At 25 years old, many of us are just hoping we can find enough change in the couch to order a pizza on Grubhub. But that’s not the case for everyone — especially the most industrious members of Gen Z. Individuals born roughly between the mid-1990s and early 2010s are proving to be a generation deeply associated with tech fluency and a strong inclination toward figuring out how to make money outside of an office environment. So, naturally, they’re becoming trailblazers in the realm of real estate.
Jacob Michal of Louisville Cash Real Estate is one such member of Gen Z. At just 25, he embodies the generation’s entrepreneurial spirit — building an impressive portfolio of nearly 10 properties, with a history of over 30 properties purchased and sold. His journey not only redefines success for his generation but also offers valuable insights into how creativity, strategic partnerships and innovative financing techniques can pave the way to real estate dominance. In his own words, he explained to GOBankingRates just how he did it.
Michal says he has a unique way to finance purchasing properties — and one that serves him very well. “Part of my success comes from leveraging owner financing, which is where the seller will finance the property directly without me having to go to the bank and get a loan,” he said.
By securing owner financing, Michal not only streamlines the purchasing process but also gains greater control over negotiations and terms. This approach reflects the changing landscape of real estate, where innovative financing techniques empower young entrepreneurs to pursue their dreams with greater flexibility and autonomy.
Just Flip It
A significant portion of Jacob’s real estate ventures involve short-term fix-and-flip properties. “[I partner] with private money lenders who fund the rehab and purchase of the property,” Michal said.
This allows him to use his knowledge of market trends, property valuation and renovation to fix up properties and sell them at a profit. By identifying undervalued properties, he adds value through thoughtful renovations and ultimately sells at a profit. Of course, the money he makes flipping houses allows him to do more of what he loves: acquiring more real estate.
“While many of my properties are short-term fix-and-flips, I am slowly adding more properties to my rental portfolio as well through owner financing,” said Michal.
Proving that Gen Zers’ ambitions stretch beyond immediate gains, Michal is gradually transitioning into the realm of long-term stability and wealth-building by augmenting his portfolio with rental properties. This strategic shift generates ongoing income and lays the foundation for a secure financial future.
Future So Bright
As Michal continues his journey, he remains committed to pushing the boundaries of conventional real estate practices.
“I also plan on buying a three- or four-unit this year that I can house hack,” he said. House hacking, aka living in one unit and renting out the others, effectively offsets mortgage payments and lowers upfront costs with a minimal down payment. He also wants to increase his net worth so he can set himself up for a bright future — and take care of those he loves. “I want to acquire more properties to build wealth for me and my family,” he said.
For Michal, and Gen Zers like him, diving into real estate today is a way to look out for themselves and the people around them moving forward. Through a visionary mindset and pursuit of financial freedom, Michal proves that age is no barrier to building an impressive real estate empire.
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