Hey guys, I have done a lot of research on real estate, and feel I am ready to jump in! I am 19 years old, and just got my real estate license. My main goal in life is to be free. Have freedom to do what I want, and not get stuck doing anything that makes me miserable. I was wondering if it is feasible for me to work on investing in real estate until I hit about $2500 per month in income, then pursue my dreams that may consist of not making money for a long time if at all. Also, I want to do this ASAP, so I have developed a strategy such as flipping a couple houses to FHA into a 4 plex, then flip 2+ houses a year. 1 to live off, the rest to invest assuming $20k+ profit each flip.
Any guidance on this issue? Anyone doing this?
Awesome! I wish I had the focus at this age that you have. This is the perfect place for advice on REI. Best of luck
@Nick Britton Yes I have read the book Rich Dad, Poor Dad a year or so ago. I have developed my financial philosophy to buy income producing assets and avoid bad debt, and so start my own businesses instead of working for someone and accomplishing their dreams. I feel this is a great philosophy until I finally have enough income from my assets to be free!
@Ellie Hanson This is true, I came from a family that did not have much growing up, so my goal was the be the big man, own a lot of money, fancy this and fancy that. But at what cost? Working 60+ hours a week? not following my dreams that I have to act on while I'm young and regret it when I pass? I cant take the money where I am going after this life, so I want to accomplish my dreams, and try to help everyone I am close to so they can accomplish their dreams also. About living smart and never having to work again, I have already begun to think where to allocate my money when I get it. I want it diversified so that when something crashes, not all is lost. Something along the lines of 30% money in a cash flow real estate market, 30% in an appreciation market, 20% dividend stocks, 10% lending, 10% bonds/cash. This is not set in stone but I think if this is diversified and still producing the income I want, it will keep growing without me and I wont have to work again!
Thanks guys, I love this community!
Best of luck. Look into the rules for getting a mortgage on your 4-plex. FHA is an awesome way to start (I'm in a 3-unit FHA living in 1) but you still have to meet all the lending requirements. That may be tougher depending on what your market cost is...
Best of luck and it sounds like you're on the right track.
Good for you. I started investing and flipping houses at age 20 so I was a year behind you. I am 26 now and own several rentals as well as my own. I still work on flips and I can tell you the time goes by quickly. My biggest piece of advice would be to keep your personal finances in impeccable condition. Banks and lenders will scrutinize you more because of your lack of experience, lack of consistent income, and so on. Develop a great credit score and work hard to keep your debt to income as low as possible. If you have the work ethic it honestly wont take long until people realize you are serious and they will be willing work with you and help you. One of other piece of advice, do not be afraid to share your opinions and have conversations with other investors and real estate professionals. People can quickly tell if you are full of BS or sincerely know what you are talking about. You will gain respect and people will want to work with you. Good luck.
Sounds good to me! You are setting the stage to have options...which is what most people truly want. With your ambition, you can crush this goal in no time.