What comes after real estate?
Rental Property Investor · Springfield, OH · Member since 2014 · 104 posts · 63 votes
What comes after real estate?
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Rental Property Investor · Sioux Falls, SD · Member since 2015 · 9k+ posts · 18k+ votes
4yThis is such a personal question that none of us can answer it for you. Some people view real estate as a vehicle to financial independence. Others enjoy building a real estate business and continue adding properties long after they have plenty of income. Some people get bored or keep searching for that one thing to make them feel fulfilled. I can tell you fulfillment comes from within, but it also comes form feeling like your life has meaning. You can find meaning in many ways, but I doubt a laundromat or carwash is one of them. If you are amassing more money after having enough money, it will get less and less fulfilling.
You need purpose beyond money. Two of the most amazing ways to find meaning are raising children and charitable causes. In both cases you can build something bigger than yourself, that can impact the lives of others and create a legacy. You can also find hobbies or learn new skills. Take up golf, learn to sail, run a marathon, learn a new language, live in Europe for a few years.
I don't pretend to know what you want or need, but I am guessing it is more than a laundromat in Ohio. Figure out what you are passionate about by taking money out of the equation. If you had to do something for the next ten years of your life 40 hours a week, but didn't get paid a penny, what would it be?
You need purpose beyond money. Two of the most amazing ways to find meaning are raising children and charitable causes. In both cases you can build something bigger than yourself, that can impact the lives of others and create a legacy. You can also find hobbies or learn new skills. Take up golf, learn to sail, run a marathon, learn a new language, live in Europe for a few years.
I don't pretend to know what you want or need, but I am guessing it is more than a laundromat in Ohio. Figure out what you are passionate about by taking money out of the equation. If you had to do something for the next ten years of your life 40 hours a week, but didn't get paid a penny, what would it be?
40 Replies
- Rental Property Investor · East Wenatchee, WA · Member since 2014 · 10k+ posts · 16k+ votes4y
I'm glad you started this thread. Got the freedom, now what? Not discussed enough.
I'm there, too. RE can become it's own rat race. Left one wheel to run on for another. How to graduate from a traditional one is just more clear (kind of, but what does 'retirement' mean?) and much less of a taxable event. Everytime we 1031 to consolidate or trade up the hunt continues and still we run.
Offering basic financial guidance used to excite me but I lost touch with that and think I want to be a compassionate VC in my area. Like a lender with purpose, but shark tank style minus the raking. The excitement and vision of young/new entrepreneurs is contagious and can make a difference.
In the meantime I'm reading books like Find Your Why. I doubt any will lead me to a car wash or laundromat (your customers will have a renters mindset, but worse) but we need to start somewhere like this discussion.
- Realtor · Rochester Hills, MI · Member since 2018 · 27 posts · 18 votes4y
@Darrell D.
I didn’t know what type of business Raising Canes was until I googled it, but I would argue against getting into the restaurant business if you are looking for passive income opportunities.
I am a franchisee (13 years strong) of a Metro Detroit fried chicken franchise, and our biggest challenge is finding quality team members. And when I say BIGGEST challenge, think MASSIVE challenge, lol. Since COVID hit, it’s almost as though nobody wants to work in the restaurant/QSR industry. Now, I am aware that different areas produce different quality employees, but being an “entry level” type business (QSR), I’d argue that it will be tough in ANY market to find good help.
With that being said, if you are still interested in the industry, hopefully you can find a partner who would be willing to operate the stores without requiring too much, if any of your time.
- Rental Property Investor · Springfield, OH · Member since 2014 · 104 posts · 63 votes4y
Wow! I certainly appreciate all the feedback.
My wife and I read the comments and we value everyone's input. I didn't get a chance to reply yesterday and the comments have added up.
I believe the you're all correct about a laundromat and other small business being more work. Years ago I had plans to start a bicycle business with a lengthy business plan. However I backed out when I learned that most business were actively ran by the owner. I already had a military career and could not dedicate the required amount of time to make it successful.
I enjoy being active in many things but if any of my activities becomes repetitive, I get bored. Home and car restorations, mountain biking, traveling... everything fun is if it's limited. Squirrel!! Can you say "attention deficit?" Seriously though I've always had an urge to expand and learn while dabbling in different things. Perhaps it's the "Invisible Hand" which drives us all.
Several responses suggested an AirBnB or short term rentals. This is a good option for us! We'd like to purchase near family which would also take a step towards our "why." In the past we've sold properties with equity and lower rents to improve both short and long term gains with larger properties. Perhaps we can repeat this process, and begin our short term rental journey.
Thank you again for all your responses!
- Investor · Oak Park, IL · Member since 2014 · 307 posts · 150 votes4y
Just an idea. The US has a shortage of affordable housing for people with limited financial means. I even see many people living in tents here in chicago. Housing takes a big chunk of the paycheck (if there is one). "The Government" is willing to spend money to help solve this problem. It is a daunting challenge, but success is mixed at best. Maybe some win-win partnership is the solution. I think we often look to the government to solve problems which should be solved by some other means, however, the problem still exists. It is not a simple problem or solutions. The housing issue is parter of larger problems of unemployment, family issues, and multi-generational poverty. So the career path might be making yourself money by helping solve someone elses problem, and finding fulfillment in doing so.
Just an idea.
- Rental Property Investor · Lebanon, OH · Member since 2016 · 220 posts · 228 votes4y
Sounds like you're in a great spot @Darrell D.. Congrats! Obviously, I, nor anyone else, can answer your question because it comes down to what you want. But, I think you're on the right track. It sounds like you want to continue challenging yourself in the REI world by trying a new adventure. I'd say go for it! I think it always makes sense to get around other guys in your position or beyond. Have you considered joining a mastermind group like GoBundance? I think the guys in a group like this would really challenge you and give you good ideas for your next adventure.
I live just down the road from you, just south of Dayton. I'd love to meet up sometime if you're up for it!
- Rental Property Investor · Dayton, OH · Member since 2019 · 21 posts · 11 votes4y
@Darrell D.
Fellow Vet and Ohioan here that’s been recently contemplating the same. Retired from corporate America last year and work solely on managing my MF and small office portfolio. It ends up leaving me with a lot of free time and questioning “what’s next”. I have two little kids at home so that helps fill the fulfillment bucket but I often struggle with the desire to feel productive and growing (in all forms, not just money). I’m keeping an eye out for opportunities/my next challenge while simultaneously feeling content with where I am at. This took some time for me to come to terms with since I was so used to running 100mph all the time for years to get to where I am.
Happy to meet up and chat sometime. I’m in the Dayton Area.
- Real Estate Agent · Sisters, OR · Member since 2014 · 1k+ posts · 1k+ votes4y
A charity that focuses on disadvantaged single moms would have great “synergy” with your strip club operations.
inspiring dreams my friend! - Investor · Richmond, VA · Member since 2018 · 8 posts · 4 votes4y
@Darrell D. Well, if you're looking for a new passive stream of income you could look into Airbnb arbitrage/vacation rentals, or even starting a car sharing business like Turo. What's next? Aside from hustling. It's time to enjoy your hard work...enjoy life with those you love and love you back!
- Rental Property Investor · Phoenix, AZ · Member since 2013 · 919 posts · 911 votes4y
@Darrell D., that's an easy one. Limo's, jets, drunken orgy parties, hookers & blow. It's G-RRRRRRRRR-E-A-T. My inner Tony the Tiger got out again. ;-)
- Handyman · Pittsburgh, PA · Member since 2018 · 5k+ posts · 13k+ votes4y
Originally posted by @Eric Bilderback:
A charity that focuses on disadvantaged single moms would have great “synergy” with your strip club operations.
inspiring dreams my friend!LOL, believe it or not, it's focused on the disadvantaged, and I believe it would help an awful lot of single moms (and their children) claw out of generational poverty.
- 4yJim PfeiferBusiness MemberInvestor · Dublin, OH · Member since 2014 · 241 posts · 495 votes
It was mentioned earlier, but many active real estate investors find success transitioning to passive investing in real estate syndications. It gives you some time freedom as you are essentially hiring professional asset managers to manage the properties for you. You might give up a little in returns, but not as much as you might think. Rather than constantly doing a 1031 into larger and larger properties, you can do the "Lazy 1031" and sell some active properties and defer the gains by investing in syndications and using the depreciation to offset the gain. That was how I exited active RE investing and began my passive journey. It takes some effort and education up front, but it becomes quite passive pretty quickly. Then you can decide what you want to do with your time - buy a franchise, travel, give back - passive investing gives you time freedom so you will have plenty of options!
- Real Estate Agent · Sisters, OR · Member since 2014 · 1k+ posts · 1k+ votes4y
Very worthy cause the depravity some kids are surrounded by is the greatest of all the evil in the world I believe.
That being said I was picturing you as Phil McCracken (Bill Murry) character from King Pin. - 4yDave FosterBusiness MemberQualified Intermediary for 1031 Exchanges · St. Petersburg, FL · Member since 2013 · 9k+ posts · 9k+ votes
@Darrell D., It's been a privilege to work with you on part of that journey. What I've always sensed is that real estate (for you and many others) is simply one vehicle taking you to your destination. And the destination has nothing to do with the vehicle. It's just what brings you to the gate.
So this thread is a great contemplative for finding your destination. then work backwards to select the vehicle that gets you there.
Janet Hagberg wrote a great book years ago called Real Power. If you use life as a journey as your model and roughly equate "power" as a form of success she might have some very good insights for you.
Or just read the book of Ecclesiastes 15 or 20 times in a row.
The 1031 Investor5137 Reviews - Rental Property Investor · Springfield, OH · Member since 2014 · 104 posts · 63 votes4y
Quote from @Dave Foster:
@Darrell D., It's been a privilege to work with you on part of that journey. What I've always sensed is that real estate (for you and many others) is simply one vehicle taking you to your destination. And the destination has nothing to do with the vehicle. It's just what brings you to the gate.
So this thread is a great contemplative for finding your destination. then work backwards to select the vehicle that gets you there.
Janet Hagberg wrote a great book years ago called Real Power. If you use life as a journey as your model and roughly equate "power" as a form of success she might have some very good insights for you.
Or just read the book of Ecclesiastes 15 or 20 times in a row.
I appreciate everyone's reply to this thread but seeing someone I've worked with is pleasure for sure. been a great working with you as well Dave with all the 1031 help and thank you for the book referral. You're absolutely right... real estate is a vehicle for the journey. I guess I wish I knew exactly where the vehicle was going. One this is for sure, real estate gives us the opportunity to stop then analyze our lives, family, and future. I'll always be invested in RE for what it's given us and it's just a part of me ever since my parents built their house and I was able to walk in the framing and smell the fresh cut pine and cold concrete.
Some people commented about syndicates. I looked into syndicates years back with Lifestyles Unlimited and found that passive investors receive a much smaller percentage compared to active investors or managers. With work, I believe I have done better than most passive investments. However I can't say I've done better than managers of syndicates. Perhaps when I'm less capable I'll invest passively but for now I'm putting skin in the game. 👍
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