$1,000,000 net worth at 25 years old.

$1,000,000 net worth at 25 years old.

Investor/Syndicator · Cincinnati, OH · Member since 2014 · 470 posts · 599 votes

My goal in writing this forum is to motivate other young people to work hard, take action, and take risk. To show them that you don't have to be exceptionally smart, or have tons of money.

For a long time I didn't like talking about my accomplishments because I would always hear "wow that is amazing for your age". I didn't want to be compared to other people my age because the average person my age is no where near where I want to be. That's fine for them but not for me. I didn't want to be successful for my age, I wanted to be successful period.

Today at 24 years old, I would like to share how I got to where I am today. Bare with me on my writing I am dyslexic so it has never been my strength.

Let's start at the beginning. I was a poor student. I had bad grades in anything involving reading or writing. But man was I good in woodshop. Working with my hands just always made sense I could see the project from start to finish even if it was 1000 steps. I won awards for my projects when I was a freshman in high school. I thought I would be a furniture maker when I grow up. Well as high school went by I decided wood working was a hobby not a carrier. My skill working with my hands needed to be implemented else where. So my senior year I signed up to do the work release program to work half the day and go to school half the day. I jumped as a cleaner/ basic handyman for a small REI. Company. Any time he asked me "do you know how to do XYZ" I said yes ( I had no idea what I was doing). I learned through trial and error, but again this kind of work always came natural to me.

The day I graduated high school my brother and I bought a 4 bed house together ( mom and dad consigned). We planned to live there rent two rooms to friends and renovate it slowly. Well by month three we had added 2 more bedrooms in the basement. So we had 6 guys all in one house. It stayed this way for the next 5 years. My brother and I not only lived for free but also cash flowed on top of it. During those 5 years my brother and I ran a small construction company renovating kitchens and bathrooms. We did all the work ourselves. We learned through YouTube. Trial and error, and failing many inspections. By the end of college we had lived so frugal and had the house hack for 5 years that we were able to save up a chunk of money to get started in REI. Man did we hit the ground running.

In march 2012 we bought our first two properties we bought highly distressed and did massive renovations. All while continuing to take on construction jobs to pay for the next investment. By the end of 2014 we had bought 8 SFRs cash and did the massive renovations to get them rented.

Fast forward to today and we own a total of 18 units 9 SFRS, 2 duplexes, and a 5 unit apartment building.

How did we afford it? We took only what we needed and everything else went back into the company. In 2014 we gave up the construction company to focus strictly on REI. It isn't easy to see all that money coming every month and only take 2-3 hundred dollars to live off for the month. When I say we were frugal I mean it! But we had a goal and building the foundation quickly was required.

We plan to purchase a 10-50 unit building In 2015.

I hope some of you made it through my unorganized ramble and take away that you don't need to have anything exceptional just an unrelenting drive to achieve what you want. I am no where near my ultimate goal but I just now am feeling that we have built a solid foundation to build massive wealth on. To all other young investors. My advice can be summed into one quote " live like most won't so that you can live like most can't" 

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Property Manager · Miami, FL · Member since 2014 · 14 posts · 7 votes
11y

Jerry, my compliments.

This should go to all those young guys complaining about finding a good job and passing the day drinking and playing playstation.

The world is for the smart and determined. I always relied on persistence and you show you have it.

See you around.

Fra

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  • Investor · Vancouver, WA · Member since 2014 · 270 posts · 111 votes
    11y

    Great post! Thanks for sharing.

  • Investor · Middletown, NJ · Member since 2014 · 19 posts · 6 votes
    11y

    @Jerry Stone, Thank you for sharing your story. This is a great example of how dedication and persistence can pay off in the Lon run. I'm new to REI and I'm determine to purchase 2 multi family units this year. At this time I have no way to finance the deals, however like you, I'm determine to make this happen. Good luck and stay determined.

  • Contractor · Bancroft, Ontario · Member since 2014 · 16 posts · 3 votes
    11y

    Good for me to read. I am a 21 yr old and bought my first duplex at age 20. Love the REI game....

  • Rental Property Investor · Cincinnati, OH · Member since 2013 · 292 posts · 280 votes
    11y
    Originally posted by @Jered Sturm:

    @Pavel Sakurets  Thank you for your advice. You seem to have a lot of wisdom in the industry so by no means am I downing your advice, however that strategy may work for you, or Andrew Carnegie  but that doesn't work for my personality, or my goals.  

     : )

    P.S. Hey, you guys should have a Cincy meetup on the evening of March 31st, April 1st or April 2nd, so that I can attend. I will be in town that week!   

  • Bulawayo, Zimbabwe · Member since 2015 · 1k+ posts · 253 votes
    11y

    Great story.inspiring!!

  • Investor · Los Gatos, CA · Member since 2015 · 42 posts · 15 votes
    11y

    Wow! Impressed with the whole story. That showed amazing intuition in buying the home in the path of commercial development. That's not luck, that's desire driven achievement. Rock on man. Super inspiring.

  • Rental Property Investor · Denver, CO · Member since 2015 · 8 posts · 0 votes
    11y

    How much of your success do you attribute to 1) being in the right place at the right time due to the recession and real estate market crash 2) your location in Cincinnati, Ohio with very low housing prices and many distressed properties.

    I'm 29 and have bought and held 3 properties in California and Colorado and the money doesn't go quite as far.

  • Rental Property Investor · Huntington Beach, CA · Member since 2015 · 36 posts · 18 votes
    11y

    This is great and I am thankful you took the time to share your story.  I am 23 years old, and I hear more often than not that my plans are not realistic.  I love more than anything hearing a story like this that is not realistic for most, but for a few people with special drive such as yourself, it seems like the only option.  I hope to be posting my own success story soon.  Age is just a number right? ;)  Thanks again for sharing! 

  • Real Estate Investor · San Antonio, TX · Member since 2015 · 13 posts · 2 votes
    11y

    Congratulations on all of your accomplishments.  You have the drive, focus, and took actions!  Keep up the great work - it's very inspiring!  Good luck in all your future business endeavors!

  • Investor · Isabel, KS · Member since 2015 · 247 posts · 85 votes
    11y

    @Jered Sturm 

    Very cool man!!! Very cool!!!!

    Congrats and hope you guys get that 50 unit asap!!!

    Jeff

  • Littleton, CO · Member since 2014 · 195 posts · 72 votes
    11y

    Just reread this thread and was wondering what kind of Multi Units you have been looking at or buying?

    My Father used to buy 14-16 unit apartment building's and would find the ones that needed rehabbed or just filled up.  He would then sell them after a year or two for a decent profit and move on to the next one or two. That size usually has one tenant that is also the on site Manager and sometimes the "Super" in exchange for discounted or free rent.  

    That size or even a quad is something that I would like to own in the future.  

  • Investor · Valdosta, GA · Member since 2015 · 187 posts · 112 votes
    11y

    You're amazing. Wow.. your story was just what I needed to read this morning.

    Even more inspirational than your REI experience is your determination to work around what most would consider a weakness (dyslexia). When you said you listen to podcasts and audio books to learn more about REI, that really made me smile. I know several people with dyslexia who allow it to be an excuse for not educating themselves. But there are many more ways to learn than just reading. You also mentioned learning through YouTube. That's an undeniable "can-do" attitude. I love it!

    I won't nitpick about the title of this thread or try to question your net worth. Because everything you shared tells me you can do $1M and waaay more than that in your lifetime. Partner or not.

    Thanks for the morning motivation. :)

  • Hamilton, OH · Member since 2015 · 19 posts · 3 votes
    11y

    Wow! Being 18 years old this story truly makes me smile. Hard work and dedication pays off for sure. Inspiring story!

  • Realtor · Pottstown · Member since 2015 · 24 posts · 3 votes
    11y
    Thank you for sharing!
  • Indianapolis, IN · Member since 2014 · 100 posts · 18 votes
    11y

    Great Job!

  • Boise, ID · Member since 2015 · 13 posts · 1 vote
    11y

    Almost exactly where I'm looking to go... inspiring, thanks man. 

  • Cambridge City, IN · Member since 2015 · 3 posts · 1 vote
    11y

    Thats awesome Jered

  • Charlotte, NC · Member since 2015 · 3 posts · 0 votes
    10y

    Thank You for your motivating words! !

  • Investor · New York, NY · Member since 2015 · 31 posts · 80 votes
    10y

    Truly inspirational! I love to read other young investors also in their early 20s, this makes me feel hopeful. 

  • Rental Property Investor · Fuquay-Varina, NC · Member since 2013 · 381 posts · 308 votes
    10y

    This is a great post Jered, thanks for sharing. I've also always felt like I don't want to be compared to others my age- your statement " I want to be successful period" is exactly how I think about my goals as well.

  • Investor · Cincinnati, OH · Member since 2016 · 7 posts · 0 votes
    10y

    @Jered 

    @Jered Sturm Your story is very inspirational! Thank you for sharing! Our goals are similar, and it is encouraging to see your success! 

  • Investor/Syndicator · Cincinnati, OH · Member since 2014 · 470 posts · 599 votes
    10y

    UPDATE: 

    Unfortunately I did not meet my net worth goal but did get very close. 

    With a rising market we transitioned to fix and flip in April of 2015 and completed 16 very successful flips in just over a year. 

    I am happy to say that next week we will be closing on a nice 42 unit building. This will take our rental portfolio to near 4 million dollars of rental real estate. 

    It has been a really fun Journey, I feel the momentum building and cant wait to see what the next few years has in store. 

    Thank you for everyones kind words and encouragement, it only pushed me further!

  • Los Angeles, CA · Member since 2015 · 23 posts · 17 votes
    10y

    congrats on the 42 unit building.  keep me posted.  I just closed on the 33 unit that we discussed a few months ago in grosbeak.  now the real work begins.  the first month we kept it 100% occupied.  month 2, 100% occupied, but the economic vacancy not what I want.  3 tenants have not paid, 2 were just evicted, another one did not renew for the upcoming month and will need to be evicted on monday.  time to stay strong and get the crappy tenants out...  now its all about good management.

  • Investor · Little Rock, AR · Member since 2016 · 152 posts · 40 votes
    10y

    Great job!

  • Houston, TX · Member since 2013 · 58 posts · 7 votes
    10y

    Great story man, thanks for sharing!

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