What IS financial freedom for you?

Investor · Reseda, CA · Member since 2019 · 297 posts · 151 votes

I'm curious what people consider financial freedom through real estate. Some styles of real estate investing are very hands-on, and as such don't really seem to meet the definition of financial freedom even if you get good at them. You'd still be very busy. So what are people shooting for? What kinds of portfolios are people trying to build that would meet their definition of financial freedom? Please share what you are working towards, and where you are at on that journey.

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Chris SeveneyBusiness Member

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Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes

Quote from @Austin Fowler:

I do not put the word "financial" in front of my freedom, I just call it freedom. For me its doing what I want to do when I want to. I still work, I run a company whihc I love doing and work 40+ hours per week but love what I do and if I want to take a day off, go to kids sports event or do whatever - I do.

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Charles Perkins
Member since 2024 · 222 posts · 161 votes
1y
For me financial freedom is financially being able to do the things my wife and I want to do. This may be in retirement or not. Currently I'm semi-retired, I am an active LTR investor but no longer work 9-5. I' consider us to be financially free though there are up periodic demands of my time. Eventually we will sell off property to fully retire. Still considering exit strategies and timing.
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- Austin Fowler
  OP
  Investor · Reseda, CA · Member since 2019 · 297 posts · 151 votes
  1y
  Quote from @Charles Perkins:
  
  For me financial freedom is financially being able to do the things my wife and I want to do. This may be in retirement or not. Currently I'm semi-retired, I am an active LTR investor but no longer work 9-5. I' consider us to be financially free though there are up periodic demands of my time. Eventually we will sell off property to fully retire. Still considering exit strategies and timing.
  
  If you sold off property to create a pile of cash, what kinds of options are you considering to turn that cash into truly passive income so you can fully retire?
  0 Reply
- Charles Perkins
  Member since 2024 · 222 posts · 161 votes
  1y
  Quote from @Austin Fowler:
  
  Quote from @Charles Perkins:
  
  For me financial freedom is financially being able to do the things my wife and I want to do. This may be in retirement or not. Currently I'm semi-retired, I am an active LTR investor but no longer work 9-5. I' consider us to be financially free though there are up periodic demands of my time. Eventually we will sell off property to fully retire. Still considering exit strategies and timing.
  
  If you sold off property to create a pile of cash, what kinds of options are you considering to turn that cash into truly passive income so you can fully retire?
  I've looked at several possibilities. I've considered becoming a private lender, annuities, other insurance products, CDs or money market accounts. There are also a number of less traditional alternatives we are exploring. Most likely My wife and will employ a combination of these things.
  
  The last thing I would feel comfortable with is the stock market. The risk is to great for my comfort unless it was a small investment.
  0 Reply
- Jacob Thorpe
  Lender · Lake Geneva WI, USA · Member since 2023 · 141 posts · 72 votes
  1y
  Quote from @Charles Perkins:
  
  Quote from @Austin Fowler:
  
  Quote from @Charles Perkins:
  
  For me financial freedom is financially being able to do the things my wife and I want to do. This may be in retirement or not. Currently I'm semi-retired, I am an active LTR investor but no longer work 9-5. I' consider us to be financially free though there are up periodic demands of my time. Eventually we will sell off property to fully retire. Still considering exit strategies and timing.
  
  If you sold off property to create a pile of cash, what kinds of options are you considering to turn that cash into truly passive income so you can fully retire?
  I've looked at several possibilities. I've considered becoming a private lender, annuities, other insurance products, CDs or money market accounts. There are also a number of less traditional alternatives we are exploring. Most likely My wife and will employ a combination of these things.
  
  The last thing I would feel comfortable with is the stock market. The risk is to great for my comfort unless it was a small investment.
  
  yeah yu hear that Austin! Stock market sucks! lol
  1 Reply
Chris SeveneyBusiness Member
Moderator
Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
1y
Quote from @Austin Fowler:

I'm curious what people consider financial freedom through real estate. Some styles of real estate investing are very hands-on, and as such don't really seem to meet the definition of financial freedom even if you get good at them. You'd still be very busy. So what are people shooting for? What kinds of portfolios are people trying to build that would meet their definition of financial freedom? Please share what you are working towards, and where you are at on that journey.

I do not put the word "financial" in front of my freedom, I just call it freedom. For me its doing what I want to do when I want to. I still work, I run a company whihc I love doing and work 40+ hours per week but love what I do and if I want to take a day off, go to kids sports event or do whatever - I do.
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- Austin Fowler
  OP
  Investor · Reseda, CA · Member since 2019 · 297 posts · 151 votes
  1y
  Quote from @Chris Seveney:
  
  Quote from @Austin Fowler:
  
  I'm curious what people consider financial freedom through real estate. Some styles of real estate investing are very hands-on, and as such don't really seem to meet the definition of financial freedom even if you get good at them. You'd still be very busy. So what are people shooting for? What kinds of portfolios are people trying to build that would meet their definition of financial freedom? Please share what you are working towards, and where you are at on that journey.
  
  I do not put the word "financial" in front of my freedom, I just call it freedom. For me its doing what I want to do when I want to. I still work, I run a company whihc I love doing and work 40+ hours per week but love what I do and if I want to take a day off, go to kids sports event or do whatever - I do.
  
  What if you wanted to take a year off and travel the world? Would your current setup allow that?
  0 Reply
Twannisha Jackson
Rental Property Investor · Cleves · Member since 2023 · 132 posts · 82 votes
1y
i’m shooting for greatness aka having the option to work or not. I'm shooting for the money. shooting to also help folks out; doesn’t hurt to make some money while doing it. I have one property, so far so good. i’m still learning as i go but i’m very hopeful :) i’m building a buy & hold portfolio right now. 4 properties is the goal. after that, some live in flips$$$. whatever comes my way, i’m here for it.
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- Austin Fowler
  OP
  Investor · Reseda, CA · Member since 2019 · 297 posts · 151 votes
  1y
  Quote from @Twannisha Jackson:
  
  i’m shooting for greatness aka having the option to work or not. I'm shooting for the money. shooting to also help folks out; doesn’t hurt to make some money while doing it. I have one property, so far so good. i’m still learning as i go but i’m very hopeful :) i’m building a buy & hold portfolio right now. 4 properties is the goal. after that, some live in flips$$$. whatever comes my way, i’m here for it.
  In my experience achieving freedom through long-term rentals is tough as the cash flow is typically pretty thin if you are paying off a mortgage and arguably still thin if you have paid off the mortgage relative to what cash flow you could generate if that equity were invested elsewhere. I personally own 32 long-term rentals, but they are more generational wealth equity-builders than anything that supports financial freedom for me. In my case, the financial freedom primarily comes from participating in multifamily syndications where I can target a 20% per annum return and be totally hands-off after the due diligence is done (which admittedly is extensive for each deal). You don't, however, need very many such deals per year.
  2 Reply
Alan F.
Flipper/Rehabber · CA · Member since 2023 · 1k+ posts · 1k+ votes
1y
Quote from @Austin Fowler:

I'm curious what people consider financial freedom through real estate. Some styles of real estate investing are very hands-on, and as such don't really seem to meet the definition of financial freedom even if you get good at them. You'd still be very busy. So what are people shooting for? What kinds of portfolios are people trying to build that would meet their definition of financial freedom? Please share what you are working towards, and where you are at on that journey.
As a contractor (business owner) I've always had my freedom.
That freedom provided opportunities, I work because i love to produce.
I invest because i love to invest.
Life is a journey, not a destination.
Retirement is mortifying to me.
7 Reply
- Austin Fowler
  OP
  Investor · Reseda, CA · Member since 2019 · 297 posts · 151 votes
  1y
  Quote from @Alan F.:
  
  Quote from @Austin Fowler:
  
  I'm curious what people consider financial freedom through real estate. Some styles of real estate investing are very hands-on, and as such don't really seem to meet the definition of financial freedom even if you get good at them. You'd still be very busy. So what are people shooting for? What kinds of portfolios are people trying to build that would meet their definition of financial freedom? Please share what you are working towards, and where you are at on that journey.
  As a contractor (business owner) I've always had my freedom.
  That freedom provided opportunities, I work because i love to produce.
  I invest because i love to invest.
  Life is a journey, not a destination.
  Retirement is mortifying to me.
  
  Financial freedom doesn't mean retirement for me, it means I can focus on my philanthropic passion, namely addressing extreme poverty (opportunity.org) and help educate others on how to build a large and passive portfolio. These activities take up plenty of time, indeed the education side of things, which includes posts like this, can take up as much time as I wish to devote to it.
  2 Reply
Jules Aton
MD/DC · Member since 2024 · 1k+ posts · 1k+ votes
1y
For me financial freedom was when my net worth hit the number that divided by 30 years is enough to live at my current level without adding any more. At that point I was free to quit my job if I wanted. Since I enjoy my job and am well compensated I plan continue working but on a glide path for 3-4 more years because inflation and Medicare are two wild cards.

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- Austin Fowler
  OP
  Investor · Reseda, CA · Member since 2019 · 297 posts · 151 votes
  1y
  Quote from @Jules Aton:
  
  For me financial freedom was when my net worth hit the number that divided by 30 years is enough to live at my current level without adding any more. At that point I was free to quit my job if I wanted. Since I enjoy my job and am well compensated I plan continue working but on a glide path for 3-4 more years because inflation and Medicare are two wild cards.
  
  Why divided by 30? Is that a number of years you would like money to last or does the 30 the come from somewhere else?
  0 Reply
- Jules Aton
  MD/DC · Member since 2024 · 1k+ posts · 1k+ votes
  1y
  Quote from @Austin Fowler:
  
  Quote from @Jules Aton:
  
  For me financial freedom was when my net worth hit the number that divided by 30 years is enough to live at my current level without adding any more. At that point I was free to quit my job if I wanted. Since I enjoy my job and am well compensated I plan continue working but on a glide path for 3-4 more years because inflation and Medicare are two wild cards.
  
  Why divided by 30? Is that a number of years you would like money to last or does the 30 the come from somewhere else?
  Yes the number of years I need the money to last in retirement.
  0 Reply
- Austin Fowler
  OP
  Investor · Reseda, CA · Member since 2019 · 297 posts · 151 votes
  1y
  Quote from @Jules Aton:
  
  Quote from @Austin Fowler:
  
  Quote from @Jules Aton:
  
  For me financial freedom was when my net worth hit the number that divided by 30 years is enough to live at my current level without adding any more. At that point I was free to quit my job if I wanted. Since I enjoy my job and am well compensated I plan continue working but on a glide path for 3-4 more years because inflation and Medicare are two wild cards.
  
  Why divided by 30? Is that a number of years you would like money to last or does the 30 the come from somewhere else?
  Yes the number of years I need the money to last in retirement.
  
  Why no assumption of a return on your wealth? I run a business that personally guarantees an 8% return and has operated for over two decades.
  0 Reply
- Jules Aton
  MD/DC · Member since 2024 · 1k+ posts · 1k+ votes
  1y
  Quote from @Austin Fowler:
  
  Quote from @Jules Aton:
  
  Quote from @Austin Fowler:
  
  Quote from @Jules Aton:
  
  For me financial freedom was when my net worth hit the number that divided by 30 years is enough to live at my current level without adding any more. At that point I was free to quit my job if I wanted. Since I enjoy my job and am well compensated I plan continue working but on a glide path for 3-4 more years because inflation and Medicare are two wild cards.
  
  Why divided by 30? Is that a number of years you would like money to last or does the 30 the come from somewhere else?
  Yes the number of years I need the money to last in retirement.
  
  Why no assumption of a return on your wealth? I run a business that personally guarantees an 8% return and has operated for over two decades.
  30x expenses was the minimum for me to consider myself FI. I estimate 6% returns on my NW as I’m only keeping primary home and beach place after retirement and will be more conservative with stock allocation. It should be more than enough to cover us for the rest of our lives.
  0 Reply
Mat Garcia
New to Real Estate · Miami · Member since 2025 · 46 posts · 23 votes
1y
"Financial freedom" to me means not having to be tied down to a job I merely tolerate and to all its limitations (on schedules, time off, etc.) for the sake of making a living. It means having to work a minimal amount of hours on something that's my own and that I generally enjoy, so that I can dedicate most of my time to higher pursuits without it being directly tied to profitability. So it's a disassociation between one's main pursuits in life and profitability.
For example, I like teaching, so I can be a teacher without worrying that the relatively low pay will not be enough to support my family and I, because I have my real estate investments. And eventually, I can retire from teaching (or any other job) or take time off having relatively secure finances to support me and my family in my old age.
1 Reply
Jacob Thorpe
Lender · Lake Geneva WI, USA · Member since 2023 · 141 posts · 72 votes
1y
I think it changes the more you grow
2 Reply
Jeremiah Dunakin
Member since 2022 · 186 posts · 192 votes
1y
I’m a factory worker. I have very low floor and my ceiling is not very high either. I do not want to worry about a work contract every couple years. I want to be able to make enough from my non w-2 to be able to make it in life. I don’t want a Ferrari or even a 2000 sq foot house. I just wnat to keep lights on and roof over head a pizza on Friday night and a good running car .I want to bea able to have a gout flare up(yes they suck) and not worry about going to work through it to keep fam fed. I’m a simpleton my family and a pizza is all I want
3 Reply
- Alan F.
  Flipper/Rehabber · CA · Member since 2023 · 1k+ posts · 1k+ votes
  1y
  Quote from @Jeremiah Dunakin:
  
  I’m a factory worker. I have very low floor and my ceiling is not very high either. I do not want to worry about a work contract every couple years. I want to be able to make enough from my non w-2 to be able to make it in life. I don’t want a Ferrari or even a 2000 sq foot house. I just wnat to keep lights on and roof over head a pizza on Friday night and a good running car .I want to bea able to have a gout flare up(yes they suck) and not worry about going to work through it to keep fam fed. I’m a simpleton my family and a pizza is all I want
  
  Don't sell yourself short, I'll bet you have skills that others can only dream about. Being humble is great, but you have to believe in yourself too. FWIW many have come from very modest beginnings and achieved their goals. BP moderator J.D. has written as such. Stay on the forum, engage, ask questions and inspire others. Oh, and don't compare yourself to others, it's a killer of joy. Sending best wishes your way!
  1 Reply
- Jacob Thorpe
  Lender · Lake Geneva WI, USA · Member since 2023 · 141 posts · 72 votes
  1y
  Quote from @Jeremiah Dunakin:
  
  I’m a factory worker. I have very low floor and my ceiling is not very high either. I do not want to worry about a work contract every couple years. I want to be able to make enough from my non w-2 to be able to make it in life. I don’t want a Ferrari or even a 2000 sq foot house. I just wnat to keep lights on and roof over head a pizza on Friday night and a good running car .I want to bea able to have a gout flare up(yes they suck) and not worry about going to work through it to keep fam fed. I’m a simpleton my family and a pizza is all I want
  
  Nothing wrong with that Jeremiah, guys like you ought to be better taken care of by our gov and our economy. You are the backbone
  1 Reply
- Jeremiah Dunakin
  Member since 2022 · 186 posts · 192 votes
  1y
  Quote from @Jacob Thorpe:
  
  Quote from @Jeremiah Dunakin:
  
  I’m a factory worker. I have very low floor and my ceiling is not very high either. I do not want to worry about a work contract every couple years. I want to be able to make enough from my non w-2 to be able to make it in life. I don’t want a Ferrari or even a 2000 sq foot house. I just wnat to keep lights on and roof over head a pizza on Friday night and a good running car .I want to bea able to have a gout flare up(yes they suck) and not worry about going to work through it to keep fam fed. I’m a simpleton my family and a pizza is all I want
  
  Nothing wrong with that Jeremiah, guys like you ought to be better taken care of by our gov and our economy. You are the backbone
  Kind words thanks man
  1 Reply
Jakob Mikhitarian
Member since 2025 · 86 posts · 25 votes
1y
What financial freedom means to me is having the ability to do what want on your own time and having that time freedom. This definition might change though the older I get.
0 Reply
Theresa HarrisPro Member
Member since 2019 · 15k+ posts · 11k+ votes
1y
Being able to do what you love and not having to worry about money. That will differ for everyone based on where they live and their lifestyle. Some of us have a more simple lifestyle and are very happy. No that doesn't mean not taking holidays; but we don't want a fancy new car, expensive dinners out, exotic getaways at all exclusive resorts. If that is what someone wants, all the power to them; but not my cup of tea.
As for people having long term rentals that are paid off, yes cash flow is higher (not sure what you consider 'thin'). You may or may not be able to do better elsewhere with that cash. Again it comes down to risk and what that person is happy with.
2 Reply
Seth McGatheyBusiness Member
Real Estate Agent · Milwaukee WI · Member since 2024 · 321 posts · 255 votes
1y
Along time ago I read a book where they called it selfishly employed. That is what I am looking for, where I work when and where I want to because I want to. And at any time I can quit my job on a moments notice and have no concerns about making ends meet. That doesn't require that much real estate. I edito mate that I can do that with around 10 small multi family. And if I get to that point I should be fine to have a property manager that does the majority of the day to day. Leaving me to do some minor tracking and oversight. That seems like a pretty successful version of financial freedom.
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Jackie Chivell
Member since 2025 · 6 posts · 2 votes
1y
I am married with a disability. So to me, financial freedom is not having to rely on my husband to pay the bills if needed and I want to take my husband on a vacation with money I made.
2 Reply
Marcus Auerbach
Investor · Milwaukee - Mequon, WI · Member since 2010 · 5k+ posts · 7k+ votes
1y
Woke up at 9, having my 2nd cappuccino on a small lake in Austria, just found out how crappy the camera on my laptop is and won't do much today because it's raining and it's week 3 so we have already hiked quite a bit..
I do work a lot when I am in the US, running 2 businesses 40h is usually not enough. I also have a hard time checking out mentally when I am at home. But what helps is travelling, the physical distance clears my mind and the time difference also helps. So every 3 months we are gone for a few weeks. And most of my strategic thinking happens when I am not eye-balls deep in the day-to-day business
But I have no desire to retire for good or travel the world for a year. I pretty much follow Tim Ferris' idea about mini-retirements. Work provides me with purpose and satisfaction. Beeing content is underrated.
2 Reply
Daniela Leon
Member since 2025 · 7 posts · 5 votes
1y
As of now, I see financial freedom as being able to afford the things that I desire, which I believe add quality to my life. For example, food, traveling, and being able to share activities with family and friends. Not having to worry about regular bills, and being able to invest my time and money in things that interest me.

I've just started on my journey to financial freedom, currently trying to get as much knowledge as possible and getting ready to start investing soon in long-term rental properties.
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