Robots, Real Estate & The Great Migration – Episode 665

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[00:01] Welcome to the Prosperity Podcast. Prosperity thinkers, we’re going to be talking about how real estate and how the future of how we work is about to dramatically change. This comes from Peter Diamandis. We’ve talked about a few of these other articles. Kim, when we talked about this, I think you nearly broke your neck nodding saying, yes. Tell me why. Our homes are so, so important to how we live our life and our sense of peace and our capability to function on a daily basis. And then, of course, you have investment real estate, which almost everybody in my space is curious about. And so, obviously, I’m a homeowner. I also have what I feel is a little credibility in the investment real estate space because

[00:59] it’s just been in my family since I was a young adult. The people that I have surrounded myself with are investment real estate experts in a variety of areas. And it doesn’t mean that I am. In fact, I’ve had probably more failure in the investment real estate space than success, but it does mean that I have a lot of knowledge and I see what’s going on with it a lot from the inside. And so, if you just look at our homes and the fact that the self-driving capability is just racing towards success and freedom, then that points out that our homes no longer need to be where they are for us to be value creators out in the marketplace. And being a value creator in the marketplace is of utmost importance today because that

[01:53] is how you will continue to earn an income in the unbelievable arena of companies getting rid of humans unless they can incorporate AI. And so, it’s not that they are not hiring humans. They’re hiring humans that can work with AI. And so, by you being a value creator, you’re clear on your own skills and you’re bringing forth the opportunity to work with AI and utilize your own skills even more effectively because you can bring AI tools along with you. Well, if that is the case, then where you physically live no longer matters. Not because you’ll only work remotely, you will, some, but because you can also come into the office easily and have the necessary meetings that do require that pressing

[02:50] of the flesh, that physical human-to-human contact to brainstorm or get better results or whatever it is that your company is needed to do with humans because you’ll be able to get in your self-driving car and get yourself there without an hour-long commute or a plane ride or fill in the blank. And so, investment real estate is going to shift dramatically as it already has some. You know, we’ve started to see a lot of empty office buildings. This has been in the conversation for quite some time. We’re going to see empty suburbs, though, because people are going to want to live further and further out to have the lifestyle that they desire, but not everybody. Some people really love downtown living and the whole society that goes along with that.

[03:47] And so, I think we’ll see a flattening of price whereby there will not be the extreme, you know, downtown New York high-rise apartment price versus the house in Idaho, but a more environment that is of equal, and I don’t have any idea. I’m guessing on this, like all things around a lot of the conversations that we’re having as it relates to the future, but a flattening of price whereby you could access either one of those because there’s just so much more supply, which goes flat against what I think a lot of the press is saying today, which is kids these days can’t afford houses. Well, that’s certainly true to a certain perspective, but it’s, you know, our marketplace works with supply and demand. So, whether we’re talking homes that are investment real

[04:45] estate oriented because people buy them and rent them, or apartment buildings, or office buildings, or, you know, hotels, grocery stores, you know, fill in the blank, whatever kind of investment real estate you’re talking about, it’s going to be very, very interesting to see what happens literally in the next five years or so as this space continues to become more and more open to everybody and the self-driving arena continues to contribute to our ability as humans to be flexible as to where we live and where we work. I’m curious your perspective on it. You’ve got some great real estate investment knowledge as well. I do. To give context, I’ve been doing investment real estate since my early 20s,

[05:34] and I actually own a company that purchases large tracts of lands, and we subdivide that land. Our hottest category right now are five-acre parcels by far, and we purchased these in rural, semi-rural areas, and people are going, there’s so much demand. And there was one thing that we didn’t talk about, which was in Peter’s report, that I think is the, it’s almost like the missing key to it, which is these autonomous robots. So having a robot to, and you guys, I keep on thinking episode after episode, Kim, when you talked about repairing the fences on your property, and that’s a legacy fence and a legacy, I don’t want to use the word problem, but we’ll call it opportunity to maintain the land.

[06:28] There we go. But imagine being able to say, we really need this fence repaired. So we’re going to put this robot on this fence and he’ll have a, the robot, I don’t know why I said he, she, it will have a charging pad. And when it gets needed to be charged, it goes down the pad. And I guess we’ll see the robot in a week and it’ll be done. Yep. That’s amazing. It shows up on time. It doesn’t complain. It doesn’t take a bathroom break, a lunch break. You don’t have to pay health insurance on it. I can’t see how that isn’t a win. And we’ll be building so much in the future. Well, I am so excited, not for the robot that’s going to clean my house, because that’s what a lot of the press is talking about. But for the robot that’s going to weed my

[07:20] yard or my flower beds, I guess I should be more specific because we know that robots can mow lawns, but only if your lawn is like perfectly square and flat, et cetera. And when you live in a country, your lawns are not like that because the wild hogs come through and tear them all up or fill in the blank. Yet the ability for robots to use their hands so carefully is already available today. It’s not available on a wide scale, but it is available because they have taught the robots how to care for humans. This is one of the areas that for whatever reason all the people building robots have really gone after is the ability for their hands, the robot’s hands, to be so delicate and specific, to be able to care for humans,

[08:08] handle a glass of water, touch the human’s skin, and be effective. Well, if it can do that, it can figure out what is a weed and what is a flower, pull the weed, leave the flower, identify that the flower needs water, water it. I am so excited for the capability that this will bring. And we are not talking 10 or 15 years down the road. We’re talking, what would you guess? What would you guess the time frame is between two to three years? I legit think it’s two to three years. The robots have cameras in their hands, and it’s so good. The use case that I think of is chainsawing trees. I can’t tell you how many times I’ve chainsawed trees and I look at it and I go, is this one that I can handle?

[08:58] So it’s a risk factor. And lifting wood, and we both have land, so I know what it’s like to do hard work and I’m not going to complain to do hard work. Now, it helps me sleep at night because I do hard work. And I would like to do hard work. I’d also like to not do any work that is potentially dangerous. Right. And that you just run out of time for. I am happy to weed flower beds, but I literally could do it 24-7 in the spring and for probably 15 to 30 days of 24-7. And I still wouldn’t catch up, right? Because then you got to start over at the beginning. And so that’s my goal is the time savings. And I’ll admit that when it’s 102 out, I’m not as wild about weeding the flower bed. So I will be grateful to maybe do something else during that time,

[09:54] create value for our listeners, right? Or something else a little more in alignment with my skillset. I see that. And I think for our listeners that maybe have hobby businesses and also to you ask the question, how far out it is. I said two to three years. The other question is how much is this going to cost? And from what I’ve read, it appears that most companies will probably be doing a leasing program where they’ll lease the robot. They’re going to be really expensive at the beginning. Then mass production comes out, economies of scale. Robots might get down to, I don’t know, call it 10 grand a robot. And they predict that the prices will be two to $400 a month. I’d correct. I would pay that all day long. And for our listeners that maybe we’ve got a

[10:42] grandpa on here that’s a woodworker and they want to do a business with their grandkids, but their hands only allow them to work for a couple of hours. They can now do something that is substantial, reinvent themselves, our career. That’s the prosperous way of looking at it. Yep. And they can let the robot do the heavy lifting of the woodworking. I mean, literal heavy lifting, but also very specific. So let’s say, for example, that the grandpa is so skilled at creating ears of animals, like ears are hard to do, right? But just over time, he’s really learned how with his very fine little pocket knife, he can create ears. Awesome. The robot can create all the rest of the body and then hand it over to the grandpa to do the extra special parts.

[11:33] That’s the joy that we will get is to be working in combination with the robots whereby we’ll get to do the skills that are extra special skill and love because we’re passionate about that skill can add to the environment, whatever it is, while the robot does all the heavy lifting, either literal or physical or what’s the other word, mental, whatever the parts are that you don’t want to do, right? That’s what the robot does. That is the prosperous thinking of what the future looks like. Anyone that’s out there saying that robots are stealing the jobs or that it’s a dystopian future or whatever it is, they don’t have a prosperous lens. And that’s okay because everyone is at a different level and we invite anyone that’s not there to just take the time and explore. We’re not here

[12:33] to take away. We’re here to add. And so for any of you listeners, if you’re wanting to be on the innovative cusp, make sure you’re subscribed to the podcast. And it’s a podcast that comes out every single week. And if you want even more, go to the website, Prosperity Thinkers, put in your email address because there’s a newsletter that goes out so you can read about additional things. And then Kim, I’m sure there’ll be additional books and audio books and reports and probably going to be apps and things like that because you’re an innovator, you’re a pioneer. And me having these conversations with you is something that fuels. And I know we’ve seen it from our listeners from all throughout the

[13:19] world. So thank you for keeping that prosperity perspective. That’s cool. We really appreciate that, Kim. It is a joy to do. Thank you for listening to the Prosperity Podcast. To take control of your money and have it work for you, visit ProsperityThinkers.com.