real estate agent turned into investor?

Question

i am starting my journey into real estate at 22 and i’m just learning as much as i can by watching a ton of youtube videos/ buying books/ reading articles: listening to blogs etc and i noticed that i am going to need capital to start my investing journey .. i was really thinking about trying to become an agent and try to save up money from doing that and soak up more knowledge so i can know more about the real estate game or should i just try to save up as much as i can from my 9 to 5.. which can become time consuming due to personal expenses i have and i want to do both so i can get started investing as quickly as possible while gain great knowledge about something i am passionate about ! what should i do?

Steve Vaughan · Answer

Nothing wrong with spending the $500 and taking the online sales agent course if you really want to explore the agent route.

I did this years ago when I thought I wanted to be a PM.  I had already been an investor full time for 8 years and was completely unimpressed with the applicable investing knowledge offered.

I'd just save and invest. I've read in general it takes about 3- 5 deals a year to break even on the initial and ongoing licensing costs and effort.

Will Fraser · Answer

Hi @Maurice Graham, welcome to the BiggerPockets forums!

The best play in life is to have a strong offense AND defense.  Your financial offense is earning -- you'll want to figure out how to earn enough.  However, that along will NEVER lead to success built around the right goals.  Instead, you'll want to play too defense too -- controlling your spending and having a high savings rate.

You do NOT need to get into real estate in order to accomplish this.  Actually, I'd argue that you should not get into real estate until you're defense game is buttoned up.  After you get expenses reined in and are living on a budget with an aggressive savings rate THEN look at some methods to generate lump-sums of cash, and invest those lump sums with excellence :)

Eudith Vacio · Answer

Hello @Maurice Graham - is your end goal to become an investor? I definitely think that increasing your reserves is the first step. Now you can cut your expenses OR increase your income OR do both.

You can do that by becoming an agent but also realize that might take time away from your ultimate goal of becoming an investor. You might just want to network with agents and other investors that can help you get you where you want to go! Hope that was helpful :)

Gregory Murphy · Answer

@Maurice Graham Hello Maurice. I’m also 22 and wanting to become a real estate investor. I got my real estate license recently so I can get more involved in the real estate industry, gain experience, and meet new people. I plan to use my commissions towards buying out of state rental properties. As for actionable steps to take. I keep my expenses as low as possible while trying to save as much as I can and try my hardest to increase my income. I also have a clear goal, and a definitive plan for investing. I keep my plan constantly in my head and everyday I make it a priority to take actionable steps to get me closer in achieving my goals and increasing my knowledge.

Steve Vaughan · Answer

Oh, sorry to confuse, I decided not to become one.  My goal was to be a PM for a brokerage here that wanted to sponsor me, then be my own PM after the 2 year requirement.  I tested but didn't get licensed when I realized my owner clients would stay with the brokerage.

i was mainly speaking to the lack of usable information an investor gains training for the sales exam.   I wouldn't become an agent for the 'knowledge'.

Maurice Graham · Answer

@Steve Vaughan i was really thinking about doing that and i will most likely do it ! how did everything go with you becoming an agent?  do you like it better as an investor or vice versa?

Maurice Graham · Answer

@Gregory Murphy that is very great that you do that. i appreciate you for your answer you helped me out and good luck on your journey! appreciate you a lot 👍🏽

Maurice Graham · Answer

@Eudith Vacio yes my end goal is to become an investor! thank you so much for your answer and that helped me out a lot appreciate you 👍🏽

Maurice Graham · Answer

@Will Fraser thank you for your reply will! i appreciate it 👍🏽

real estate agent turned into investor?

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