate the guy that doesn't want to work so he profits off of other people's labor to do so. What a worthy guy. He got sick of being taken advantage of so he decided to be the person taking advantage, what a great system we have. He wants to retire so his tenants won't be able too. Solid stuff.
every one that has a 401k or invested in any stock profits of the labor the employees of these companies do . So by your logic retirement or social security should not be a thing because they do not work directly to get this money?
@@ericl6386Retirement funds are for people who can no longer work due to age, and people need to retire so the next generation can earn their own income. This guy can still work but he'd rather be a leech off of working people.
You do realize he is a renter himself too right?
#Fail
How miserable are you? Clearly he works 9 to 5 and used his income to invest in real estate it's really not a hard concept to grasp!
He is working hard taking advantage of free market capitalism and living American dream. Good for him.
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Supee inspiring 🙂 Great job man. Wow 👏
I’m doing the same thing except the property I buy is called Bitcoin.
that annual rate would look much better if he didnt have a kid
Do you buy in a limited company?
I live in a van down by the river but I make 276k a year
But he rents a condo for $4k a month? Hmmm? Since home prices are down now.. wouldn't it be financially smarter to buy rather than rent for $4k? Use that $100k that is only gaining 5% use it as a down payment.
It’s because of people like this that we have no where to live.
This is disgusting. Who else dislikes landlords? This guy is not even living in Canada.
Capitalism. No sense of community. Long term profits that lead to misery of others while keeping the housing supply low. A lot of ppl here are spineless so they dont stand up to it such as say France.
Ppl need to be saved from themselves. If the government can not mismanage unlike Canada then the state running things makes sense as it works very well in Scandinavian countries.
Diamond hands REDFIN
CNBC trying their best to motivate people to invest in real estate lol
Let me guess, BRRR method and he's extremely highly leveraged in real estate debt.
😎I retired young and rich before 30 to travel around the world on $10,000.
It takes so little to retire and yet, most people can’t do it.
“This is not a get rich quick scheme, this is an investment” Nice mindset bro 😂😂 $183K as a Regional Sales Manager is hard to believe, especially if he’s commissioned based out there, but idk 🤷🏾♀️ Chicago might be a good place for business, just wouldn’t dare live out there 😂
Just wait for 2008 real estate market crash 😂
No offend, but sounds like a slum landlord to me.
Buddy karne respect ✊🏿 desi banda
So he is just another fool overleveraging himself in real estate and contributing to the steady decline of homes supply. We should not be celebrating people like this. Not to mention his day job nets him about 2 times more than the national average, so it is not like he is just some working stiff trying to get by and making it.
so his whole pupose in life is making money..... wtf
cant do life without it, sounds like it was a "part" of his purpose
I mean, this channel is literally about millennial money. Did you not think he was going to talk about money?!!
We all know that money isn't everything. But what do you this this channel is about, love?
Understanding failure is part of any success is key
No such thing as good Debt
Let's go! Inspiring
rental ghoul
College did shut down, when covid happened
That's a once in a blue moon temporary event. And lots of big name colleges and universities still stayed open during COVID.
Best episode
Just inspiring feel like the characteristics I want to grow into. Thank you for sharing and hopefully I can learn from leaders like you of God gives a chance.
He seemed to have Indian blood in him. Good with math
What’s your liabilities too