just wondering how many of you have retired from real estate at a young age? how long did it take ?
The thing with real estate is that it lends itself to not retiring from real estate, but to keep it going.
An attorney that I know had 30 some rentals and confided with me that he made more money from rentals than from the law firm. After he retired from the law firm, he still kept all of his rentals and when he passed, they went to his family, who have continues to rent them and continue their ownership legacy.
Some people get into real estate to provide for their retirement, so their goal is to keep the real estate not to jettison it.
They might turn the management over to somebody else, but since the properties are often debt free there is still a lot of cash generated and with very little or no work, a perfect arrangement for retirement.
And then there are the people addicted to real estate, who continue buying real estate longer after there is a need to do that.
And from my personal observation more people quit real estate long before they retire. They have a bad experience that dissuades them from continuing, or they make a mistake that makes them think is this worth it, or they just get tired of real estate. There is a tremendous turnover of real estate investors, and more people quit real estate, than hang in there until retirement.
Typically I see the younger investors work ultra hard to create the income stream.
The older investors tend to take things slower and still do deals but not at a hectic pace.
Same thing with broker and agents. In the beginning they might work with anyone. Over time with a proven track record they pick and choose what business they want.
So retirement is a relative term. My uncle invented the cleaner remover Goof- Off. He was the first one to invest such a product. After words Oops, Goo Gone, etc. came out.
My uncle retired for a few years and traveled everywhere after he sold off the company but then became bored fast. He still invents things and does things with his life. You have to have a purpose in life to want to get up everyday.
I am 39 now and I think I will do real estate forever but ramp it down as I get older. I just enjoy it too much.
very few true RE investors retire until they are 6 feet under...
Same with those in the Lending world.. Keeps one active and engaged.
Its not like being an Airline pilot and at 60 you no longer can work. ( well they changed that to 65) and or an air traffic controller who has to retire at 50..
I have know a few in RE to retire but I know many more that worked until they could not anymore ..
I always tell anyone who will listen and that is not a large group.. Gut RE is a LIFESTYLE not a job.
Just today I was out looking at 800 acres in Clark Co WA. developer ran into trouble with IRS needs 2.1 million in the next 30 days.. property is worth probably 15 mi.. I brought out two investors. ( one life long business partner) and another of his buddies.. Look like we are going to save the day.. And both of these buys sold companies for more than 20 mil each but they love to be engaged. For me I will put in 100k to play and my wife will get the listings:)
Then I had another past partner call me an hour later with a timber deal. Buy land for 280k log it get 150k in timber and sell house and land for 275k in the ultra hot PDX market its 40 acres. We will make 120k in 6 months and split it. he will put up half I put up half.. So all in all a good days work...
Real estate is a lifestyle that I enjoy.,,, some days better than others.
On the flip side from 08 to 2010 when I lost millions in the melt down I was not so chipper.!
RE is a LIFESTYLE not a job
@Jay Hinrichs put it best.
Once you start doing RE deals, you get hooked to them. There are various things that you get excited about. The transformation of a house gets me excited. Buying a dump and turning into a nice, clean, functional house for a family is a great feeling. The whole neighborhood appreciates when an investor buys a house and improves it. That helps the whole street.
I love negotiating RE deals. Being creative to get deals done is very exciting. Helping distressed sellers by purchasing their properties never gets old.
I find RE very rewarding in so many ways.
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