Calling all retirees! I want your story
Katie MillerPro Member
General Manager, Publishing at BiggerPockets · Denver, CO · Member since 2017 · 463 posts · 642 votesCalling all retirees! I want your story
Most Popular Reply
Real Estate Agent · Cleveland OH · Member since 2015 · 216 posts · 275 votes
6yI guess I unofficially retired in 2009 after my husband passed away, I was holding a key employee insurance policy check and the stock market was tanking. I purchased distressed properties with the money to renovate, hold and rent. I was fortunate that my brother owned a contracting business and referred me to his friends that were new home builders. They become my crews for the next 5 years because I could pay on Friday. By 2010, the guys that use to work for the large companies found me. An estimator for one of those firms convinced me that there was Opportunity for female General Contracting firms. He got me bonded and within 3 months my company was an EDGE Contractor and we were working on public projects, an anatomy lab for NEOUCOM, a Rat Reasearch Lab, Incubator Building for Micron Electronics and the Sound System for the MAC at Kent State, a Starbucks, the Auburn Science Center and Residence Hall for Kent, Track and Field house for City of Cleveland and a Soccer pavilion for the city of Barberton. That was in a period of three years. Before my husbands death I owned a computer consulting business that sold and supported Computer Aided Design Systems for Architects and engineers.
Interesting experience, everyone assumed that it was my husbands business, and I had to explain working 12 hours a day was how I grieved. We built a business but it was not my passion. My partner and estimator moved back home to Cincinnati to take care of Mom and a disabled brother. I closed down the business. I use to kid that they only let me out of the office to sign contracts. The GC is the last person to get paid on a public job and I did the prevailing wage paperwork for every subcontractor I hired. I got a real estate license and started to flip houses first for investors then as part of an LLC with a commercial loan broker. I have a hard time retiring, I do not need to work, my investments from the last crash provide me a comfortable living and 1031 exchange opportunities. I now help with the property management group in my current brokerage. Most fun I had was volunteering at Habitat for Humanity. After 25 years of fixing computer problems it was great to be able to do something that that you could point to and say that I did that, and improve others lives. Maybe it was a nod to my husband, he was an Architect and there are numerous examples to his talent throughout Summit County.
Entrepreneurs don't retire we just do new and interesting things, because we want to, not because we have to.
60 Replies
- Property Manager · Windsor Locks, CT · Member since 2016 · 1k+ posts · 1k+ votes6y
I retired about two years ago at age 24. I made a bigger pockets post about it here:
Today - at age 24 - I "retired". Here's how I did it.Truth is I didn't have enough forethought as to what retirement would look like, so I got really bored and slightly depressed. That's when I made my own job and started CT Property Management. Been at it ever since, so I guess you could say I "unretired", LOL. I will say that I'm way happier now than I was back then, I feel like I've regained a sense of purpose!
- Rental Property Investor · Redondo Beach, CA · Member since 2017 · 9 posts · 2 votes6y
I was retired prematurely after getting laid-off first from WorldCom, and then Cingular Wireless, both as a result of corporate mergers. Fortunately, I received severance each time which I was able to bank. Then I started a new career as a teacher here in Los Angeles. In 2017, I was offered an early retirement package with a small, teacher’s pension, and my wife still works so we have health insurance.
My existing two-flat back in Chicago, along with 25% down from my severance, helped qualify us for multi-family property here in California. In 2009, we picked-up an REO duplex with 3 bedrooms and 2 baths in each unit. And in 2010, we acquired a second REO duplex. My summers off from teaching were spent with my sons painting and performing routine maintenance on our rental units.
Being an absentee landlord created challenges for managing my Chicago 2-flat, so I sold it. I was able to close the sale on 3/31/20 just as the COVID-19 restrictions were starting. We had good cash flow and tax advantage over the years, and the appreciated cash-out should help weather this storm. My oldest son graduates college this year too, so we get a raise from our monthly rental cash flow used to put him through school. We’ve been blessed with good tenants, and March, April and May rents were all paid, but I still hold my breath each month until all the rents clear.
- Real Estate Broker · Chicago, IL · Member since 2013 · 6k+ posts · 5k+ votes6y
I have a similar story to @Filipe Pereira! I "retired" and got super bored really quick. I ended up starting a few businesses since. I talked about it on podcast 78 and posted about it here
https://www.biggerpockets.com/forums/223/topics/194975-we-did-it-we-hit-our-investment-goal
Second City Real Estate4.821 Reviews - Rental Property Investor · Medford, OR · Member since 2017 · 94 posts · 115 votes6y
My husband retired from his job as an attorney in March of 2020. I'm still working but only because I love my job, not because I have to. We have 3 young boys all under the age of 8. We have enough cash flow from our 36 units to live off of very comfortably and to enjoy our lives together. We are very disciplined in saving our money and spending it on cash flowing rental properties to build our "early retirement" portfolio. We use debt to leverage all of our rentals and make sure that our Cash on cash (ROI) is at least 13% per property. We have used tools like cash out refis, 1031 exchanges, and seller financing to purchase some of our rental properties. Happy to share more details any time :)
- Rental Property Investor · Central Illinois · Member since 2019 · 4 posts · 5 votes6y
-Did you retire just before or during the pandemic? I left my W2 Job
-At what age did you retire? 37
-Why do you feel secure retiring in these uncertain times? Cashflow and reserves
Answer the above by replying to me and I'll reach out to you via DM for more info if I like what you have going on!
- Rental Property Investor · Phoenix, AZ · Member since 2008 · 72 posts · 40 votes6y
After 21 years serving in the USAF, I retired in 2019 at 40 years of age. I enjoyed the last year living the retired life and could have easily continued as I executed my plan for early retirement and financial independence quite well. My retirement plan included a successful military career resulting in a pension, stock portfolio, multi-million dollar real estate portfolio, and then an unexpected additional bonus of VA disability. Earlier this year I was approached by a large defense contractor and they made an attractive offer that caught my attention, so I accepted. I'm enjoying what I do and will retire again soon, just taking the opportunity to engage in an environment I appreciate and continuing to serve, just in a different capacity.
- Rental Property Investor · Westminster, MD · Member since 2014 · 165 posts · 221 votes6y
@Michelle Fenn
I love this! Thank you sharing.
- 6yArn CenedellaPro MemberRental Property Investor · Greenville, SC · Member since 2008 · 786 posts · 1k+ votes
@Katie Miller
I have a good story about pulling up roots in Silicon Valley and moving to Greenville South Carolina in late 2014.
Happy to share but I want a private discussion first.
Please contact me outside Marketplace.
Thanks
Arn
- Lender · Thornton, PA · Member since 2014 · 106 posts · 56 votes6y
@Brenda Otero
Thank you for your service sister
@Pat L - That's partly his fault for thinking with his "little richard"... He didn't think to have a conversation about finances and financial goals *before* he married her? She should have also been upfront about it too. Let me guess... Now she wants to forget she has an education and be a stay-at-home wife? I foresee a lot of resentment going forward...
- Rental Property Investor · St Augustine, FL · Member since 2019 · 265 posts · 279 votes6y
@Katie Miller I will
Retire this year so not sure of the future. I have eight properties and I clear around $800 a month on each one after all expenses, plus I will have social security a company retirement check and 401K. I paid cash for all my rentals so not to worried. But my present salary is @ $150k annually with great benefits so will definitely miss that. I got divorced 10 years ago so basically had to restart my life on a shoe string. Luckily for me the divorce came during the housing crash. I bought 4 homes with the money left after the divorce and have been buying ever since by saving and paying cash not much of a story but landlords never retire. Not sure I understand why rental income is call passive income. Never played the game of "using other people's money to invest in RE". That's why the current crisis or any other crisis does not really bother me financially.
I was debating chiming in on this because i find the definition of "retirement" debatable. I THINK I might have "retired" a couple of years ago at age of 46 for a few months after I chose to scale everything down to spend more time with my kids.. That was a bit short-lived to be honest, because I got bored after a few months. All my lifelong friends and peers my age were all still busy working and no one can come out to play during the day. Weirdly, I felt like the "loser"... made me a little depressed actually. Some how i felt lost and aimlessly needing a new purpose. Then one day, I stumbled upon BiggerPockets, read some articles and listened to some podcasts... and Boom! BP totally re-ignited my passion for RE. So I found a new purpose and pivoted to pursue being a full time RE Investor. Now, Im learning to be a developer.
Do I feel "secure" during this pandemic? That's another debatable word. LOL!
You can read more about my back story on my profile. I'm somewhat a serial entrepreneur... built and ran a few businesses and was featured on Shark Tank in 2014.
- Rocky Hill, CT · Member since 2014 · 200 posts · 56 votes6y
I retired on 5/15/20(gave one months notice after 29 years of employment) at the age of 54. I will be using retirement savings(rule of 55), rental income and pension for living expenses. Will start flipping when I get bored:). Let me know if you want to hear my story of how I started broke and now have a seven figure net worth.
Thanks,
Eric
Sure @Eric Munson we would like to hear your story.
- Member since 2019 · 7 posts · 3 votes6y
@Katie Miller I haven't retired yet. I am in the process of retiring from the Army.
I will be 41 years old once I retire. I have been a nervous about transitioning already and with the COVID 19 causing businesses to rethink their business I am a little unsure about getting a job. I think there will definitely be a job but there is a level of uncertainty.
Jacque Collins
- Member since 2019 · 10 posts · 6 votes6yi retired in may of 2018.
i retired on my 33rd birthday
i was not as secure then as i am now for sure. i spent a massive amount of time diving into financial independence, which led me to real estate investing and bigger pockets. i had some skills in home repair, building, renovation but none in actually owning or operating investment properties. i purchased my first rental in july 2019. and will be closing on my second in june 2020 - Specialist · CHICAGO · Member since 2015 · 680 posts · 650 votes6y
I retired from the fire service in 2015 to be a fulltime real estate buy and hold investor. But life came crashing down when my wife asked for a divorce right when our company was at its most vulnerable. I've managed my portfolio form a distance (3 hrs) and through a poop PM ( you know who you are, shame on you) and kept it afloat but what i have left I'm threated to lose. That sends me back into a workpool I never anticipated having to venture back into but I now need it for the borrowig power. I had my dream and then I had a nightmare. I'm the underdog right now coming through it all. I'm starting a podcast to guide the REI community faster into accepting the tech instruments that are being developed around them. Its called Tech, Trends & Tricks of Real Estate investing. I'm a rags to riches to rags to??? story right now. The worst part is I've been preyed on by poor investors who don't know how to craft a fair deal, so I've gained a large amount of respect and understanding for the distressed seller. ( I dare you to post a "while I'm still down" story) People want to know why no one speaks up when they are in the gutter...its because no one really wants to hear about it until they know you are safe on the otherside.
Originally posted by @Calvin Lin:
My retirement story isn't anything special but I will share anyway. I left my W-2 job back on Dec 31, 2019 at 49 after working 27 years on Wall St in various technology jobs in NY and NJ. I have always been a saver and every year I would save about 50% of my taxable income. I started investing in RE back in 2014 because I wanted to have a steady CF after I do the early retirement thing and I felt that RE buy and hold was the best route for that goal. As my W-2 income was relatively high I managed to accumulate a portfoilo of properties without using any leverage and now I live off that rental income. I own my primary residence without a mortgage so my monthly expenses is only 50% of my monthly rental income (ie lots of wiggle room) and I have a 3+ year emergency reserve so I don't feel much stress at the moment.
So nothing fancy or super exciting about it, just steady accumulation of capital then rental properties and carefuly bugdet planning over the years, like a lot of folks on BP and the FIRE crowd are doing. Then one day you realze that your goal has been completed and you can walk away and then start enjoying life more, to spend time doing things you wanted to do and never had enough time to do. One of my college friends died of a sudden heart attack last year in his late 40's, also after 20+ years of working on Wall St (lots of pressure) and it reinforced my decision to walk away as soon as financially feasible and still have my health.
Perhaps someone on BP have a story more exciting like buying bitcoin at $1 or win a sizable lottery? :-)
Very Interesting. Just a question. How do you account for big expenses like kid's college in this scenario? From what you have mentioned the monthly living expenses are covered comfortably.
- 6yKurt PhillipsPro MemberRealtor · Lancaster, OH · Member since 2017 · 163 posts · 120 votes
I was a UPS Driver for 12 years and invested in real estate on the side. My wife was and is a stay at home mother and professional financial coach. For 4 years we ran a financial consulting company, also on the side, and it was successful enough I felt like I could leave my job with the addition of our real estate portfolio, which was quite small at the time. So in November of 2016 I walked away from a secure job with great benefits and a solid income. Shortly after leaving, as in less than 2 months later, the company we were under had a massive overhaul and our pay was cut by nearly 80%. We also had 5 children at the time, now we have 6.
When that happened it was decision time for me as the provider of our home. Do I find another job or go after it with what savings I had. After MUCH prayer, conversations with my wife, and advice from men I respected the decision was made that I would finally treat my real estate like a business instead of a side hobby. Over the next 15 months we added 17 units along with a few creative side hustles to earn more income. Less than 3 years after making that decision at 42 years old my real estate portfolio now earns more than my UPS job ever did and I control my time and pay grade. In short, I was able to replace my income. The feeling of achieving that dream is amazing and incredibly fulfilling. There were many hard moments and times I genuinely was not sure we would make it or how bills were going to get paid. But going through those times was worth every second with my children, my aging father, and my wife.
- Investor · Raleigh, NC · Member since 2015 · 81 posts · 210 votes6y
Originally posted by @Magesh R.:
Originally posted by @Calvin Lin:
My retirement story isn't anything special but I will share anyway. I left my W-2 job back on Dec 31, 2019 at 49 after working 27 years on Wall St in various technology jobs in NY and NJ. I have always been a saver and every year I would save about 50% of my taxable income. I started investing in RE back in 2014 because I wanted to have a steady CF after I do the early retirement thing and I felt that RE buy and hold was the best route for that goal. As my W-2 income was relatively high I managed to accumulate a portfoilo of properties without using any leverage and now I live off that rental income. I own my primary residence without a mortgage so my monthly expenses is only 50% of my monthly rental income (ie lots of wiggle room) and I have a 3+ year emergency reserve so I don't feel much stress at the moment.
So nothing fancy or super exciting about it, just steady accumulation of capital then rental properties and carefuly bugdet planning over the years, like a lot of folks on BP and the FIRE crowd are doing. Then one day you realze that your goal has been completed and you can walk away and then start enjoying life more, to spend time doing things you wanted to do and never had enough time to do. One of my college friends died of a sudden heart attack last year in his late 40's, also after 20+ years of working on Wall St (lots of pressure) and it reinforced my decision to walk away as soon as financially feasible and still have my health.
Perhaps someone on BP have a story more exciting like buying bitcoin at $1 or win a sizable lottery? :-)
Very Interesting. Just a question. How do you account for big expenses like kid's college in this scenario? From what you have mentioned the monthly living expenses are covered comfortably.
I do not have any, thus it was a bit easier for me. But my brother is going to do the same soon and he does have 1 boy, so it is possible too. Just have to give up a few more Starbucks coffee. :-)
- Investor · Omaha, NE · Member since 2011 · 475 posts · 211 votes6y
I retired 3 yrs ago at 65 1/2 after 35 yrs in a medical career. I started real estate investing (multifamily and single family) 15 years ago to diversify investments but I caught "the bug" and am now 80% in real estate and 20% in stock market. The real estate is our retirement income and it keeps me active. I don't self manage as a choice I made when I started and am glad I don't. I am not comfortable in the current environment as landlords have a target on their back from the government at all levels - local, state and national. We'll see how things turn out when we get on the other side of this pandemic, but, I definitely will be more in favor of less leverage going forward.
- Rental Property Investor · Brunswick, GA · Member since 2019 · 18 posts · 9 votes6y
I will officially retire June 30, 2020. I will be 60 years young. I have 240 working days until we can retire.(not that I'm counting) I could retire now but I need to wait in order to bring my health insurance with me into retirement. I feel secure retiring, because I have been planning this for a long time and I have also done good risk management. I always plan for the worst case. In fact, I remember thinking what happens if the market crashes the year in which I retire. that is what got me into real estate. I thought what would I do if I didn't have to work to make money to feed my family. the answer was real estate.
I have had a W-2 job in IT the majority of my career, but my passions have been guitar and real estate. I realized that music was a hobby, so I started buying properties back in 2012. I don't claim to be the smartest person in the room ,just good timing. We have always been are diligent savers and we have always lived below our means. We have enough in our 401 k's and Roth accounts, and rental income to last us another 30 years. I also have been purchasing rental properties the same simple way.Purchase, rent,and pay off the mortgage. Free and clear has always been our goal. I sleep well at night, you can't put a price on peace of mind and a relatively stress free investments.(still have to deal with tenants)
I am now looking at our disposition plan versus acquisition plan. We plan is to travel the world for a few years and then we will probably settle down in Colorado and Florida.Life is good :)
Cheers!!
Dean Mitchell
- Investor · Auburn, GA · Member since 2016 · 20 posts · 23 votes6yGreat to read all the responses. I am at a bit of a crossroads myself. I have been in sales for the past 30yrs and still have a great position that pays well with great benefits. That said I am really ready to leave the corporate world. I have traveled consistently throughout my career and never went more than a few weeks away from the airport until this pandemic issue! Good news is I don't miss the travel and I am not really sure I want to go back to it in the future. I was fortunate to buy 10+ properties in 2012-13 and still have great REI from each of them. Unfortunately I got lazy and stopped buying, but this time at home has reminded me that I need to invest more. All that said at 54yrs old I have the means to retire thanks to the REI, but I can't seem to convince myself to walk away from that nice paycheck that comes every two weeks! I also have two boys still finishing college so that you know how that goes financially. I know I would love spending more time looking for investment opportunities, but I worry that when I find them I will have less $$ available to make bigger moves. Prior to the pandemic I thought I would hang on for 2-3 more years and then definitely retire, but this past 3mths had got me thinking that soon may be the time?
@Katie Miller, I retired prior to this pandemic. I just turned 73 and retired at 70. I'm receiving a decent guaranteed income locked in for the rest of my life. Also, 2 trust funds and now I live to BRRRR and go home to Maine after 53 years w/no family. Long story! Respectfully, Ken Bailey! P.S I'm very old school compared to young America especially with all the modern tools on a computer, but I try and I'm determined(cut/paste, software, etc.) to learn all I'm able.
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