Investing later in life
Real Estate Agent · North Port, FL · Member since 2022 · 10 posts · 3 votes
Investing later in life
Most Popular Reply
Investor · Akron, OH · Member since 2016 · 2k+ posts · 4k+ votes
3yMy husband and I started our business in 2016 at 54 and 62 respectively. I think there are some real advantages to starting off later: We had retirement savings and home equity available that permitted us to jump right into multi-family. We had business experience that I think our lenders did consider. We had strong skill sets in useful areas and were well aware of our strengths and weaknesses, and we had a broad array of life experiences that really only comes with time dealing with different types of people from a wide range of backgrounds.
30 Replies
- Rental Property Investor · Columbus, OH · Member since 2017 · 3k+ posts · 3k+ votes3y
Quote from @April Tsotsos:
Hi Everyone! I've been pouring over the forums, books and videos on here about investing in real estate and it has always been something I've been interested in but never knew how to get in until I found this site. I'm excited to start my journey but have to admit, there seems to be a recurring theme as I work to gain knowledge that much of this information is designed for the 20-something to start their journey and be financially free in 30 years. Does anyone have advice for someone in their 50's starting this journey on how to implement strategies that can have a quicker payoff or can help fund the retirement years? Still the same principles or are there specific strategies that might be better than others?
Hey April, welcome to the BiggerPockets community! It is never too late to start in real estate. I've met a lot of people that started investing in their 50s and succeeded in reaching their goals. I recommend that you try to attend your local REI networking groups and meetups. I like to try to set up every month a meeting with someone I think I can learn from or who could be a potential mentor. Connect with as many real estate mentors as you can. You can also consult with lenders, brokers and ask them for suggestions on who might be a good real estate mentor most will be able to provide one.
Try to think of different ways you can add value to that person. What are your strengths? For example are you experienced in social media marketing? Could you offer a mentor some tips? This way its not just a one way street.
Set your goals, reach it and never stop learning. - Real Estate Agent · North Port, FL · Member since 2022 · 10 posts · 3 votes3y
Thank you for the great advice!
- Rental Property Investor · Beavercreek OH · Member since 2018 · 422 posts · 970 votes3y
Quote from @April Tsotsos:
Hi Everyone! I've been pouring over the forums, books and videos on here about investing in real estate and it has always been something I've been interested in but never knew how to get in until I found this site. I'm excited to start my journey but have to admit, there seems to be a recurring theme as I work to gain knowledge that much of this information is designed for the 20-something to start their journey and be financially free in 30 years. Does anyone have advice for someone in their 50's starting this journey on how to implement strategies that can have a quicker payoff or can help fund the retirement years? Still the same principles or are there specific strategies that might be better than others?
April,
Absolutely. I started 14 years ago at age 53.
Admittingly, properties were cheap, but nobody wanted them. I bucked the trend and became quite successful. I now have 150 + paid for doors and an annual rental income in excess of 1.8 million dollars.
Times are different, but the strategy remains. Live frugally and keep your overhead exceedingly low. Buy quality properties at the lowest price possible. Rinse and repeat.
Good luck and Godspeed.
Gary
- Bay area, CA · Member since 2021 · 383 posts · 306 votes3y
Oh, you are in the North Port of Florida. You will have a great time investing. Pretty good market. If you need good contacts there, let me know.
- Investor & Agent · Tulsa, OK · Member since 2016 · 1k+ posts · 1k+ votes3y
The return on investment for most properties is all the same… although if the goal is accelerating, id say to flip at scale, if you can afford 3-4x holding costs.
If you really track the ROI on flips as a cash on cash ROI, odds are you are doing 10% down and getting most rehab reimbursements on a draw schedule and so the COC ROI could be 100% or greater, assuming < 12mo exit and assuming > 10% profit.
- Investor · Akron, OH · Member since 2016 · 2k+ posts · 4k+ votes3yMy husband and I started our business in 2016 at 54 and 62 respectively. I think there are some real advantages to starting off later: We had retirement savings and home equity available that permitted us to jump right into multi-family. We had business experience that I think our lenders did consider. We had strong skill sets in useful areas and were well aware of our strengths and weaknesses, and we had a broad array of life experiences that really only comes with time dealing with different types of people from a wide range of backgrounds.
- Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes3y
Quote from @April Tsotsos:
The best time to plant a tree was 20 years ago. The second best time is today.
I started investing at age 46 with a $55,000 hoarder house and my net worth was probably $250,000. I now have 33 rentals and 135 storage units, net worth of over $2 million, and my annual net income is over $150,000 from investments.
Make smart choices, not excuses.
The DIY Landlord Book4.7248 Reviews - 3yNicholas L.Pro MemberFlipper/Rehabber · Pittsburgh · Member since 2018 · 6k+ posts · 5k+ votes
i think the same principles hold. and there's no 'quick pay-off,' or else everyone would be doing that.
the question you should ask is how active or passive you want to be. if you want exposure to real estate but want to be passive, you can simply invest in a REIT.
if you want to be really hands on, and have a comfortable amount of cash, you could try a BRRRR (with the caveat that I believe that BRRRR is really, really tough right now due to a variety of factors.)
thoughts?
- Rental Property Investor · East Wenatchee, WA · Member since 2014 · 10k+ posts · 16k+ votes3y
Quote from @Jill F.:
My husband and I started our business in 2016 at 54 and 62 respectively. I think there are some real advantages to starting off later: We had retirement savings and home equity available that permitted us to jump right into multi-family. We had business experience that I think our lenders did consider. We had strong skill sets in useful areas and were well aware of our strengths and weaknesses, and we had a broad array of life experiences that really only comes with time dealing with different types of people from a wide range of backgrounds.
Love this, Jill. You're so generous with great information I had no idea you've only been in RE since 2016.
These are great points. Most young people struggle to access equity and capital and to be taken seriously. I sure did. Acquiring creatively was a necessity.
April, the keys to efficient equity gains is to find off market sellers with a problem you solve. Then add value and manage it yourself.
I'm on the other side but turned 50 also. I remember books on tape, physically going to the courthouse to research evictions / defaults and placing for rent ads in the newspaper. I had a flip phone until a few years ago.
Play to your strengths and don't be afraid to roll up your sleeves and do high dollar tasks yourself.
- Real Estate Broker · Delray Beach, FL · Member since 2022 · 27 posts · 11 votes3y
Hi April,
Your post hit home as I am 64 and have been thinking about the same thing. For me I it comes to a decision to use limited retirement liquid $ funds for a real estate purchase. The advice shared here is very helpful. Thanks
- Investor · Austin, TX · Member since 2021 · 9k+ posts · 5k+ votes3y
Break it down, what does financially free mean to you? Consistent cash flow? Flip 4 properties and pay off two fourplexes and live off of that income. You could be collecting 10k in passive income that way.
- 3yJay ThomasPro MemberReal Estate Agent · Houston, TX · Member since 2021 · 1k+ posts · 715 votes
I'm glad that you joined the BiggerPockets community and taking this step to explore investing in real estate. You'll be surprised at how much knowledge is available for someone who is willing to put in the time and effort. Meeting with other investors and mentors can really help accelerate your learning process and give you some great insights into the industry as well. So don't hesitate to take advantage of all the resources available here on BiggerPockets, and good luck on your journey! :) I'm sure you will do great! Best wishes!
- Real Estate Agent · North Port, FL · Member since 2022 · 10 posts · 3 votes3y
Quote from @Ruchit Patel:
Oh, you are in the North Port of Florida. You will have a great time investing. Pretty good market. If you need good contacts there, let me know.
I would love to find other investors in North Port to connect with. I've been trying to find a meetup to start attending thats nearby!
- Real Estate Agent · North Port, FL · Member since 2022 · 10 posts · 3 votes3y
Quote from @Nicholas L.:
i think the same principles hold. and there's no 'quick pay-off,' or else everyone would be doing that.
the question you should ask is how active or passive you want to be. if you want exposure to real estate but want to be passive, you can simply invest in a REIT.
if you want to be really hands on, and have a comfortable amount of cash, you could try a BRRRR (with the caveat that I believe that BRRRR is really, really tough right now due to a variety of factors.)
thoughts?
Thank you for your response. I want to jump in with both feet so to speak, so definitely hands on. Living in Florida, I agree the BRRRR method is going to be challenging as well as straight flipping with the current price points. I am thinking of going out of state with Airbnb and LTR. REIT concerns me at the time as the stock market isn't doing us any favors either. My current (albeit simple) goal is to purchase (at least) 10 properties in the next 5 years and create monthly cashflow of roughly $7000 a month. I'm sure there's more to it than that and loftier goals to consider but thats my basic plan to create some freedom for us.
- Real Estate Agent · North Port, FL · Member since 2022 · 10 posts · 3 votes3yThank you Jill! You're story really puts thing in perspective for us. You make a great point of us having access to funds, knowledge and experience that I hadn't really considered. I just considered that we were in the learning stages. We've started looking at our equity and may be able to do something much sooner than I expected.
Quote from @Jill F.:
My husband and I started our business in 2016 at 54 and 62 respectively. I think there are some real advantages to starting off later: We had retirement savings and home equity available that permitted us to jump right into multi-family. We had business experience that I think our lenders did consider. We had strong skill sets in useful areas and were well aware of our strengths and weaknesses, and we had a broad array of life experiences that really only comes with time dealing with different types of people from a wide range of backgrounds. - Bay area, CA · Member since 2021 · 383 posts · 306 votes3y
Quote from @April Tsotsos:
Quote from @Ruchit Patel:
Oh, you are in the North Port of Florida. You will have a great time investing. Pretty good market. If you need good contacts there, let me know.
I would love to find other investors in North Port to connect with. I've been trying to find a meetup to start attending thats nearby!
Messaged you in your inbox.
- Member since 2019 · 2 posts · 0 votes3y
I think as we age, our risk appetite decreases, especially since our W2 income stream is coming to an end. I recommend not using debt to purchase properties, as it puts an undue burden, both fiscally and emotionally, on carrying that debt service. I'm seeing people lose their shirts in this current environment, as they can no longer make their variable rate loan payments.
- Investor · Union County, NJ · Member since 2022 · 92 posts · 51 votes3y
April,
I got the bright idea to start investing in real estate 8 months ago and earlier today (well, Friday, since it's after midnight here) I closed on my first 3 out of state rental properties (I posted about it here on and my profile, in case you're curious). I was 50 back in April, hit 51 a month later, rolled over my IRA into a solo 401(k) this fall, and used it to buy these properties in Muskegon, MI at 52% of ARV with the help of @Randy Charboneau, an agent I met here on BP. Tuesday I close on another property (in Memphis), purchased with my wife using a conventional loan and some other investment money I had on hand that I decided to move out of individual stocks and REITs and into hard assets.
Originally I thought it was thinking big to plan for 3-4 properties under my belt by the end of 2023, but here we are in December 2022, and I've got 4 closing. What's more, I have 2 other properties I'm financing with hard money that could theoretically still close before the new year (thought that's gonna be tight), and I didn't even know what hard money was 8 months ago. One of those is a BRRRR in Memphis and the other a flip in Cleveland, and it's odd to me how easy it is to decide which one is which and why now, when 8 months ago I started reading books just because they were recommended and I didn't know how to approach real estate investing at all at the time.
Like some of the other later bloomers here, I hope to achieve a large portfolio within 10-15 years that will produce significant streams of income, and I plan to add private money lending and other investments into that as well. And since my goal is to grow exponentially so I can grow that portfolio, I am already off to a much better start than expected, and doubling my doors every year means I should be moving faster than expected and adjusting my approach to include multifamily earlier than expected.
It is great to have had the advantage of time to gather the resources to get started like this, to have some savvy from past deal making in other professions, as well as purchasing two primary residences and selling the first one, and to be able to limit my consulting work to spend more time on investing. Any time you want to talk about portfolio growth after 50, feel free to DM me.
May you have much success in your REI endeavors. I look forward to learning about your first deal!
- 3yWalter JonesBusiness MemberReal Estate Agent · Memphis, TN · Member since 2018 · 100 posts · 100 votes
As much as I'd love to turn the clock back and start my real estate investing in my 30's or 40's, I'm grateful for what I have, and it helped soften my transition from W-2 (back) to self-employment when I was a casualty of the pandemic layoffs.
I got my license the 1st time in 2007, but obligations at the time, and a bankruptcy due to a failed business in 2008 forced me into a relocation and W-2 employment. I gave up my license, but resolved to be active in real estate when I could - I still delayed too long, and didn't believe I could do what I now know I could have done. I was in my 40s at the time
Fast forward to 5 years ago - at age 54 I bought a 4-plex in Memphis and lived in it for 2 years while I purchased 2 more duplexes, then a small single family for myself. During the pandemic I flipped an off-market 5-plex, and made a cash purchase of a below market cash flow single family, following it up with 2 more single family homes and a duplex in 2022.
I'll be 59 tomorrow, and I could survive on my current cash flow. My real estate license is a means to an end now, and although my niche of working with investors isn't as lucrative as being a heavy hitter residential agent, I enjoy what I do, I get to work with people that I can help, and they help me sharpen my skills and knowledge of the Memphis market. It's fun to look under rocks together. I still miss the W-2 pay and benefits sometimes, but I don't miss the work, and I rarely wake up to an alarm clock.
Best of luck to you @April Tsotsos! It's never too late, and we can do this as long as we're able!
- Real Estate Agent · North Port, FL · Member since 2022 · 10 posts · 3 votes3yThank you so much for your story of success!! I have high hopes of funding at least 2 doors this year but still feel like I just don't know what I need to know yet. I've signed onto Pro so I can start running the calculators and analyzing potential deals, even if only for the practice. I'm 100% in and just trying to decide on the best funding avenue. Hard money is probably the way to go but I'm not sure where to start as I know the exit from hard money is refi and heavy exit fees. I have some debt to pay down and then will also qualify for a HELOC to access funding from my home. I'll make a point of reading your story and hope to glean some advice from it.
Quote from @Eric Prescott:
April,
I got the bright idea to start investing in real estate 8 months ago and earlier today (well, Friday, since it's after midnight here) I closed on my first 3 out of state rental properties (I posted about it here on and my profile, in case you're curious). I was 50 back in April, hit 51 a month later, rolled over my IRA into a solo 401(k) this fall, and used it to buy these properties in Muskegon, MI at 52% of ARV with the help of @Randy Charboneau, an agent I met here on BP. Tuesday I close on another property (in Memphis), purchased with my wife using a conventional loan and some other investment money I had on hand that I decided to move out of individual stocks and REITs and into hard assets.
Originally I thought it was thinking big to plan for 3-4 properties under my belt by the end of 2023, but here we are in December 2022, and I've got 4 closing. What's more, I have 2 other properties I'm financing with hard money that could theoretically still close before the new year (thought that's gonna be tight), and I didn't even know what hard money was 8 months ago. One of those is a BRRRR in Memphis and the other a flip in Cleveland, and it's odd to me how easy it is to decide which one is which and why now, when 8 months ago I started reading books just because they were recommended and I didn't know how to approach real estate investing at all at the time.
Like some of the other later bloomers here, I hope to achieve a large portfolio within 10-15 years that will produce significant streams of income, and I plan to add private money lending and other investments into that as well. And since my goal is to grow exponentially so I can grow that portfolio, I am already off to a much better start than expected, and doubling my doors every year means I should be moving faster than expected and adjusting my approach to include multifamily earlier than expected.
It is great to have had the advantage of time to gather the resources to get started like this, to have some savvy from past deal making in other professions, as well as purchasing two primary residences and selling the first one, and to be able to limit my consulting work to spend more time on investing. Any time you want to talk about portfolio growth after 50, feel free to DM me.
May you have much success in your REI endeavors. I look forward to learning about your first deal!
- Real Estate Agent · North Port, FL · Member since 2022 · 10 posts · 3 votes3yIt's really great to hear stories of how quickly people got the ball rolling on this and I appreciate all of the great feedback. I love the idea of househacking but we already have a home we really love so it would be hard to give it up to start out that way. My thoughts are to HELOC or hard money my first investment but feeling a little uneasy about the risk. My confidence grows every day as I read all of the success stories!
Quote from @Walter Jones:
As much as I'd love to turn the clock back and start my real estate investing in my 30's or 40's, I'm grateful for what I have, and it helped soften my transition from W-2 (back) to self-employment when I was a casualty of the pandemic layoffs.
I got my license the 1st time in 2007, but obligations at the time, and a bankruptcy due to a failed business in 2008 forced me into a relocation and W-2 employment. I gave up my license, but resolved to be active in real estate when I could - I still delayed too long, and didn't believe I could do what I now know I could have done. I was in my 40s at the time
Fast forward to 5 years ago - at age 54 I bought a 4-plex in Memphis and lived in it for 2 years while I purchased 2 more duplexes, then a small single family for myself. During the pandemic I flipped an off-market 5-plex, and made a cash purchase of a below market cash flow single family, following it up with 2 more single family homes and a duplex in 2022.
I'll be 59 tomorrow, and I could survive on my current cash flow. My real estate license is a means to an end now, and although my niche of working with investors isn't as lucrative as being a heavy hitter residential agent, I enjoy what I do, I get to work with people that I can help, and they help me sharpen my skills and knowledge of the Memphis market. It's fun to look under rocks together. I still miss the W-2 pay and benefits sometimes, but I don't miss the work, and I rarely wake up to an alarm clock.
Best of luck to you @April Tsotsos! It's never too late, and we can do this as long as we're able!
- 3yNicholas L.Pro MemberFlipper/Rehabber · Pittsburgh · Member since 2018 · 6k+ posts · 5k+ votes
just saw you responded to me a few days ago and I missed it. question for you - would your schedule and finances permit you to travel (frequently) to an OOS market to get started?
i always recommend that new investors start in their backyards if at all possible. but, if you can travel to an OOS market and really be hands-on for the start-up / purchase / core 4 building / stabilization phase, I think it will lessen your risk and increase your chances of success.
with that said, i have to believe that even if your immediate FL market seems too expensive or saturated, there are probably markets within driving distance of you at a lower price point. this would let you go to REIA meetings, meet agents, interview PMs, walk properties, network in person, etc.
one other thought - if your goal is $7k a month net on just 10 properties, that's likely going to require STRs unless you're making very large down payments on LTRs.
- Investor · Union County, NJ · Member since 2022 · 92 posts · 51 votes3yMy two cents is to take your time to make sure you understand the numbers, and to make sure the numbers give you lots of leeway.
Quote from @April Tsotsos:
Thank you so much for your story of success!! I have high hopes of funding at least 2 doors this year but still feel like I just don't know what I need to know yet. I've signed onto Pro so I can start running the calculators and analyzing potential deals, even if only for the practice. I'm 100% in and just trying to decide on the best funding avenue. Hard money is probably the way to go but I'm not sure where to start as I know the exit from hard money is refi and heavy exit fees. I have some debt to pay down and then will also qualify for a HELOC to access funding from my home. I'll make a point of reading your story and hope to glean some advice from it.Quote from @Eric Prescott:
April,
I got the bright idea to start investing in real estate 8 months ago and earlier today (well, Friday, since it's after midnight here) I closed on my first 3 out of state rental properties (I posted about it here on and my profile, in case you're curious). I was 50 back in April, hit 51 a month later, rolled over my IRA into a solo 401(k) this fall, and used it to buy these properties in Muskegon, MI at 52% of ARV with the help of @Randy Charboneau, an agent I met here on BP. Tuesday I close on another property (in Memphis), purchased with my wife using a conventional loan and some other investment money I had on hand that I decided to move out of individual stocks and REITs and into hard assets.
Originally I thought it was thinking big to plan for 3-4 properties under my belt by the end of 2023, but here we are in December 2022, and I've got 4 closing. What's more, I have 2 other properties I'm financing with hard money that could theoretically still close before the new year (thought that's gonna be tight), and I didn't even know what hard money was 8 months ago. One of those is a BRRRR in Memphis and the other a flip in Cleveland, and it's odd to me how easy it is to decide which one is which and why now, when 8 months ago I started reading books just because they were recommended and I didn't know how to approach real estate investing at all at the time.
Like some of the other later bloomers here, I hope to achieve a large portfolio within 10-15 years that will produce significant streams of income, and I plan to add private money lending and other investments into that as well. And since my goal is to grow exponentially so I can grow that portfolio, I am already off to a much better start than expected, and doubling my doors every year means I should be moving faster than expected and adjusting my approach to include multifamily earlier than expected.
It is great to have had the advantage of time to gather the resources to get started like this, to have some savvy from past deal making in other professions, as well as purchasing two primary residences and selling the first one, and to be able to limit my consulting work to spend more time on investing. Any time you want to talk about portfolio growth after 50, feel free to DM me.
May you have much success in your REI endeavors. I look forward to learning about your first deal!
- Real Estate Agent · North Port, FL · Member since 2022 · 10 posts · 3 votes3y
Quote from @Nicholas L.:
just saw you responded to me a few days ago and I missed it. question for you - would your schedule and finances permit you to travel (frequently) to an OOS market to get started?
i always recommend that new investors start in their backyards if at all possible. but, if you can travel to an OOS market and really be hands-on for the start-up / purchase / core 4 building / stabilization phase, I think it will lessen your risk and increase your chances of success.
with that said, i have to believe that even if your immediate FL market seems too expensive or saturated, there are probably markets within driving distance of you at a lower price point. this would let you go to REIA meetings, meet agents, interview PMs, walk properties, network in person, etc.
one other thought - if your goal is $7k a month net on just 10 properties, that's likely going to require STRs unless you're making very large down payments on LTRs.
Thanks for your feedback. My availability is open but my husband (who would be directing repairs/etc) is not. It's part of the reason we're hesitant on out of state properties. It seems good on the surface to want to be OOT but you're right, it makes much more logistical sense to have our first purchase locally. I'll start looking a bit more inland and see what I can find.
As far as 10/$7000, I would prefer to have STR but haven't yet figured out how the funding would look. I'm sure I'll have to get creative and may need more than the 10 as you've pointed out. I'm so green at running the numbers right now that I know I need to spend alot of time getting a better grasp of it all. I've looked at the DSCR loans and they work well for LTR if its suburban/urban and has comparables to justify the rental rate but with STR - I may not be able to justify what LTR rates would be on it if its not located in a populated area in order to secure that type of loan. I'm also looking for hard money lenders to research and so far only know about Kiava but have nothing to compare to.
- 3yNicholas L.Pro MemberFlipper/Rehabber · Pittsburgh · Member since 2018 · 6k+ posts · 5k+ votes
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