Anyone begin their real estate journey in their late 40s?

190 Replies

Last Thursday I just signed a buyer's agreement with a 52 year old 1st time investor. It's a lot more common than you think. You're much more financially stable to make real moves, compared to someone in their 20's who's main issue is financing 95% of the time. Determine what your goals are and stick to it.

Best of luck!

@Patrick Froehlich I started in my 40’s with nothing. I was more accountable and knew the problems faced by the people I was helping because I’d had the same problems in 2010. I’ve heard of worries from people starting to early, to late, have no money, have no experience it’s just another hurdle your mind is putting in front of you. Get your mind right and there’s no obstacles. It’s mindset, that’s all.

@Patrick Froehlich I've finally gotten serious at age 46 (as of this June). I had/still have age-based trepidation but the more I learn and most importantly THEN DO, the "younger" I feel if that makes sense. Congrats on your next step! Oh and listen to the latest Rookie pod. It features an investor who started in the 40s. For me it was one more positive bump in the right direction.

In my 20s, I invested in my education to get a higher end degree and W-2 income

In my 30s, I invested in my career, several career related business entities, and my kids.

Now in my 40s, still have the career, still have most of the career related business entities, still have the kids, and now have invested in real estate.  What learned from my 20s, I applied to my 30s.  What I learned from my 30s, I have applied to real estate investing, which has likely limited major mistakes and loses I would have incurred at an earlier age.  40s was definitely the right time for me to start with real estate.  

@Patrick Froehlich

You are never too old for cash flow! I started at about 40 years old, and 2 years later had 24 doors. You're probably much smarter and wiser than you were in your twenties, so hitting your goal could happen quicker.

@Patrick Froehlich . I like This topic. I found real estate investing a little over a year ago and I'm 45 years old. I acquired my first flip property and I'm just finishing that up now. I have big plans and definitely wish I would have found Bigger Pockets sooner but it's better late than never. My ultimate goal is to flip houses to buy rentals and do some BRRRR investing. The possibilities are endless. My hope is to build myself a portfolio that will passively afford me the life style I want in retirement before I hit the retirement age. My suggestion is to surround yourself with people who are successful at what you want to do and learn from them. Don't waste the time and try to figure things out on your own. Do what has worked for others. Thanks for the topic today

It is never too late to learn.

It is never too late to start a new business.

It is never too late to start a new life if you are no happy with your current life.

It is never too late to do anything that can positively change your life.

Totally depends on your goals and what you intend to do.  I would not do much DIY myself as part of a long-term goal, because of physical limitations.  If you don't already have a bad back and knees, no need to court them.  But, if you can get some income from a rental, or you just want to work towards appreciation, you'll probably do much better with real estate than the stock market and have much better tax write-offs to boot.

Just keep in mind the taxes wherever you are looking to invest.  There are horror stories by out of state investors in some fly-over states, where their investment was reassessed at some crazy amount, leaving them in the red.  If you are looking at hiring property managers, you better know more than them and the market where the property is.  I would not start cold turkey in this industry long distance, trusting a PM.  I was ripped off when I was young, and even after I was seasoned by a very good con artist.  Live and learn.  

But, if you just want to start a self-managed investment with a rental or two, in a market you know well, why not?  The only down side to being older, in my opinion (other than physical limitations mentioned) is not wanting to gamble on having to start over by making mistakes due to ignorance of laws or a market or being taken advantage of by a bad PM.  Or, getting involved in a get-rich-quick scheme, none of which make any money for anyone except the guru promoting it (with books and seminars and memberships- why do they have to do that if they really got rich off their real estate investing, I ask you).

@Patrick Froehlich

Generational wealth is my goal. Although I am very young. If I was older, I would want to leave a real estate business that operates after my time. So I don’t think much of that time but more of what can I leave behind for my children to continue and grow. Getting started is all it takes. No matter what age.

Originally posted by @Michael Acevedo :

@Patrick Froehlich

Generational wealth is my goal. Although I am very young. If I was older, I would want to leave a real estate business that operates after my time. So I don’t think much of that time but more of what can I leave behind for my children to continue and grow. Getting started is all it takes. No matter what age.

 Honestly, don't expect any of your heirs to understand or want to run your business after you're gone.  I've learned this with my mother's estate in probate (from hell).  I've written my living trust to say that any real estate I own is to be sold and my estate is to be then divided with percentages to this person and that person.  So, if you want to leave something for your kids, just look for appreciation, and don't expect them to get along after you're gone.  That's a pipe dream, unfortunately.  Be sure and be specific as to which kid gets what and why and make a video that explains it, so it can be shown in court that you were sane when you wrote the will and trust.  Because it won't just be your kids, it will be their spouses influencing them and their kids influencing them and most of them arguing between themselves.  Money brings out the absolute worst in people.  Just sayin.  I think you're better off enjoying your own labors, and making sure you have money for your own healthcare in your old age (and don't expect your kids to take care of you), and if there happens to be anything left over for them - great.  But, remember, they are going to be capable adults who could do what you have done or are doing.  

@Patrick Froehlich

It’s your life and you get to do with it as you like.  I think real estate is a great investment with many tax advantages that come with it.  Unlike other investments real estate has many advantages with depreciation, mortgage pay down, interest and property tax deduction, cash flow and appreciation.  Age doesn’t matter.  Putting money in your pocket and reducing your adjusted gross income is such a great benefit.  For those of us who are still working m, the reduction in gross income is awesome.

Whether your 20 or 60 you can still invest.

Good Luck. 

@Patrick Froehlich

I LOVE that you posted this! I'm 51, turning 52 this year and am just starting out. I may be starting out late in the game, but I don't feel or believe that it is necessarily a hindrance. I think I'm a little wiser and more focused than I was when I was younger and I appreciate advice and guidance when where I was younger I thought I new it all. Thankfully not all young people are not like that and that's why you see more younger people taking advantage of REI now. Alas, time and experience has taught me much and the old age teachings forced upon me by my parents, I've outgrown...so here I am, full force ahead making my own destiny and trying to learn how to build a legacy for my family!

Good luck Patrick, you've come to the right place, there is a plethora of knowledge and resources at your fingertips!

@Greg Scott

Hey Greg!

I enjoyed reading your post. Would you mind to elaborate on what you mean by- buying real estate the right way? I’m currently doing 1-2 single family homes a year and would love to learn how to scale like you have.

I’m trying it again at 44. I’d love to retire in 10 years but I’m not sure I’m cut out for the cut throat business of investing. So, for now, I’m going to take it one property at a time and see where 45 lands me.

And to those who say I need a very specific goal, I have one...stay married until one of us dies.