but owning many rental houses, I am creating the same kind of effect as operating a profit earning company. Who are my employees ? my tenants! I didn’t hire them, I don’t have to pay their salary and health insurance. But they contribute nearly 1/3 of their salary to pay for my rent. They are indirectly paying for reducing my principle amount on the house. They are my passive workers. The more rental houses I buy, the more OPM I can control, the better I can suck other’s people’s blood earned money into my own pockets (PASSIVELY).

A lot of people’s understanding for housing investment remains at the level: “I buy a house and get price increase, and I am happy, otherwise, not good investment”. These people didn’t know the passive power from housing investing.

80% of people don’t understand the OPM/Passive nature of investing in real estate. The rest 15% understand the theory, but they can’t pass the landlord test, so in the end they won’t reap the benefits. Only 5% people can win this game. That’s why I say real estate investing is very hard business. At the same time, it’s one of the best businesses for middle income people to find financial freedom in the end.