The Truth About Full-Time Real Estate—What Newbies Need to Know

The Truth About Full-Time Real Estate—What Newbies Need to Know

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

Everyone today seems to have a course or preach about financial freedom, passive investing, and how real estate provides passive income—but let’s be real, it’s not all rainbows and unicorns.

For those of us in this full-time, we know the reality: long hours, unexpected headaches, wearing many hats, getting yelled out and tasks we dread but have to do anyway. Whether it’s dealing with difficult tenants, endless paperwork, chasing contractors, or the emotional rollercoaster of deals falling apart at the last minute, there’s always something that makes you question your sanity.

Real estate also isn’t a get-rich-quick scheme. It’s not as easy as it was the past few years, and appreciation isn’t infinite. It takes real effort, smart decision-making, and a willingness to grind through the tough parts.

So, let’s provide those just getting into the space a dose of reality—what’s the one thing you despise doing in real estate?

I’ll go first: Taxes - I am not a procrastinator but this is the one thing I despise doing - and I have a bookkeeper and a CPA doing my books and I still despise doing it. It is also not cheap to have your taxes done - so for those creating LLC after LLC and trying to get creative, I will tell you to keep it simple stupid and not get overly complex. I did it early on and thought to myself - wtf am I doing.

7e investments53 Reviews
0Reply
43 views

Most Popular Reply

Cliff BennerBusiness Member
Accountant · Denver, CO · Member since 2020 · 394 posts · 183 votes
1y

I can agree to keeping it simple, so many people are disappointed when I tell them that they can't combine all their LLCs under one subscription because that doesn't allow for proper Accounting Reporting and it would eliminate any Liability protection they thought they had, so now they have to pay for multiple subscriptions to get their books done correctly. 

Benner Stride52 Reviews
See this reply in the discussion

7 Replies

Jump to latestLatest
  • Jay HinrichsBusiness Member
    Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
    1y

    tenants, tenants, tenants.  

    • Chris SeveneyBusiness Member
      Moderator
      OP
      Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
      1y
      Quote from @Jay Hinrichs:

      tenants, tenants, tenants.  


      Thats why you like to  Be the bank, control everything and own nothing! No tenants, toilets or termites

      7e investments53 Reviews
  • Investor · Get yourself trained before doing something inadvisable. · Member since 2024 · 3k+ posts · 1k+ votes
    1y
    Quote from @Chris Seveney:

    Everyone today seems to have a course or preach about financial freedom, passive investing, and how real estate provides passive income—but let’s be real, it’s not all rainbows and unicorns.

    For those of us in this full-time, we know the reality: long hours, unexpected headaches, wearing many hats, getting yelled out and tasks we dread but have to do anyway. Whether it’s dealing with difficult tenants, endless paperwork, chasing contractors, or the emotional rollercoaster of deals falling apart at the last minute, there’s always something that makes you question your sanity.

    Real estate also isn’t a get-rich-quick scheme. It’s not as easy as it was the past few years, and appreciation isn’t infinite. It takes real effort, smart decision-making, and a willingness to grind through the tough parts.

    So, let’s provide those just getting into the space a dose of reality—what’s the one thing you despise doing in real estate?

    I’ll go first: Taxes - I am not a procrastinator but this is the one thing I despise doing - and I have a bookkeeper and a CPA doing my books and I still despise doing it. It is also not cheap to have your taxes done - so for those creating LLC after LLC and trying to get creative, I will tell you to keep it simple stupid and not get overly complex. I did it early on and thought to myself - wtf am I doing.

    Dealing with upset separated/divorced co-owners who tell me to meet them in the desert alone and we'll settle this. Whaaa? It wasn't me you divorced.

    Guns have their place, just not pointed at me. Gulp.

    • Chris SeveneyBusiness Member
      Moderator
      OP
      Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
      1y
      Quote from @Ken M.:
      Quote from @Chris Seveney:

      Everyone today seems to have a course or preach about financial freedom, passive investing, and how real estate provides passive income—but let’s be real, it’s not all rainbows and unicorns.

      For those of us in this full-time, we know the reality: long hours, unexpected headaches, wearing many hats, getting yelled out and tasks we dread but have to do anyway. Whether it’s dealing with difficult tenants, endless paperwork, chasing contractors, or the emotional rollercoaster of deals falling apart at the last minute, there’s always something that makes you question your sanity.

      Real estate also isn’t a get-rich-quick scheme. It’s not as easy as it was the past few years, and appreciation isn’t infinite. It takes real effort, smart decision-making, and a willingness to grind through the tough parts.

      So, let’s provide those just getting into the space a dose of reality—what’s the one thing you despise doing in real estate?

      I’ll go first: Taxes - I am not a procrastinator but this is the one thing I despise doing - and I have a bookkeeper and a CPA doing my books and I still despise doing it. It is also not cheap to have your taxes done - so for those creating LLC after LLC and trying to get creative, I will tell you to keep it simple stupid and not get overly complex. I did it early on and thought to myself - wtf am I doing.

      Dealing with upset separated/divorced co-owners who tell me to meet them in the desert alone and we'll settle this. Whaaa? It wasn't me you divorced.

      Guns have their place, just not pointed at me. Gulp.


       I just had a potential buyer on a property we have a under agreement with them allegedly appear to "manipulate" the inspection report to add additional items in order to renegotiate the price of the property. 

      7e investments53 Reviews
  • Cliff BennerBusiness Member
    Accountant · Denver, CO · Member since 2020 · 394 posts · 183 votes
    1y

    I can agree to keeping it simple, so many people are disappointed when I tell them that they can't combine all their LLCs under one subscription because that doesn't allow for proper Accounting Reporting and it would eliminate any Liability protection they thought they had, so now they have to pay for multiple subscriptions to get their books done correctly. 

    Benner Stride52 Reviews
  • Ryan SpathBusiness Member
    Real Estate Agent · Boise, ID · Member since 2017 · 566 posts · 377 votes
    1y

    Love the post, Less is more when it comes to properties. Everyone has a certain capacity that the operate the best in, find this and stay in your lane. Not everyone needs to 10x and own 100's or 1,000's of doors. 

    Investing in real estate is like planting a fruit tree, it is going to take ~10 years to start bearing any fruit. This is a long game in my opinion.


    In order to be successful you have to run a business and operate according to you business plan.  

  • Rental Property Investor · San Francisco Bay Area · Member since 2022 · 1k+ posts · 1k+ votes
    1y

    Negotiating a difficult deal, whether it's on the buying or selling side

    My other choices: disagreements with tenants, managing the property manager, auditing the financials of the properties with a PM

Join the conversationCreate a free account to reply, vote on answers and follow this thread.