Touted as one of the most insightful records of Jay-Z’s career 4:44 is still being talked about among people across America. One reason for this is because of Jay-Z’s song The Story of O.J. where he not only talks about the issue of race but surprisingly also drops knowledge on investing in real estate.
Undeniably the best hip-hop artist who’s ever done it Shawn Carter, aka Jay-Z, is still causing heads to bob. But today he’s doing it a bit differently. Jay has taken his message to a whole new level where he encourages listeners to invest their money wisely, and in particular, into real estate which has historically been one of the most secure investments one can own.
He starts his lesson by speaking to hustlers (those who make their money through illegal means) about how to clean their money. He says “please don’t die over the neighborhood that your Ma’Ma renting. Just take that drug money and buy the neighborhood. That’s how you rinse it.” We don’t condone or support the illegal distribution of drugs but the overall context of what Jay-Z is saying suggest that if you are engaging in these sorts of activities you shouldn’t stay there. Take those resources and create a better future for yourself and buy real estate. This is of course a morbid way of encouraging real estate investing but there is a reality that goes on in many communities across America that cannot be denied and Jay-Z is speaking towards that and offering a better solution to many of those people who are looking for one.
He then goes into his experience of how he had a chance to invest in a property in Dumbo (a neighborhood in Brooklyn) when it was still the “hood” and wasn’t as desirable as it is today. In the verse he says “I could of bought a place in Dumbo, before it was Dumbo, for like $2 million. That same building today is worth $25 million. Guess how I’m feeling?….Dumbo” Jay-Z shares with his listeners the cost of opportunity cost. Jay-Z missed out on an approximately $23 million profit all because he failed to take advantage of the opportunity to invest. Money that sits stale in a bank account, or even worst, underneath a mattress won’t help you make more money. But when one takes advantage of the opportunity to invest in real estate they have the potential to see it grow beyond what they may have thought to be fathomable.
However, Jay-Z doesn’t stop there. He goes on to talk about the importance of having good credit and how owning property can lead to financial freedom. He makes one statement on the song that literally had everyone retweeting “Financial freedom my only hope. Fuck living rich and dying broke.” The point being that everyone wants to look a certain way but very few people are willing to sacrifice to be what they really want to be economically.
It’s no secret that investing in real estate is one of the best forms of building long term wealth. Every property owned can not only add to one’s income but it also adds to their net worth and reduction in taxes owed.
Just like with anything else the hardest part is to start.