MARKETREALIST.COM / PERSONAL FINANCE

Want to Make a Fortune? 4 Money-Making Secrets by This Self-Made Millionaire Might Come in Handy

Alan Corey has become a self-made millionaire in the States and has written best-selling books about his career journey.

BY SUNAYNA KANJILAL

UPDATED DEC 1, 2023

Cover Image Source: Pexels | Tima Miroshnichenko

Editor's note: This story was originally published on June 30, 2023, and has since been updated.

Alan Corey, now 45, started with a $45,000 per year 9-to-5 job back in 2001 when he moved out of his mother's basement in Atlanta into a sublet in the housing projects of Manhattan. However, Corey soon realized that the 'lousy job' of a technical operator would not be enough for his career and as a result, pivoted towards real estate. Now, Alan Corey has become a self-made millionaire in the States and has written best-selling books about his career journey. Recently, in an interview with CNBC, Corey shared four 'cheat codes' that can help people boost their wealth in today's economy.

How do we become wealthy once and for all with these 'cheat codes'? Let's find out.

1. Cycle through mortgages by 'Floating'

One of the key tips to boost your wealth is to 'float' from mortgage to mortgage, taking advantage of the lower interest rates and lower downpayment requirements, recommends the 45-year-old millionaire. Here's the official website of his platform "which aims at helping student become financially free through real estate investing."

Alan Corey says that residential mortgages have some of the lowest down payment requirements and interest rates. Moreover, individuals only need to live in a property for the first year of ownership to keep the residential mortgage. Following the tenure, they do not even have to refinance to turn the house into a rental space. Image Source: Tima Miroshnichenko

Image Source: Tima Miroshnichenko/Pexels

So, to boost their wealth, Corey suggests that individuals can get a single- or multi-family house with a residential mortgage and a mere down payment in the range of 3.5% to 5% and then 'float' to a new primary residence. This process creates a 'breadcrumb trail of properties' that people can easily rent out to cover their expenses and even receive cash flow. Moreover, if someone qualifies for a USDA loan, which is a type of mortgage for low- and moderate-income homebuyers in certain rural areas, or a VA loan which is eligible for veterans, service members, and their spouses, they can get up to 100% financing.

2. Become a property manager for your landlord

The next tip from Corey to help boost your wealth from real estate investments is to partner with your landlord or become a property manager for them. If you do not have sufficient funds to invest in properties, Corey suggests asking your landlord whether you can sublease your current rental to a higher-paying tenant.

The sublease agreement would be for a short- or mid-term rental and the proceeds from it can be split between you and your landlord. If, on the other hand, you have a strong relationship with your landlord, you can partner with them to become a property manager for their property. This way, you can manage their vacancy as a short-term rental and gain a significant percentage of the proceeds.

3. Have your house pay for itself

Pexels | Tima Miroshnichenko — Image Source: Tima Miroshnichenko/Pexels

Another 'cheat code' by Corey to boost your wealth through real estate is to achieve 'zero-housing.' This means coming up with a finance plan that would have your house pay for itself. For instance, if you have a property as a rental, Corey suggests taking on a roommate, renting the basement of your property as a storage space, or renting a parking space to a neighbor to earn some extra cash. This way, you can easily recover the cost of your rent and let your house pay for itself.

4. Shift between your properties

If you have more than one property to your name, Alan Corey recommends a 'shift from room to room' policy to maximize your wealth. With this method, you can list all your available property units including the one you are living in on rental platforms like Airbnb. However, it is worth noting that you will need a flexible lifestyle to properly execute this trick as at times, your primary residence can also get booked for a rental. Hence, if you are planning on taking this route, Corey recommends that you have a 'go-bag' with must-have items to shift between your properties when your primary one is already booked.