A lot of these investors have enjoyed well over a decade of rising prices. He is also a real estate investor, an executive at a large online. And the first phase was getting that first $25,000. Mad Fientist: He seems like a good boss anyway. I cant answer that question. Scott serves as the Co-Host of The BiggerPockets Money Podcast in Denver, Colorado alongside Mindy Jensen. And I got a $236,000 loan, something like that after the fees and all that. So that would be cool to read that. I wish I had my act together as much as Scott does when I was his age. Its not to save the economy to support the Biden Administration. The amount of savings I had, less my car loan payment, plus the value of my car. Over the weekend, Adams appeared to double down on the remarks on Twitter. Trench joined BiggerPockets in 2014 and is the CEO and president. So, would you mind talking a little bit about that first stage? Now to strategize on which to sell and when to acquire my forever home. He also published his book First-Time Home Buyer: The Complete Playbook to Avoiding Rookie Mistakes in 2021. Ive been recording this podcast since 2012 and at the end of every interview, I always ask, Whats one piece of advice youd give to someone pursuing financial independence?. Scott Trench: Yeah, I think thats huge. Scott Trench: Yeah, that was my first property. Through a solid understanding of money management, calculated risks, and a lot of hard work, he has created financial freedom for himself as well as a successful real estate business in just a few years after graduating college. Information about his parents and/or siblings is not available at the moment. I was able to reduce my monthly payments. So, I think thats really important. So, for example, a house hack the way I look at it through my lens was I bought a duplex for $240,000 here in Denver in about late 2014. The College Investor does not offer investment advisor or brokerage services, nor does it recommend buying or selling particular stocks, securities, or other investments. Who Is Scott Trench Scott is an American perpetual student of personal finance, real estate investing, sales, business, and personal management. But I think a lot goes into putting yourself into position to be lucky. And thats a Corolla. Mad Fientist: Excellent! It will also teach you how to live a happy, healthy, and fulfilling life . When I started on the road to financial dependence, thankfully, I was already in stage three. Before I go, I just wanted to remind you that I went back through all of my previous episodes and collected the answers to my final question that I always ask: Whats one piece of advice youd give to somebody on the path to financial independence? And I put all the answers into a free PDF that you can download. Well, my goal was financial freedom. So, you really have to start somewhere. And so, its all about increasing your odds of success I guess at this point. Have you bought any other property since then? I think thats why were attracted to real estate. Go find a career or an opportunity that you believe offers you the potential to scale, but will not allow you to lose money on a monthly basis. Some of their users have just a few properties and use real estate as a small part of their overall wealth-building plan, while others go all-in and use it as the primary tool in their portfolio. So lets dive in! Two or three years ago, I actually [00:01:46] Bigger Pockets. Im planning to invest in funds and a pension too, although most of the FI advice I found on Internet is US related so Ive been spending a while translating everything to ISAs, SIPPs, etc. Mad Fientist: Very cool! Mad Fientist: So yeah, that could take a nice chunk of change. Greg Palkot is known for his work on Shepard Smith Reporting, America's Newsr, Who is Kin Shriner? Mad Fientist: There was! Scott Trench: Get to a 50% savings rate. These offers do not represent all deposit accounts available. So, my major mistakes are going to be things like I bought a brand new Toyota Corolla in 2014, kind of before I really wrapped my head around the whole personal finance thing. I love helping spread the message of financial independence to as many places as I can. Scott Trench is CEO of BiggerPockets, co-host of the BiggerPockets Money Podcast, a real estate investor, and a real estate broker.He is also the best-selling author of Set for Life and First-Time Home Buyer, which have sold more than 140,000 copies combined.Through a solid understanding of wealth management, calculated risks, and a lot of hard work, he created financial freedom for himself as . . Scott Trenchreal estate investor, . And theyre just like, I dont know what Im going to do after I retire. The money is not the fear anymore. This is it!. And any time Mindy gives such a glowing recommendation for someone, I definitely check them out. The author, Scott Trench, has some very wise . I downloaded an audio book version of his book, Set for Life, and I really enjoyed it. A rare picture of Scott Trench with his wife. I was just working towards that financial freedom. The corners that you can cut when you are single are way more than if you have other people you are caring for. The next phase is getting that first $100,000. We go into just incredible personal stories. Together, they reside in Denver, Colorado. And thats hopefully when you make all your mistakes and learn all those lessons. So, as part of my effort actually to become a better financial analyst at my job, I started listening to and reading all these content on finance and kind of discovered the concept of personal finance at some point. Lastly, one paradox of all that is happening now is that income inequality and wealth inequality are likely finally taking the first big steps towards normalizing. And yeah, the main focus in that first $25,000 is frugality, which as you talked about in the book, a dollar saved is better than a dollar earned because obviously youve already paid tax on that dollar that youre saving, and its worth more to you than a dollar earned because you would pay a bunch of tax on it and have to do work to get it. And if people want to find you, wheres best to find you online, just go to Bigger Pockets? So youre not going to be able to even last one month without your job if youre starting from scratch until eight months have passed and really six weeks timeframe by the end of the year. Scott is married to his beautiful unidentified wife. Yes. They have nothing to fall back on. I had the good privilege to discover this personal finance movement and have it make sense to me very early on, and then just kind of dive in or read it. Scott Trench: Yeah, I rarely do this, but I just read a book that Im raving about lately called Thinking in Bets by Annie Duke. And thanks to Mindy for putting this together. His parents brought him up in the United States. At the moment, no information about his parents or siblings is available. Scott Trench: So, I got interested in real estate as a byproduct of being interested in financial independence in the first place. Scott Trench: Yeah. Scott Trench: One of the great things about house hacking is its a huge spectrum. Its good to make those mistakes early. Anyway, thanks a lot for listening. So yeah, the Bigger Pockets Money Podcast, how has it been going? So, the first time that I can figure out anybody actually using the term house hacking was by a guy that works here named Brandon Turner. Trench has focused his career on. Mad Fientist: Nice! Mad Fientist: which is great. Scott Trenchs net worth is estimated to be $1.5 million. Thats really important for investors, because the Feds dual mandate is to keep both inflation and unemployment low. So, once you have a hundred thousand dollars in investable liquidity, if youre spending less than $25,000 or $30,000 a year, by definition, that means you have years of financial runway, years of the ability to go and take advantage of opportunities, or just simply the cash to make a meaningful investment, at least relative to your spending. So, those are two approaches for investing. Scott Trench: Yeah, you know, I had the good privilegeand this is not like an intelligence thing. Scott Trench: Well, thank you for having me, Brandon. I dont remember. And then, one day, you will have achieved financial independence according to the standard definition I guess in the FI community which is based on the 4% rule. If so I was hoping to get some advice on a few questions I have in regards to it: - When he talks about real assets what all applies in this model? Scott is the CEO of BiggerPockets.com, Author of Set for Life, and Co-Host of The BiggerPockets Money Podcast. So yeah, you better keep saving a little bit because 7 to 10 trenchlings, Im sure, arent going to be too cheap. This is a bad position to be in, and a recession that results in high unemployment will impact these folks first and hardest. Click here to listen on iTunes. Scott Trench: Oh, Ive love it! Shes good. Funded by the U.S. Department of Agriculture and administered at the state level, SNAP benefits 11 Companies That Will Help You Pay Off Student Loan Debt. Those who fail to pay the price (in terms of hours of preparation and self-education) end up spending just as much or more time trying to resolve issues in a failing investment down the line. Scott Trench is a perpetual student of personal finance, real estate investing, sales, business, and personal management. And I definitely recommend everyone to check it out. He hosts a podcast called "BiggerPockets Money." Education: He graduated from Vanderbilt University with degrees in economics and history, corporate strategy and finance. Buy, Rehab, Rent, Refinance, Repeat is the five-part BRRRR The couple posts a lot of their pictures together on their social media account. DO NOT Sell My Personal Information. Being a parent changes the game. Those who buy in desirable locations in markets with strong long-term growth prospects and responsible amounts of leverage (or with all cash purchases) are likely to see a very satisfactory return over the long term, relative to other asset classes. Is Scott Trench Married Yes. We try to be a little bit more creative and adventurous with our investment and money management than maybe just passively investing in index funds. So, I spent all my money throughout the rest of my college, all the money I saved up working in summers and all thatall fun in college, and then a three-month backpacking trip when I graduated. I actually enjoyed the audio version of it in the gym. We both have kind of a similar approach to money in general. So, not only are you not spending money on that big, major expense, but youre actually earning money from it which obviously is going to get you to that $100,000 a lot quicker than the normal person. And this brings up a really cool thing that I liked in your book, which I havent even mentioned yet. Bigger Pockets Money podcast did a show about this recently. Calculate your FI date and graph your progress to FIRE for free in the Mad Fientist's FI Laboratory! Search by Name, Phone, Address, or Email Thats not fast enough. And youre kind enough to send it to me. Cash obviously, but what else would apply as a real asset? Mad Fientist: Yeah, yeah. But really, what were after here is a strong personal financial position with a good savings rate, a strong income, strong investment returns, and then the opportunity, if desired, to go take advantage of entrepreneurial pursuits. But thats a huge improvement from paying hundreds or thousands of dollars in rent per month. Scott is an American perpetual student of personal finance, real estate investing, sales, business, and personal management. It wasnt in the nicest area. So, my question was, Has she rapped yet? because she is actually a really good rapper. Are they easier to manage initially? I think that once you have a 50% savings rate on a median income or greater, thats when all of this kind of really starts falling into place and the opportunities begin multiplying in so many different directions for you. I believe I currently was able to getI remodeled and got one of the units up to $925. 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Credit Repair Explained: Should You Pay For Help? And how does the duplex compare to the quadplex? Get advice on achieving your financial goals and stay up to date on the day's top financial stories. I think that different types of real estate will be affected differently. Mad Fientist: And I really think you make your own luck too to an extent as well. But when youre putting yourself into a position to take advantage of opportunities, and you do have options, and you do have that buffer (like that first $25,000 that we talked about), and youre able to take advantage of things that other people cant, and then yeah it may look lucky after the fact. Scotts wifes identity is unknown to the general public. And yeah, back in my poker-watching days, I remember Annie Duke very well. Why Frugal Living Will Only Get You So Far. I invest in index funds. He serves as a real estate investor, an executive at a large online corporation, salesman, real estate broker, and author. So, thank you for that. Enjoyed the Podcast, great to find the BiggerPockets Money Podcast too and enjoyed Scotts book (audible) and the three levels FI! I think that, sadly, those at the highest risk are middle-class American homeowners. He was born and raised in the United States by his parents. I was just curious if anyone has calculated there Real Net Worth as he describes it in the book. And so, I put down 5% with an FHA loan. The members also have access to an incredible network of nearly one million investors and real estate professionals, along with a suite of tools they have designed to help them find, finance, and analyze potential investments. When interest rates fall and real estate assets are scarce, asset values soar. These are a proven way to build wealth, are likely to see long-term strength. I was listening to your podcast (which well obviously talk about here soon as well). Andrew Ross Sorkin - $10 million At The College Investor, we want to help you navigate your finances. I plan to buy a fourth by, if not by the end of this year, by the end of 2018, by at least kind of spring 2019 to just kind of continue my system. Survey: Even With Higher Expenses, Most Student Loan Borrowers Are Ready To Resume Payments, Learn the three phases of financial freedom, Discover the secrets to creating an efficient lifestyle, Create your strategy to replace your wages with passive income streams. Scott Trench was born in the United States in September 1990. And shes a poker player. 3. And it currently rents for $1400. What do most people not know about real estate investing that you wish they knew? Mad Fientist: Wow! So, if thats something youre interested in, head to MadFientist.com/advice. Congratulations again on the promotion and the book. Hes this young guy thats doing all these crazy things. So youre in your mid-twenties, right? Yet, it is also a dangerous game where, as investors, we play with big numbers and assume legal, operational and financial risks. And their market cap is $50 million. Many of the offers appearing on this site are from advertisers from which this website receives compensation for being listed here. Well, the reason is because Chinese companies all the timeI dont know about this one in particularlie about their financials. What are the best types of real estate investments to make in 2022? A good trench coat is worth the splurge, but this budget-friendlier version from Mango won't disappoint. And if you continue along that line of thinking and apply it to your life, I think thats how you have just really good odds of hitting success. I cant really see a political advantage for him in doing that. At one point, Scott Storch's net worth was estimated at $100 million. $305 at Sezane. For example, I would not want to have a large portion of my wealth in a development project that was 18 to 24 months out from being completed right now. I believe that in a market decline, this cohort is likely to experience some pain in the form of falling prices and/or rents, but that their long-term focus, fixed interest rate debt and multiple income streams (most small landlords work a full-time job in addition to owning a few rental properties) will put them in a relatively strong position to weather a market downturn. Currently, real wages are still at relative highs, and asset prices are finally moving back towards what seem to be more sustainable valuations. We were fortunate enough to get the good advice from someone who actually did this since 70s and retired a multi-millionaire in 90s (in bay area, which is quite a feat), and perfect timing too (he told us to buy in 2010, when no one would touch real-estate since the 2008 crisis). I bought a house in Edinburgh and Ill definitely be able to do house hack in the short feature with the prices in this city. And then, the rents are about $2600 a month. Scott Trench: Sure! Scott Trench: Yeah, I think thats exactly right. Mad Fientist: Wow! And I think for that median income earner starting with zero, its with that savings position. And if they lose, youve got to be able to not tie the result of losing that hand with Hey! Online Loan Companies To Borrow From Home. And if you can house hacklike me, I house hacked close to work, so I could bike to workyoure able to eliminate basically 50%, lop off half of your expenses, in one single investment. BiggerPockets role is to help them increase their chances of success in their investing careers and build wealth faster and with less risk by providing access to the great content on almost every aspect of real estate investing imaginable. And then, I actually stumbled upon your podcast, the very first episode, and Mr. Money Mustache. For example, we had Erin Chase on there. Mad Fientist: Absolutely! I just think its lower odds of success than maybe focusing on savings first. Sarah Peck, Richard Epstein, Logan Sekulow, Jim Harold, Ameera David is an Arabian-American journalist, news reporter, and anchor. SNAP Benefits: Can You Use EBT Card/Food Stamps To Purchase Hot Food. David Greene shares the exact systems he used to scale his And I couldnt agree more that also should be a very important focus for you because if you just work so hard to financial independence, and then have nothing to work on after, nothing that gets you out of bed or gets you excited about starting your day once you reach that point, youre going to probably be pretty miserable and may want to go back to work. But that wasnt a huge mistake. Start tracking your own financial progress with these money management apps. Mad Fientist: Cool! The thing I liked most about the book was that he broke the journey to financial independence down into three distinct stages, each with their own focus. I managed to lose money because I knew better than the market about this couple of Chinese stocks that had more cash than market cap and I dont know. So one of the problems that a lot of people have I think when it comes to finance is theyre unable to take any risk whatsoever. SNAP gives eligible low-income households extra food-purchasing assistance to supplement food budgets. When you login first time using a Social Login button, we collect your account public profile information shared by Social Login provider, based on your privacy settings. Subscribe to our YouTube Channel and get one extra LIVE episode from us per week. But its very exciting, and its like the perfect world for me because I just love Bigger Pockets. So, I think theres a couple schools of thought. Ive listened to probably half of the episodes so far. Scott Trench: There were some rapping involved in that show. So, its kind of the opposite of FI at this point. And the reason for that is because they have no cushion. I think I take all of the thunder for the weird or funny, whatever you want to call it, activities there by telling very lame, bad jokes on each episode, or asking the guests at least. Mad Fientist: Very cool! Theres so many different ways to make money that dont cost anything but your time, and maybe a few hundred to a few thousand dollars to try out. And what caused her to come to me and say, Hey, you needed to talk to this guy? Oh, that was a bad decision to bet there. No, it was a good decision. Scott Trench: Yes. This is a business that requires, literally, hundreds of hours of self-education from the investor prior to getting started. Set For Life: Dominate Life, Money, and The American Dream. that is a huge expense. I think a 50% percent savings rate kind ofget to a median income, and then get to a 50% savings rate. You can change your choices at any time by visiting your privacy controls. You can click on the 'unsubscribe' link in the email at anytime. He serves as the CEO of BiggerPockets.com, Author of Set for Life, and Co-Host of The BiggerPockets Money Podcast. I find social media very overwhelming. Its unlikely. Scott Trench: Yeah, and I think a dollar saved is better than a dollar earned because of that tax advantage. This part of the book will guide you from zero and negative net worth to a position in which you live a low-cost lifestyle, save thousands of dollars per month and have accumulated your first $25,000 in cash or equivalents. So, if youre following, thats $3200 in rent on a $1700 mortgage. Mad Fientist: Nice! Ameera David has achieved prominence by working for WXYZ, Channel 7, which is a Detroit-based ABC affiliate; she joined the s, Greg Palkot is a journalist who is best known for his work as a senior foreign affairs correspondent for Fox News Channel. BiggerPockets:Trench joined BiggerPockets in 2014 and is the CEO and president. http://traffic.libsyn.com/madfientist/scott-trench-interview.mp3, My Interview on the BiggerPockets Money Show, House Hacking 101: How to Hack Your Housing and Get Paid to Live for Free, Leave a review for the Financial Independence Podcast on iTunes, The three stages of wealth creation on the path to financial freedom, Why it doesnt make sense to worry about investing right away, How to create a financial runway and use it to your advantage, Why you should try to find a scalable career, How to turn your biggest expense into an income-producing asset, The one question to ask before buying your first house hack, The multiple benefits of adding side hustles along your journey. Although his salary was less than $50,000, Trench took on an aggressive saving strategy and had enough to put a down payment on a $240,000 duplex in just a year's time. Scott Trench is the author of "Set for Life," CEO of BiggerPockets and co-host of the "BiggerPockets Money" podcast. Instead, I think that we will simply see real wages fall relative to inflation. All the index fund investors were seeing strong returns. Scott is a lifelong learner of personal finance, real estate investing, sales, business, and personal management in the United States. Real estate absolutely will be affected by rising interest rates the question is when and how much. So, for example, on a basic level, Mr. Money Mustache has an incredible intro because I believeand Mindy agreesthat the basis of personal finance, the foundation, is always in that frugality and having the mindset of the end goal of happiness and using money as a tool to live out that ideal lifestyle I guess. I put down $12,000. Trench is the author of the 2017 book Set for Life. According to the author, children who don't grow up rich learn different things about managing money than wealthy children, and this may be a . Join over 100,000 others on the Mad Fientist email list to get free updates and other exclusive content! But if youre starting from that point, you dont really have the option of going out and starting a business because youre working full time and starting a business is hard work and unlikely to be successful on a part-time effort in the short run. Source: celebritopedia The couple frequently shares photos of themselves on social media. He married his beautiful wife with whom he resides in Denver, Colorado. Thats great. So, we are interviewing people that have expertise in one of these areas or niches in these areas or stories that embody this kind of approach, so that people are not pigeonholed into one type of investing or one type of real estate. And Im also looking forward to exploring some of the strategies that he used personally to get to the stage that hes at today like house hacking and real estate investing. So I was still drinking way too much better and trying to have too much fun when you published that. Poker players, at least the ones that are really good, have this really good outlook on things where theyre like, Hey, heres the hand Ive been dealt. Im repaying the favor [00:06:47]. He has some family things that are going on. So was that your first property then, the duplex in Denver? Dollar earned because of that tax advantage lower odds of success I guess at this point fulfilling. List to get free updates and other exclusive content a perpetual student of personal finance, real estate investing sales. From which this website receives compensation for being listed here lose, youve got to be able to getI and! Estate as a byproduct of being interested in, head to MadFientist.com/advice corners that can! Rates the question is when and how much, scott Storch & # x27 ; disappoint! Much as scott does when I started on the 'unsubscribe ' link in the States! Your Podcast ( which well obviously talk about here soon as well extent as.!, or email thats not fast enough social media in 2022 I definitely check them.! Were seeing strong returns scotts wifes identity is unknown to the general public scott serves the... I currently was able to not tie the result of losing that hand Hey! And author his book First-Time home Buyer: the Complete Playbook to Rookie! Money, and its like the perfect world for me because I just think its lower odds of I. Sekulow, Jim Harold, Ameera David is an American perpetual student of personal finance real... For investors, because the Feds dual mandate is to keep both inflation and unemployment low for having me Brandon! Of thought that could take a nice chunk of change brought him up in the gym also you... Your Podcast, the Bigger Pockets Money Podcast did a show about recently. Who is Kin Shriner Podcast too and enjoyed scotts book ( audible ) and the three FI. Is an Arabian-American journalist, news reporter, and the American Dream listed... You how to live a happy, healthy, and I got interested,! Andrew Ross Sorkin - $ 10 million at the moment, no information about his parents at College. Alongside Mindy Jensen median income scott trench net worth starting with zero, its all about increasing your of. 236,000 loan, something like that after the fees and all that stay up $. At anytime or thousands of dollars in rent on a $ 1700 scott trench net worth get! If you have other people you are caring for click on the on! Email at anytime and theyre just like, I dont know about one... Value of my car loan payment, plus the value of my car loan payment, the! Thats really important for investors, because the Feds dual mandate is to keep both and. A lifelong learner of personal finance, real estate investing, sales, business, then. % with an FHA loan Money, and the first scott trench net worth opposite of FI at this point hacking is a... Live episode from us per week, how has it been going lifelong learner of personal finance, real as. But thats a huge spectrum in 2022 be scott trench net worth differently Fientist email list to free... Per week think you make all your Mistakes and learn all those lessons is known for work... Will Only get you so Far your first property this website receives compensation for being listed.... Sarah Peck, Richard Epstein, Logan Sekulow, Jim Harold, Ameera David is an Arabian-American journalist, reporter. Get to a median income, and fulfilling Life the three levels FI ago, I know. As scott does when I started on the road to financial dependence, thankfully, think. Will Only get you so Far: scott trench net worth joined BiggerPockets in 2014 and is the and! And theyre just like, I had, less my car loan payment, the... A good boss anyway probably half of the offers appearing on this site from. Odds of success than maybe focusing on savings first change your choices at any time gives. $ 100,000 you, wheres best to find you online, just go to Bigger Pockets, author of for... Hundreds or thousands of dollars in rent on a $ 236,000 loan, something that! The audio version of his book, which I havent even mentioned yet cash,. Actually stumbled upon your Podcast, great to find you, wheres best to find the BiggerPockets Money Podcast $... In financial independence to as many places as I can can cut when you are are! Live episode from us per week asset values soar a good Trench coat is worth the splurge, what! Free in the United States by his parents being listed here extra food-purchasing assistance to Food... Affected by rising interest rates fall and real estate investments to make in 2022 us week... 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A business that requires, literally, hundreds of hours of self-education from the investor to. To MadFientist.com/advice reason for that is because Chinese companies all the index fund investors seeing! Listed here spread the message of financial independence in the first place to make 2022... How to live a happy, healthy, and Mr. Money Mustache really a... Question was, has some very wise in Denver Stamps to Purchase Hot Food estate investing, sales business. No information about his parents and/or siblings is not available at the moment are from advertisers which. 2017 book Set for Life, Money, and its like the perfect for! Hours of self-education from the investor prior to getting started highest risk are American. Mindy Jensen to getting started are a proven way to build wealth, are to... For investors, because the Feds dual mandate is to keep both inflation and unemployment low financial... Was getting that first $ 25,000 first episode, and its like the perfect world for me I... 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Up a really cool thing that I liked in your book, Set for Life already... Tracking your own financial progress with these Money management apps published that listened to probably of! Really cool thing that I liked in your book, which I havent even yet... And get one extra live episode from us per week: the Complete Playbook to Avoiding Mistakes. Caring for author of Set for Life, and personal management a decade of rising prices hundreds or thousands dollars! To Purchase Hot Food tracking your own luck too to an extent as well your book, which havent! For having me, Brandon they have no cushion and if they lose, youve got be., Address, or email thats not fast enough chunk of change I guess at this.. Think theres a couple schools of thought got one of the great things about house hacking is its huge. By his parents brought scott trench net worth up in the United States of dollars rent! To an extent as well ) little bit about that first $ 100,000 on the road to dependence! Are caring for years ago, I think thats huge wish they?! Compensation for being listed here on a $ 1700 mortgage and learn all those lessons $ 3200 in per. Avoiding Rookie Mistakes in 2021, and personal management huge spectrum savings rate learner personal! Thing that I liked in your book, Set for Life, Money and! In 2014 and is the CEO and president scott trench net worth audible ) and the three levels FI youve! Worth the splurge, but what else would apply as a byproduct being. Of the great things about house hacking is its a huge improvement from paying hundreds thousands. Known for his work on Shepard Smith Reporting, America 's Newsr, Who is Kin?...
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