What inspired you to become an investor?
Member since 2023 · 21 posts · 8 votes
What inspired you to become an investor?
Most Popular Reply
Sam YinPro Member
Los Angeles, CA · Member since 2021 · 583 posts · 738 votes@Christopher Penaflor
The short version is this:
I was taking a class in Dec 2019. There was an older guy in class that looked lonely. I invited him to lunch during the break between class. In our 15 min ride to get tacos, with 2 others guys my age, he asked what type of retirement plan each of our employers gave. There was nothing stellar. I did tell him that I over the last several years I have purchased 3 SFRs with 15 yr mortgages and they will be paid off around when I will retire. I lived in one for a few years to fix it up. All were fixers. I was breaking even, or actually losing money every month because I self manage. But I figured in 15 years, they will be paid off and I'll start to make some cash flow. He said he invested OOS. He was an auditor in his 60s. I'm barely in my 40s.
He asked me 2 questions that changed my life. He asked if I followed the 1% rule, I told him I never heard of it. He then asked what was my CAP rate, I told him I never heard of it. The conversation ended because class resumed. But I was intrigued. I wrote it on my hand and looked it up on Google that night. I HAD NEVER USED THE INTERNET TO LOOK THINGS UP until that point. I never knew there was so much info online. My life had just revolved around work, raising kids, and terrorizing the neighborhood on my motorcycles.
Needless to say, my Internet research led to YouTube, which eventually led to the Bigger Pockets podcast around Feb 2020. I NEVER KNEW THERE WAS SO MUCH INFO ON YOUTUBE until that point. Kept learning and started to test out what I heard on YouTube that June of 2020... Middle of the pandemic.
Within 2 years of hustling, I achieved F.I. and quickly R.E. Now I'm a house husband by choice. Raise kids full time. Enjoy what life has to offer. And I still continue to invest in RE. It has been a life changer.
I did it for generational wealth, but lately, I'm rethinking the whole generational thing... But only time will tell if my kids even care to carry the torch. I hope one day they will realize it's power and how it has provided for EVERYTHING we do these days.
32 Replies
- 2yJonathan Taylor SmithBusiness MemberRental Property Investor · Durham / Raleigh (Triangle), NC · Member since 2015 · 840 posts · 801 votes
Always wanted to be a "landlord", but let people talk/scare me out of it for years. Bought the Carleton Sheets "Low/No Money Down" course and did nothing with it for nearly two decades. Then the stars aligned, and I came across Rich Dad Poor Dad, BiggerPockets and Podcasts right at the time that I actually had the credit and money to put 20% down on my first property which just happened to be ultra-cheap at the time.
Blue Chariot Realty & Management4.915 Reviews - Member since 2023 · 21 posts · 8 votes2y
That's awesome! Rich Dad Poor Dad was my first eye opening perspective on investing and entrepreneurship as well
- Investor · Scottsdale Austin Tuktoyaktuk · Member since 2021 · 4k+ posts · 4k+ votes2yI'm not employable.
Quote from @Christopher Penaflor:
I know you most likely weren't influenced by your teachers at school, so what compelled you to become an investor?
Was is a book? Family member? Friend? Social Media Influencer?
I'd love to hear your story
I was selling very large computers for a Fortune 200 company and consistently selling more than my quota. Each time we had a performance review, I won trips and rewards but they kept increasing my quota, without raising my compensation.
After a while it gets old, working harder and harder for the same amount of money. So I left and started my own company and haven't looked back ever since.
I became unemployable about 30 years ago, because I don't "play good" in corporate life. ;-)
I still don't understand why people stay in the corporate world when there is so much more life and financial freedom out there. I chose real estate. Anybody I teach leaves the corporate world, after a year or two, making more money than they previously were. So, I became "unemployable". I enjoy what I do. - Investor · Costa Mesa, CA · Member since 2016 · 1k+ posts · 1k+ votes2y
I was inspired by a “poverty sucks” poster I bought as a teenager and hung on my bedroom wall.
- 2yAlecia LovelessPro MemberMember since 2019 · 3k+ posts · 2k+ votes
@Christopher Penaflor I owned 2 B&Bs and my retirement plan was always selling the B&Bs. Then I ended my 20 year relationship and realized I had really messed up as far as retirement had gone and that I would never be able to retire on about $300K and roughly $90K in some 403Bs and a Roth IRA.
So I sat around and thought a little and realized my parents had made millions with real estate and even though I was late to the game, 43, and in a different market and would be buying residential instead of commercial I could make it work because I already was friends with a great Realtor and had a great Contractor.
Fast forward 3.5 years later and I’ve got 7 buildings with 20 rented units, 5 units under renovation and a goal of quitting my W-2 in 2.5 years. I’ve met one of the financial milestones I set for myself and am gaining on the second. I have goals set for years to come with my real estate and am moving towards them.
- New to Real Estate · Singapore / Los Angeles · Member since 2023 · 24 posts · 9 votes2y
Hi Christopher,
Nice to meet you and my story went like this! In 2017 when I came to the US for my studies, I would pay attention to the large apartments I was staying in and thought to myself, "Wow! If I am paying them $3,200 per month to stay in one of their units, imagine how much money they are earning each month from the whole building! I want to own a rental property complex one day!". Many years later, I stumbled upon the book "Rich Dad Poor Dad's Guide to Investing" and that interest that I got many years ago became a life’s mission! I am blown away by the endless benefits of investing in real estate. Today, I am convinced that investing is the way to build wealth and secure your family's future.
Anyways, all the best to your investing journey, Christopher!
Cheers,
Hendra Wijaya
- Contractor · Scottsdale, AZ · Member since 2010 · 2k+ posts · 3k+ votes2y
Rich Dad Poor Dad initially influenced me.
Then I got on BP and that influenced me some more.
Then I bought a move-in-ready house hack for $180,000. After moving in I realized that the guy I bought the house from paid $100,000 for my house like 4 months before selling it to me. That inspired me to get into house flipping.
- 2yJeremy GiffordPro MemberMember since 2022 · 7 posts · 4 votes
I've been in the hospitality business my whole life. I figured it would translate well into hosting short term rentals.
- Specialist · Portland, OR · Member since 2010 · 3k+ posts · 1k+ votes2y
@Christopher Penaflor noticed when I made $1500 on a commission as a RE agent and my client made $40k on the transaction and then went to Europe or China for a month while I kept slaving away I knew I was on the wrong side of the transaction.
- 2ySam YinPro MemberLos Angeles, CA · Member since 2021 · 583 posts · 738 votes
@Christopher Penaflor
The short version is this:
I was taking a class in Dec 2019. There was an older guy in class that looked lonely. I invited him to lunch during the break between class. In our 15 min ride to get tacos, with 2 others guys my age, he asked what type of retirement plan each of our employers gave. There was nothing stellar. I did tell him that I over the last several years I have purchased 3 SFRs with 15 yr mortgages and they will be paid off around when I will retire. I lived in one for a few years to fix it up. All were fixers. I was breaking even, or actually losing money every month because I self manage. But I figured in 15 years, they will be paid off and I'll start to make some cash flow. He said he invested OOS. He was an auditor in his 60s. I'm barely in my 40s.
He asked me 2 questions that changed my life. He asked if I followed the 1% rule, I told him I never heard of it. He then asked what was my CAP rate, I told him I never heard of it. The conversation ended because class resumed. But I was intrigued. I wrote it on my hand and looked it up on Google that night. I HAD NEVER USED THE INTERNET TO LOOK THINGS UP until that point. I never knew there was so much info online. My life had just revolved around work, raising kids, and terrorizing the neighborhood on my motorcycles.
Needless to say, my Internet research led to YouTube, which eventually led to the Bigger Pockets podcast around Feb 2020. I NEVER KNEW THERE WAS SO MUCH INFO ON YOUTUBE until that point. Kept learning and started to test out what I heard on YouTube that June of 2020... Middle of the pandemic.
Within 2 years of hustling, I achieved F.I. and quickly R.E. Now I'm a house husband by choice. Raise kids full time. Enjoy what life has to offer. And I still continue to invest in RE. It has been a life changer.
I did it for generational wealth, but lately, I'm rethinking the whole generational thing... But only time will tell if my kids even care to carry the torch. I hope one day they will realize it's power and how it has provided for EVERYTHING we do these days.
- 2yJake AndronicoBusiness MemberRealtor · Reno, NV · Member since 2019 · 1k+ posts · 938 votesGreat story!!
Quote from @Sam Yin:
@Christopher Penaflor
The short version is this:
I was taking a class in Dec 2019. There was an older guy in class that looked lonely. I invited him to lunch during the break between class. In our 15 min ride to get tacos, with 2 others guys my age, he asked what type of retirement plan each of our employers gave. There was nothing stellar. I did tell him that I over the last several years I have purchased 3 SFRs with 15 yr mortgages and they will be paid off around when I will retire. I lived in one for a few years to fix it up. All were fixers. I was breaking even, or actually losing money every month because I self manage. But I figured in 15 years, they will be paid off and I'll start to make some cash flow. He said he invested OOS. He was an auditor in his 60s. I'm barely in my 40s.
He asked me 2 questions that changed my life. He asked if I followed the 1% rule, I told him I never heard of it. He then asked what was my CAP rate, I told him I never heard of it. The conversation ended because class resumed. But I was intrigued. I wrote it on my hand and looked it up on Google that night. I HAD NEVER USED THE INTERNET TO LOOK THINGS UP until that point. I never knew there was so much info online. My life had just revolved around work, raising kids, and terrorizing the neighborhood on my motorcycles.
Needless to say, my Internet research led to YouTube, which eventually led to the Bigger Pockets podcast around Feb 2020. I NEVER KNEW THERE WAS SO MUCH INFO ON YOUTUBE until that point. Kept learning and started to test out what I heard on YouTube that June of 2020... Middle of the pandemic.
Within 2 years of hustling, I achieved F.I. and quickly R.E. Now I'm a house husband by choice. Raise kids full time. Enjoy what life has to offer. And I still continue to invest in RE. It has been a life changer.
I did it for generational wealth, but lately, I'm rethinking the whole generational thing... But only time will tell if my kids even care to carry the torch. I hope one day they will realize it's power and how it has provided for EVERYTHING we do these days.
- 2yBenjamin AakerPro MemberRental Property Investor · Brandon, SD · Member since 2015 · 1k+ posts · 1k+ votes
I was an accidental landlord. I was building a new house and my wife and I on a whim decided to buy a fixer-upper and rehab it ourselves. We went to our agent when it was time to sell and he had a couple who wanted to buy but their credit wasn't quite good enough. He convinced us to rent to them instead. They were great tenants for 3 years and once they improved their credit, we sold it to them at a fair price. We felt so good helping these people out while we made some money. We want to keep doing that and haven't looked back.
- Member since 2023 · 21 posts · 8 votes2y
@Account Closed I feel you bro! The corporate world pays us based on what they believe we're worth and high performers will never have a chance to reach their full potential. Cheers to you for having the courage to go into business for yourself. It's amazing to hear that you've taken some people with you
- Member since 2023 · 21 posts · 8 votes2y
@Eric Gerakos hahah thats awesome. Poverty definitely sucks. Paycheck to paycheck, limited options, stressed every second of the day. We live in a country where we can choose to be broke or wealthy, so im going with wealthy
- Member since 2023 · 21 posts · 8 votes2y
@Alecia Loveless thats amazing! wow thank you for sharing. Way to identify where you were and doing something about. Looking forward to your continued success
- 2yDenis PonderPro MemberNew to Real Estate · Yuma, AZ · Member since 2023 · 280 posts · 246 votes
Waking up to the same routine for the next 20 years of my life staying in a W2, knowing my kids will likely follow the same path and ask the same questions I have. "Is this really it?" I want financial freedom and more importantly, time freedom.
- Member since 2023 · 21 posts · 8 votes2y
@Hendra Wijaya thats an amazing story! The power of being curious and seeing where money flows. Rich Dad Poor Dad was a game changer for me too! I was never influenced to become an entrepreneur and investor until that book opened my eyes to that way of thinking.
Looking forward to your success!
- Member since 2023 · 21 posts · 8 votes2y
Quote from @Scott E.:
Rich Dad Poor Dad initially influenced me.
Then I got on BP and that influenced me some more.
Then I bought a move-in-ready house hack for $180,000. After moving in I realized that the guy I bought the house from paid $100,000 for my house like 4 months before selling it to me. That inspired me to get into house flipping.
thats great Scott. I can't count how many people who's read Rich Dad Poor Dad and did NOTHING about it. Way to follow through with action! Looking forward to your success
- Member since 2023 · 21 posts · 8 votes2y
Quote from @Jeremy Gifford:
I've been in the hospitality business my whole life. I figured it would translate well into hosting short term rentals.
I agree. Hospitality goes a long way. Serving others and providing excellent service. Looking forward to your success!
- Member since 2023 · 21 posts · 8 votes2y
Quote from @Jeff S.:
@Christopher Penaflor noticed when I made $1500 on a commission as a RE agent and my client made $40k on the transaction and then went to Europe or China for a month while I kept slaving away I knew I was on the wrong side of the transaction.
Way to identify that and do something about it!
- Member since 2023 · 21 posts · 8 votes2y
Quote from @Sam Yin:
@Christopher Penaflor
The short version is this:
I was taking a class in Dec 2019. There was an older guy in class that looked lonely. I invited him to lunch during the break between class. In our 15 min ride to get tacos, with 2 others guys my age, he asked what type of retirement plan each of our employers gave. There was nothing stellar. I did tell him that I over the last several years I have purchased 3 SFRs with 15 yr mortgages and they will be paid off around when I will retire. I lived in one for a few years to fix it up. All were fixers. I was breaking even, or actually losing money every month because I self manage. But I figured in 15 years, they will be paid off and I'll start to make some cash flow. He said he invested OOS. He was an auditor in his 60s. I'm barely in my 40s.
He asked me 2 questions that changed my life. He asked if I followed the 1% rule, I told him I never heard of it. He then asked what was my CAP rate, I told him I never heard of it. The conversation ended because class resumed. But I was intrigued. I wrote it on my hand and looked it up on Google that night. I HAD NEVER USED THE INTERNET TO LOOK THINGS UP until that point. I never knew there was so much info online. My life had just revolved around work, raising kids, and terrorizing the neighborhood on my motorcycles.
Needless to say, my Internet research led to YouTube, which eventually led to the Bigger Pockets podcast around Feb 2020. I NEVER KNEW THERE WAS SO MUCH INFO ON YOUTUBE until that point. Kept learning and started to test out what I heard on YouTube that June of 2020... Middle of the pandemic.
Within 2 years of hustling, I achieved F.I. and quickly R.E. Now I'm a house husband by choice. Raise kids full time. Enjoy what life has to offer. And I still continue to invest in RE. It has been a life changer.
I did it for generational wealth, but lately, I'm rethinking the whole generational thing... But only time will tell if my kids even care to carry the torch. I hope one day they will realize it's power and how it has provided for EVERYTHING we do these days.
wow thats an amazing story! The power of curiosity lead you to the abundance of information on the internet and you took all that information and created your FI life. cheers to you man! looking forward to your success. Thank you for sharing
- Member since 2023 · 21 posts · 8 votes2y
Quote from @Benjamin Aaker:
I was an accidental landlord. I was building a new house and my wife and I on a whim decided to buy a fixer-upper and rehab it ourselves. We went to our agent when it was time to sell and he had a couple who wanted to buy but their credit wasn't quite good enough. He convinced us to rent to them instead. They were great tenants for 3 years and once they improved their credit, we sold it to them at a fair price. We felt so good helping these people out while we made some money. We want to keep doing that and haven't looked back.
wow thats fantastic! there's nothing like creating win/win negotiations and impacting a family like you and your wife did. cheers to you guys! excited for your growth and success
- Member since 2023 · 21 posts · 8 votes2y
Quote from @Denis Ponder:
Waking up to the same routine for the next 20 years of my life staying in a W2, knowing my kids will likely follow the same path and ask the same questions I have. "Is this really it?" I want financial freedom and more importantly, time freedom.
yes! what's the point of making a lot of money if you don't have time to enjoy it? way to realize your dissatisfaction and DO something about it. excited for your growth and success
- Flipper/Rehabber · CA · Member since 2023 · 1k+ posts · 1k+ votes2yGrew up in the trades, before "flipping" was a thing, deferred maintenance is pure gold. Fixing things up and selling is second nature.
Quote from @Christopher Penaflor:
I know you most likely weren't influenced by your teachers at school, so what compelled you to become an investor?
Was is a book? Family member? Friend? Social Media Influencer?
I'd love to hear your story
- Member since 2020 · 351 posts · 329 votes2y
During the pandemic, I managed to switch jobs and go from LCOL wages to Denver wages. After pay increases for inflation and performance I know find myself making at least 25k/yr more than I would if I switched jobs. I’ve done well in stocks, but they don’t generate cash. So I got into real estate with the goal of replacing that 25k difference in 5 years time as well as hoping that leverage will cause real estate to outpace stocks.
I close my first property at the end of the month.
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