Losing motivation. Am I close or do I need to move onto something else?

[Nicholas A.]

I’m at a bit of a crossroads and would appreciate some honest feedback.

I bought my first rental in 2020 and a second in 2023 — both were decent investments, though I’ll admit there was some luck involved. Over the past 6–8 months, I’ve gotten more serious: read two books (not helpful), completed an online course (helpful), joined a mentorship (not helpful), and have been networking with wholesalers and investors online.

Here's where I'm struggling: even after this effort, quality deals — rentals or flips — seem very hard to find. Most potential deals I see are through wholesalers, but many aren't great, or you need a strong relationship to see the better ones. MLS deals seem too tight.

I’m starting to wonder if the only way to find consistent, quality opportunities is to fully embrace this as an entrepreneurial effort — direct marketing, cold calling, door knocking — which I’m not eager to do. I’m not a people person, and the grind doesn’t appeal to me. Flipping seems to require the same level of hustle.

At this point, I don’t know if I’m close to landing a good deal and should stay the course, or if I need to step back and ask whether this is the right fit for me. If I need to run a marketing operation to any extent to find deals, it may not be worth it compared to more passive options like investing in the S&P 500.

Maybe I’m missing something. Maybe you can do this without becoming a marketer/entrepreneur/realtor/people person. But if not, my way of currently doing it may not yield me enough returns to continually do it. Wholesalers, realtor.com, networking with people.

Spending time weekly for months and months or longer to acquire a property and merely make $300 a month cash flow just doesn't seem cost effective over the long term for me. I know theres debt pay down and other ways you get paid too but it doesnt seem super cost effective and I'd rather do other things with my time, even if they're not geared towards making money.

Question:
Is my way of doing this worth pursuing further, or do I truly need to build my own pipeline even if part time to succeed in this endeavor?

Appreciate any honest insights.

[Don Konipol]

Quote from @Nicholas A.:

I’m at a bit of a crossroads and would appreciate some honest feedback.

I bought my first rental in 2020 and a second in 2023 — both were decent investments, though I’ll admit there was some luck involved. Over the past 6–8 months, I’ve gotten more serious: read two books (not helpful), completed an online course (helpful), joined a mentorship (not helpful), and have been networking with wholesalers and investors online.

Here's where I'm struggling: even after this effort, quality deals — rentals or flips — seem very hard to find. Most potential deals I see are through wholesalers, but many aren't great, or you need a strong relationship to see the better ones. MLS deals seem too tight.

I’m starting to wonder if the only way to find consistent, quality opportunities is to fully embrace this as an entrepreneurial effort — direct marketing, cold calling, door knocking — which I’m not eager to do. I’m not a people person, and the grind doesn’t appeal to me. Flipping seems to require the same level of hustle.

At this point, I don’t know if I’m close to landing a good deal and should stay the course, or if I need to step back and ask whether this is the right fit for me. If I need to run a marketing operation to any extent to find deals, it may not be worth it compared to more passive options like investing in the S&P 500.

Maybe I’m missing something. Maybe you can do this without becoming a marketer/entrepreneur/realtor/people person. But if not, my way of currently doing it may not yield me enough returns to continually do it. Wholesalers, realtor.com, networking with people.

Spending time weekly for months and months or longer to acquire a property and merely make $300 a month cash flow just doesn't seem cost effective over the long term for me. I know theres debt pay down and other ways you get paid too but it doesnt seem super cost effective and I'd rather do other things with my time, even if they're not geared towards making money.

Question:
Is my way of doing this worth pursuing further, or do I truly need to build my own pipeline even if part time to succeed in this endeavor?

Appreciate any honest insights.

I’m not going to get into the math here; other posters have covered how they personally view ROI, profit, cash flow etc.

What I will tell you is that the number one attribute I’ve seen in SUCCESSFUL “active” investors is that they LOVE the real estate industry, the process, the “deal”.  They get an excitement from completing a successful transaction.  From finding the needle in a haystack.  From putting together a group of investors, completing the purchase, adding value to the property, and eventually liquidating at a profit. 

If you’re into real estate investment because, well, you like the potential returns but you’d rather visit a museum rather than visit a potential property acquisition, or you’d rather read a good novel rather than an appraisal, or you’d rather socialize with the neighbors than attend a real estate conference, you won’t be happy, and probably won’t have great success as an ACTIVE real estate investor.  Go find something you love, that “turns you on”, that provides a sense of fulfillment and accomplishment, because that’s not real estate for you.

And if you still believe real estate is the investment that provides the highest RISK adjusted rate of return, invest PASSIVELY, in REITS, as a limited partner in syndications, in a real estate or mortgage fund.