Investor · Midlothian, VA · Member since 2015 · 305 posts · 199 votes
I have seen so many people start and stop in the Real Estate business more times than I can count. I recognize that a lack of initial success is going to result in people petering out but what about the people who found some success but then slowed down? Is it because they are contented with the success they found? Or, is it that they are afraid to take it to the next level? I imagine that there is a blend of both, but which is more prevalent? I think there are a lot of people who just want to “be their own boss” and don’t recognize that they have done a little more than create themselves a job. There seems to be a contingent as well that found a moderate level of success and are quite smitten with themselves. These people are easy to recognize and are not my favorite to spend time with. What are your thoughts?
Rental Property Investor · Cincinnati, OH · Member since 2020 · 380 posts · 588 votes
6y
I've seen this go both ways Scott. My first job out of college in Corporate America I knew several colleagues who were content with making passive income. They never were going to leave the perks of their 9-5 that they've invested 20 plus years in. A handful of middle managers had 5-10 properties and used it as a way to diversify their assets. I did meet a client along the way who was a mortgage broker and now owns 50 plus properties. He no longer deals with the bureaucracy of his corporate job. What I have found is it all depends on the individuals end goal. The end goal will determine their growth in investment properties.
Rental Property Investor · Cincinnati, OH · Member since 2020 · 380 posts · 588 votes
6y
I've seen this go both ways Scott. My first job out of college in Corporate America I knew several colleagues who were content with making passive income. They never were going to leave the perks of their 9-5 that they've invested 20 plus years in. A handful of middle managers had 5-10 properties and used it as a way to diversify their assets. I did meet a client along the way who was a mortgage broker and now owns 50 plus properties. He no longer deals with the bureaucracy of his corporate job. What I have found is it all depends on the individuals end goal. The end goal will determine their growth in investment properties.
Lender · Nationwide · Member since 2018 · 571 posts · 310 votes
6y
Hi Scott, great topic. We all value having our time to spend with people we love and on things that we find meaningful, and having prestige and autonomy. So it's easy to get starry-eyed over the promise of passive income, exponential growth, and financial freedom. And those really are things that real estate can provide.
But a lot of people overlook the costs. Real estate is a business no different from any other. After a while the glamour fades, and the business is still time-intensive, stressful, it can be boring and unrewarding. The market goes up and down outside of your control and you are competing with every other person out there who is chasing the same thing, sometimes facing off against people who are willing to sacrifice their whole lives to move a bit faster or analyze a little more thoroughly than you.
That's not worth it to a lot of people who may already be successful and well respected in their jobs, or who recognize that success and respect are closer in the work they are already doing and have experience with than an entirely new industry. Sometimes it just takes a little experience to show it.
I agree 100%. I think it is a perfectly valid investment strategy to buy houses at 100% of their market value and rent them out for 20-30 years. As a professional in another field you can implore this strategy and never have to plan for retirement in any other way. Of course you go to a REIA meeting and people will think you are crazy if you say to buy properties at market value.
Good points. I think maybe people just need to learn who they really are. Some people are going to get up in the morning and really go for it because they can not imagine doing anything else. Others are going to stay in bed and dream of a better life. I fall in the line of someone who forces myself out of bed because I want more.
Real Estate Broker · Portland, OR · Member since 2019 · 4k+ posts · 2k+ votes
6y
I think 1) you need to like the business for whatever reason. I mean look at some of the salaries in the NBA and they have some really unhappy people.
If it makes you happy, then you're a lot more motivated to pick up the phone and call. However, you need to engage in activity to feel some accomplishment, otherwise, end of the day, you won't feel good about yourself.
Just remember - Then when you get the money, you get the power. Then when you get the power, then you get the women.