the four wealth generators of real estate. So one of them is appreciation. Real estate goes up. Number two, real estate gets paid down when you have a mortgage, which is great. That's the whole leverage piece. Number three, though, is the cashflow. I'll get to have a nicer car because of that.
I can use that for my life and that's why I love cashflow. So cashflow is the third reason. And the fourth wealth generator of real estate is the tax benefit. When I make $1,500 a month on cashflow, I pay $0 in taxes on that. You make $1,500 doing a W-2 job, not you, but somebody does.
And they're going to pay $500, $600 in taxes, whatever. Not only do you have the three areas where you're growing wealthier, but the fourth area is that there's so many tax strategies for real estate investors that you typically will pay little to no tax as long as you're investing in real estate.
So combine those four things together. And it's a phenomenal return that I think can blow out any business, any investment, any way to generate wealth completely out of the water.