Considering not fully completing college to pursue Real Estate

Chris SeveneyBusiness Member

Moderator

Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes

3y

@Blake Ramsey

While many in the media look at a degree as overpriced in useless, reality is in the real world having a degree vs not having a degree can go a long way.

I have never seen someone say they wouldn’t partner or do a deal etc because someone had a degree but have seen many times people not do deals with another person because they did not have that education.

7e investments53 Reviews

Website View Page

5 Reply

Paul Smythe

Investor · Greenville, SC · Member since 2012 · 269 posts · 187 votes

3y

@Blake Ramsey Don't do it. It takes a lot of money to live and invest at the same time. Get the degree (assuming it's a good one that gets you a well paying job) and invest along with your salary.

Caroline Gerardo

Lender · Washington DC · Member since 2015 · 2k+ posts · 2k+ votes

3y

A degree in Mechanical Engineering equals entry level job at $90000. Go to a low cost 4 year college and finish. I promise you having that income base will lift you into real estate faster and with higher financial gain.

With the degree you could get a job any Real Estate company type.

It's not like you are studying basket weaving.

Having a day job allows you to finance and leverage the real estate you buy.

10 Reply

Bruce WoodruffPro Member

Contractor/Investor/Consultant · San Diego / Phoenix · Member since 2021 · 12k+ posts · 15k+ votes

3y

This question comes up a lot. I am usually of the mindset that if a person is really going to pursue REI for their life career (and I mean you are 100% positive), then pursuing a degree is pointless and just steal s away time and money that you could be using to invest in your dream. If you're smart you could have a few properties in the same time-span, right?

But this is also based on the fact that most college degrees are in worthless fields. If you can really get a degree in Mechanical Engineering in just 2 more years, then I would say do it. But also start saving and learning. You are young and should be able to spend 18 hrs a day on your life right now (no playing, no partying:-)

The big question is: after you have the degree, what do you do? Of course, you get a high paying job in that field so you can make money, right? So now where does the time come from to get started on REI? An 8+ hr a day job, plus another couple for commute, an hour for lunch, and you're really losing 12 hours a day out of your REI career. Plus the stress and fatigue from actually working in a high stress environment. So you're not going to have a lot of time or money to put into Real Estate - but you will (should) have money.

Just be honest, you know yourself better than we do. BOTH seems the right answer now, but how long will it delay your REI career. Many people just get stuck on the treadmill and never get off.....

5 Reply

Account Closed

Rental Property Investor · St. Louis, MO · Member since 2022 · 125 posts · 124 votes

3y

Get the degree. Finish school as cheaply as you can. Mechanical engineering will provide a great salary from the start while you are pursuing a career in real estate. Once you are confident you can make enough with real estate to replace your W2 job, then quit.
If you haven’t already, read Rich Dad Poor Dad. He advises on the importance of getting an education first.

4 Reply

Aaron BreckenridgePro Member

Technology · Dallas, TX · Member since 2022 · 461 posts · 295 votes

3y

I had a boss who was an ME grad. He did ME for about 8 years at Lockheed and couldn’t stand the slow pace of it.

He used that extra time to teach himself software development, switched to software as a career, became CTO, and eventually stared a cyber security firm.

But the key to him having that initial flexibility and time was the degree. It opened so many doors. If you can afford it, go for it.

Nathan Stotts

New to Real Estate · Long Beach, CA · Member since 2012 · 4 posts · 8 votes

3y

@Blake Ramsey Former Finance grad from Mo State.

If you'd want to stay in school consider the Finance option with Real Estate emphasis at Mo State. A few things that might be good here:

1. You'll be focusing on business, finance, and specific real estate subjects - Knowing that this will be applicable to your ideal career may make the education piece way more palatable (and possibly enjoyable!)

2. You'll want a career in Real Estate to build income before you can be an "investor". You have a lot of options here, but have a RE degree will allow you to get into firms that focus on RE in commercial, very large residential, etc. at a botique firms where you can touch all aspects of the biz or at a large corporate where you can go very deep in certain subject manner. If you are very math oriented (engineering) you could become a wiz at analyzing very large deals.

3. In addition to the above, you could intern at RE firms to try out various career types that interest you and rub shoulders with industry vets

Also, and this is something I wish I'd known in college - unless you have a liberal arts degree (and that's not even true in a lot of situations), any "business" degree will get your foot in the door for a job in the event that RE falls through or is a side hustle for a bit. For example, I didn't end up in finance, but I make great $ in corp America. Most jobs don't fall into a neat bucket AT ALL...they are just general knowledge worker unless you are something like a software engineer. The RE degree will work just fine here. I actually wish I had gone the RE route in my Finance degree simply because the content is way more interesting (to me).

4 Reply

Nathan R Andersen

Member since 2022 · 43 posts · 19 votes

3y

As someone who also went to OTC to finish my associates and left school before finishing my math degree, I would say it depends.

It depends on your personality, fall backs, other options, and what you plan your life to look like. (Mine includes a wife making GREAT money, therefore the need was low)

I would say finish your associates at least, especially because its not hard so you can focus on RE. Take online courses and spend more time doing other things. You can spend this time doing things like finding ways to build your credit and doing them actively, studying for a REA license, spending time at a construction site and walk around and see what's going on to learn more about the process (ask first obviously), going to REIA meetings, possibly working for a property management company to learn the ropes, etc.

You can also look for self managed rentals that have vacancies and offer to rent for cheaper in exchange for some handy work for the owner/manager.

So many things you can do while also getting your associates at least.

I would also agree, that having a steady job will make things SO much easier to start, and then once you gain a bit of momentum from your money early on it would be much easier to move forward. Definitely NOT impossible to do without school, but you may find roadblocks you didn't expect that slow you down considerably.

However, if you do not continue school, you should be spending 10+ hours a day working in some fashion to save up money. When you're young you have time, more energy, and less things to pull your attention away, so grind it out for a few years.

Eliott Elias

Investor · Austin, TX · Member since 2021 · 9k+ posts · 5k+ votes

3y

My best advice is you should try it out first. Take a semester off and truly see what kid of grind it is to succeed in real estate. Your nights, weekends, holidays will be washed, you have to love it

Vlad B.

Member since 2019 · 90 posts · 56 votes

3y

Why not a hybrid approach of doing school online, which could be at a discount and working a job. Yes, this sounds like it will suck but if you get a decent-paying job, live at home or a roommate and study you can graduate while building cash. Then when you have enough cash you can house hack and build from there?

https://engineering.missouri.edu/student-services/career-services/employers/

Scott Mac

Austin, TX · Member since 2019 · 5k+ posts · 5k+ votes

3y

Too bad you don't have $200,000 cash in your account to start with.

That might make the decision easier.

It looks like it's about $68k out of the gate at MSU (that's $46,000 in 2006 dollars, which many people might find more bench-markable).

And that was last years figures, this year 10% inflation has already eaten about $7,000 off of that (in reality).

Too bad you don't have $200,000 cash to start with.

Learn about yourself: https://www.youtube.com/watch?v=9lmtiQbXE0A

Good Luck!

Shafi Noss

Lender · Nationwide · Member since 2018 · 571 posts · 310 votes

3y

I dropped out of college to do real estate. The first few years were difficult but it is going well now.

Jamel Brown

Real Estate Agent · Jacksonville, FL · Member since 2020 · 36 posts · 28 votes

3y

First, major props for you pursuing a mechanical engineering degree. I went to the United States Naval Academy and majored in Quantitative Economics. But everyone at the Naval Academy receives a bachelor's of science so I understand how hard Mechanical engineering can be.

Before you go head first into real estate you should first spend a weekend by yourself with no distractions and figure out what you want in life. You stated that you no longer want to continue your engineering path because of the opportunity cost being too great and that your current goals are better met with real estate. Well answer these questions:

What were your goals before real estate? Why does real estate meet your new goals? Why did you go to college? Why did you choose mechanical engineering as a major? Do you want time freedom, financial freedom? What are your passions? Are you choosing real estate because of unlimited financial potential? (etc.)

Knowing the answers to these questions should help solidify your decision. I know a lot of my classmates who went into real estate while being engineers and military officers. They are killing it because they love their job and they give people their money to invest. I also have classmates that left their jobs and went into Real Estate full time, they are also killing it! Regardless of the path there are numerous ways to invest in this asset class.

Reach out to me if you want to talk one on one about your thought process. It's a big decision to make. However no matter what choice you make, always ensure you make asymmetric bets that benefit you. Have a blessed day!

@Blake Ramsey

5 Reply

Adam Laurenzo

Member since 2018 · 39 posts · 16 votes

3y

My mom always said "I don't care what you do as long as you're good at it."

So the simplistic question is: are you going to be good at it?

If you're not 1000% certain, I'd finish enough school to get yourself some options.

Tracy Ross

Member since 2022 · 75 posts · 73 votes

3y

Trust your gut!

I have a bachelors degree in Human Physiology and worked in hospital systems for 12 years. I was never happy and fulfilled but I always saw real estate as a "pipe dream". In 2019 I decided to stop being unhappy and follow that dream and I will never look back. It's been the best decision I ever made.

I don't think a college degree is necessary to "make it" in this world if you have drive and gumption! If I could go back to my younger self I would say follow your heart and do real estate. Although I probably would have gotten an education on something that can help me on that journey. Marketing, Finance, Economics, or Business. I think always educating yourself about what drives you is important and helpful in your endeavors. And realize with real estate you will be constantly learning and shifting into new areas!

Best of luck to you!

[email protected]773-456-4644

Sarita ScherpereelBusiness Member

Real Estate Agent · Chicago, IL · Member since 2018 · 659 posts · 376 votes

3y

@Blake Ramsey you definitely don't need college to go into real estate. Maybe take a year off and try pursuing real estate full time. Maybe as a realtor on a real estate team so you can learn and make money.

Sarita Sells4.933 Reviews

Website View Page

https://www.biggerpockets.com/...

Alex Forest

Rental Property Investor · Henrico, VA · Member since 2019 · 265 posts · 155 votes

3y

Hey Blake, completing the degree will only take two more years and completing it will carry many benefits even if you don't practice or follow that career path long term. If you do engage in the career, even in the short term, it will provide an excellent ability to qualify for loans...and income to generate more down payments for more properties. Doing this for even just a few years will provide great income and enables you to do more with real estate investing in my opinion. That is a great advantage of these type of engineering degrees, they can yield good income immediately out of school....and is likely a major factor to why so many real estate investors are engineers (or why so many engineers are investors)...read through some of their stories here:

Jerry Lucker

Flipper/Rehabber · Seattle, WA · Member since 2015 · 333 posts · 459 votes

3y

Quote from @Blake Ramsey:

Hey everyone, my name is Blake and I'm a mechanical engineering major at a community college in Springfield, Mo. I have been diving into real estate for a little over a year and I am now confident it is what I want to center my career around. I am currently working on my associate's at OTC and had plans to continue my education and get a bachelor's at either MSU or MS&T, but I am now considering not going down that route. I think the opportunity cost is too great and my time spent on school work can be better put to use to further my real estate career. I know that going to college and doing real estate are not mutually exclusive and often go hand in hand, but I am not so certain that is the path I want to take. I'm not doing this because I don't like school or because I think that real estate is the "easy way out", but because I believe that my current goals will be better met if I were to commit full-time to accomplishing them.

Just so I can challenge myself and test my own commitment to this decision, I have set some goals for myself to accomplish before I will allow myself to leave school. They are to: 1) develop relationships with 3-5 investors in the area that I can learn from, and 2) save up $7500 to put towards a down payment for my first sfr house hack.

I'm not posting this fishing for responses that justify my decision, but rather to get perspectives from any of you who might have had similar experiences or have their own opinions on my situation that can help me see things differently.

If there are any investors in the 417 who happen to come across this, I'd love to get the opportunity to connect with you!

College Degree = J.O.B./Work for someone else. Cap on income. Real Estate = self employed entrepreneur. No income cap.

Debate all the 'ifs' and 'buts' of this analyses all you want. I'll stick with the K.I.S.S.

2 Reply

Joe VilleneuvePro Member

Plymouth, MI · Member since 2013 · 13k+ posts · 19k+ votes

3y

Quote from @Shafi Noss:

I dropped out of college to do real estate. The first few years were difficult but it is going well now.

What would have happened if you didn't drop out of college?

Joe VilleneuvePro Member

Plymouth, MI · Member since 2013 · 13k+ posts · 19k+ votes

3y

Quote from @Jerry Lucker:

Quote from @Blake Ramsey:

Hey everyone, my name is Blake and I'm a mechanical engineering major at a community college in Springfield, Mo. I have been diving into real estate for a little over a year and I am now confident it is what I want to center my career around. I am currently working on my associate's at OTC and had plans to continue my education and get a bachelor's at either MSU or MS&T, but I am now considering not going down that route. I think the opportunity cost is too great and my time spent on school work can be better put to use to further my real estate career. I know that going to college and doing real estate are not mutually exclusive and often go hand in hand, but I am not so certain that is the path I want to take. I'm not doing this because I don't like school or because I think that real estate is the "easy way out", but because I believe that my current goals will be better met if I were to commit full-time to accomplishing them.

Just so I can challenge myself and test my own commitment to this decision, I have set some goals for myself to accomplish before I will allow myself to leave school. They are to: 1) develop relationships with 3-5 investors in the area that I can learn from, and 2) save up $7500 to put towards a down payment for my first sfr house hack.

I'm not posting this fishing for responses that justify my decision, but rather to get perspectives from any of you who might have had similar experiences or have their own opinions on my situation that can help me see things differently.

If there are any investors in the 417 who happen to come across this, I'd love to get the opportunity to connect with you!

College Degree = J.O.B./Work for someone else. Cap on income. Real Estate = self employed entrepreneur. No income cap.

Debate all the 'ifs' and 'buts' of this analyses all you want. I'll stick with the K.I.S.S.

Both = options. choices, knowing what you don't know.

Shafi Noss

Lender · Nationwide · Member since 2018 · 571 posts · 310 votes

3y

Quote from @Joe Villeneuve:

Quote from @Shafi Noss:

I dropped out of college to do real estate. The first few years were difficult but it is going well now.

What would have happened if you didn't drop out of college?

I don't know. But I'm happy with how things are going on this path.