How Many RE Investors are Engineers?

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How Many RE Investors are Engineers?

Adam Zach
Rental Property Investor 路 Fargo, ND 路 Member since 2016 路 136 posts 路 112 votes

Is it just me or are about 25% of all real estate investors, also engineers? As an Engineer myself I could be biased but curious if anyone has insight. I know folks usually have professional background like IT, accounting, dr but would be going out on a limb to say engineers cover the majority of all real estate investors?

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Pat L.
Rental Property Investor 路 Upstate, NY 路 Member since 2012 路 3k+ posts 路 3k+ votes
6y

I did the eng gig until REI proved to be way more profitable. It's paid off in so many ways allowing me to do 'permitted' electrical (took that minor in elect.), opening & replacing walls with LVL beams, HVAC installs, on-demand HW (elect & NG) etc etc. It's a discipline that opened so many cost saving opportunities & you don't get snowed by contractors, home or building inspectors. Biggest job 'permitted' by my town was the complete design, install & wiring/flow rate monitoring of complete fire sprinkler system for a 6 unit. They allowed me 6 months & did it all myself.

But then again I remember our final exams forbade the use of calculators, slide rules were the only device allowed as were card punched software solutions in our lab finals.

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  • Alex Forest
    Rental Property Investor 路 Henrico, VA 路 Member since 2019 路 265 posts 路 155 votes
    6y

    I dont have a sense of how many REI folks are engineers, but it's an interesting thread here and also to see how many electrical and software engineers responded here. I practice as a civil engineer (water resources) and do buy and hold RE. It started with the problem of 'how will I pay for my kids college tuition?', it's so expensive. And then extended to 'how will I supplement retirement?'. In both cases looking to solve a problem. Came across real estate as a way to solve these, introduced to me by a good friend. I enjoy both.

    1Reply
  • Sam Houck
    New to Real Estate 路 Fairfield, CA 路 Member since 2020 路 4 posts 路 0 votes
    6y

    I am a flight engineer but I doubt my expertise is what you are seeking.

    0Reply
  • Brian Hamel
    Nashua, NH 路 Member since 2017 路 66 posts 路 58 votes
    6y

    @Adam Zach

    Engineer here.

    1Reply
  • Caleb Heimsoth
    Rental Property Investor 路 Durham, NC 路 Member since 2016 路 7k+ posts 路 7k+ votes
    6y

    @Adam Zach I am an engineer. Will soon have 2 degrees in it. I think REI and engineering go together well for a lot of reasons

    0Reply
  • Jim K.
    Handyman 路 Pittsburgh, PA 路 Member since 2018 路 5k+ posts 路 13k+ votes
    6y

    BA in English Language and Literature, walked away from MA-PhD program in English Language and Literature, did two semesters of an MA in Applied Linguistics before I walked away from that, too.

    I have met large numbers of local engineering people investing in low-C class beat-up fixers who insisted they knew the work and were equally certain they were way too good to do the work. Hands-off, Core Four, magic spreadsheet, minimal reserves, BIG believers in the power of positive thinking, putting lipstick on pig after pig all the way to bankruptcy court.

    0Reply
  • Jill F.
    Investor 路 Akron, OH 路 Member since 2016 路 2k+ posts 路 4k+ votes
    6y
    Another (former) software engineer here
    0Reply
  • Jill F.
    Investor 路 Akron, OH 路 Member since 2016 路 2k+ posts 路 4k+ votes
    6y
    Originally posted by @Jim K.:

    BA in English Language and Literature, walked away from MA-PhD program in English Language and Literature, did two semesters of an MA in Applied Linguistics before I walked away from that, too.

    I have met large numbers of local engineering people investing in low-C class beat-up fixers who insisted they knew the work and were equally certain they were way too good to do the work. Hands-off, Core Four, magic spreadsheet, minimal reserves, BIG believers in the power of positive thinking, putting lipstick on pig after pig all the way to bankruptcy court.

    My husband was also an English major, and while I (the computer science major) usually focus on acquisitions, he always has veto power and he's not afraid to use it-- lol. y'all English majors debbie downers.

    1Reply
  • Cara Kennedy
    Rental Property Investor 路 Member since 2019 路 189 posts 路 62 votes
    6y

    A lot of us!! Civil Geotechnical Engineer here. I'm investing in Flint and the Detroit area so far. Would love to connect with you folks if you're interests lie here or in commercial MFH. All the best to you and yours!

    0Reply
  • Matt Nico
    Member since 2019 路 448 posts 路 306 votes
    6y
    Originally posted by @Adam Zach:

    Is it just me or are about 25% of all real estate investors, also engineers? As an Engineer myself I could be biased but curious if anyone has insight. I know folks usually have professional background like IT, accounting, dr but would be going out on a limb to say engineers cover the majority of all real estate investors?

     

    @Adam Zach      I love this post...haha. I have thought the same thing.

    My Answer: I believe that engineers are some of the smartest people there is as a whole. The schooling required is usually math-based and teaches us to solve problems. And then we start working 60+ Hours a week for a boss who is collecting a huge profit off of you, and realize its a problem. So we look for a solution out of the work grind. 

    And then we find real estate, where the skills required to analyze and execute a deal are based on math, numbers and problem solving...go figure.

    Also for a lot of us, it helps that engineers are usually good with their hands. I can fix anything now a days. I do my own electrical work (after learning about circuits), Air conditioning (after learning about Heat transfer), and even something as simple as treating a pool is just a simple chemical equation.

    I love real estate. It lets me use my engineering degree just as much as when I was an engineer......

    Happy Housing,

    -Matt

    5Reply
  • Amy A.
    Portland, ME 路 Member since 2012 路 616 posts 路 550 votes
    6y

    My husband is an engineer, and I worked a bit in genetic engineering, does that count?  I've met many investors who don't seem to have a grasp on basic math, so I think it has given us an advantage.

    1Reply
  • Keaton M.
    Austin, TX 路 Member since 2017 路 75 posts 路 39 votes
    6y

    @Adam Zach

    Forensic structural engineer here

    So now distressed properties make me even more money!

    2Reply
  • Jim K.
    Handyman 路 Pittsburgh, PA 路 Member since 2018 路 5k+ posts 路 13k+ votes
    6y
    Originally posted by @Jill F.:
    Originally posted by @Jim K.:

    BA in English Language and Literature, walked away from MA-PhD program in English Language and Literature, did two semesters of an MA in Applied Linguistics before I walked away from that, too.

    I have met large numbers of local engineering people investing in low-C class beat-up fixers who insisted they knew the work and were equally certain they were way too good to do the work. Hands-off, Core Four, magic spreadsheet, minimal reserves, BIG believers in the power of positive thinking, putting lipstick on pig after pig all the way to bankruptcy court.

    My husband was also an English major, and while I (the computer science major) usually focus on acquisitions, he always has veto power and he's not afraid to use it-- lol. y'all English majors debbie downers.

    Alls I'm saying, Jill, is WAY too many wannabes get into this as engineers. My brother is a classic real estate dreamer: last year he mortgaged himself to the hilt to move into a McMansion way out in the boonies and is now looking to rent out his starter home, slightly less farther out in the boonies. Ah, but the starter home needs a bit of work, and it's sooo hard to get people in, so the starter home has sat empty for more than a year...and with COVID-19 now who knows when it's going to get done?

    Of course he couldn't learn to do it himself because he went to school for computer science/mathematics and he's just "really more of a management type," as his wife put it to me when she told me about this situation. He would never tell me himself. He's God's gift, after all.

    2Reply
  • Jared Bestebreur
    Pullman, WA 路 Member since 2014 路 18 posts 路 9 votes
    6y

    @Adam Zach

    Yep. Electrical engineer. The numbers just make sense :)

    1Reply
  • Greg MoranPro Member
    Investor 路 Washington, DC 路 Member since 2017 路 136 posts 路 59 votes
    6y

    B-) I also have 'the knack'

    Aerospace, Astronautical, and Systems Engineering here. 

    1Reply
  • Rami Dababneh
    Rental Property Investor 路 Orange, CA 路 Member since 2017 路 18 posts 路 17 votes
    6y

    @Adam Zach I am a computer Engineer , I also know couple of engineers in my network , but that鈥檚 about it.

    0Reply
  • Helen Zhang
    Austin, TX 路 Member since 2016 路 160 posts 路 39 votes
    6y

    I am a software engineer as well, however, I do not want to resonate with the experience. Most of my colleagues are investors, not real estate investors as real estate investors actually sucking up time regardless you are doing flips or rentals. They tend to invest in stocks or hedge as there is no need for them to actively managing anything.  

    What I noticed is kinda interesting but sad that I would have to agree, that the software engineers that are real estate investors generally do not have solid sharp engineering skills and are not whole heartily interested in engineering (yes including me). Afterall, what you do other than the 8 hours of sleep and the 8 hours of salary work is what you are truly interested in. A true engineer would still be engineering things even after that 8 hours.  Unfortunately, I do feel that engineers like us who chose to become engineers just love the salary and perks. Although I do have to admit software engineering jobs are way more fun any other jobs that I know of. It requires the least amount of education and the payout of education investment is huge. But if becoming a janitor can earn me a higher salary, I would consider becoming a janitor. 

    For those who see the benefit of becoming a software engineer, they obviously have the capability of choosing the shortest path to become rich. So it is not a surprise that they are good at seeking real estate deals. 

    3Reply
  • Mehroze Wasim
    Investor 路 Houston, TX 路 Member since 2019 路 1 post 路 1 vote
    6y

    Just graduated a week ago as a Civil Engineer. In my sophomore year i realized i had no interest in engineering but still went on to finish my degree. Meanwhile i found real estate and was greatly intrigued by it. Finally i am ready for real estate!

    1Reply
  • George W.
    Investor 路 NJ 路 Member since 2018 路 869 posts 路 921 votes
    6y

    Probably because most engineers make decent money to have extra and invest. Any job with a higher salary than most others would probably have a higher ratio of real estate investors. 

    Let's face it the guy working at McDonald's wont have a large portfolio of real estate unless their in upper management.

    Im a licensed master plumber, own a business, investor and have noticed that you have to wear many hats to be successful in any business. Or you have to be able to delegate.

    Most other contractors I know in person aren't that great with numbers and never get into real estate. The ones I know who are great with numbers, business and their hands do very well.

    My colleague who's also a master plumber, has a very diverse portfolio; business owner, stocks, residential and commercial real estate. More so because of being an entrepreneur than a plumber though. While being handy helps, it isnt everything. 

    0Reply
  • Zach Whicker
    Orlando, FL 路 Member since 2019 路 8 posts 路 4 votes
    6y

    I have a bachelors in Mechanical and new to REI. Plan to focus on REI more than engineering work - that being said, many of my roommates (all engineers) are looking into REI as well. I put many of them onto it, but with all the resources now, it makes it that much easier to understand and start

    0Reply
  • Adam Zach
    OP
    Rental Property Investor 路 Fargo, ND 路 Member since 2016 路 136 posts 路 112 votes
    6y

    Wow, thank you all for the tremendous responses. I will have to go back and look it up and do a quick tally for the nearly 100 respondents and see if I cant get a quick breakdown to share with you all. Glad to hear there are a lot of fellow engineers looking to build something outside their W2, wish you all the best of luck and would love to connect to talk more.

    2Reply
  • Drew SygitBusiness Member
    Property Manager 路 Royal Oak, MI 路 Member since 2012 路 12k+ posts 路 9k+ votes
    6y

    Former electrical (the best engineers) engineer here.

    Engineering teaches you to think logically and avoid emotional-based decisions.

    Most engineers though, are not decision-makers, so they suffer from analysis-paralysis. 

    If an engineer can get past that...

    [email protected]248-209-6824
    Logical Property Management4.9459 Reviews
    WebsiteView Page
    3Reply
  • Hong Y.
    New to Real Estate 路 NYC & Philadelphia 路 Member since 2020 路 16 posts 路 5 votes
    6y

    MECHANICAL ENGINEER and MILLENNIAL 

    I'm currently a mechanical engineer looking to move full time as a real estate agent, I am also working on a commercial rental unit. Of the younger group of people at my site, I'd say 6 out of the 10 are either already doing real estate on the side or looking to get in (all engineers). 

    I think its something about the crushing fact of knowing how much schooling and time you put in to become an engineer and its only marginally more pay than the average income of some other degrees that require less time. 

    Also, as a millennial, the other like minded/aged individuals in my circle want to move away from the 9-5 with mediocre slightly above average pay. Not to put down the industry, just saying that most engineers are smart enough to know when the MATH JUST DOESN'T ADD UP! But only a good chunk will be brave enough to act on it. 

    Engineers

      1. get paid enough early on to make that switch before it is too late.

      2. don't get paid enough to be content( most going in expecting 80k would go alot further)

      3. smart enough to recognize a bad deal when they see one

      At least i think that is why you wont likely find other industries with degrees, transferring from their jobs.

      2Reply
    1. Brian Ploszay
      Investor 路 Chicago, IL 路 Member since 2009 路 1k+ posts 路 1k+ votes
      6y

      My father was an engineer and I knew many of his coworkers and friends.  They all had an aptitude that works well for real estate investing:  An ability to understand how things are built, maintained and repaired.  Strong investors in real estate are good at every aspect of the business.  Many new investors should get to know as much about building systems and construction as possible.  It will help you buy better product and make better decisions.  Start by watching youtube videos.

      0Reply
    2. Gregory SchwartzBusiness Member
      Rental Property Investor 路 College Station, TX 路 Member since 2016 路 1k+ posts 路 1k+ votes
      6y

      I feel like this should be a BP survey. It would be some very interesting data. 

      [email protected]443-812-0357
      Schwartz Realty Group5117 Reviews
      WebsiteView Page
      1Reply
    3. Josh C.Pro Member
      Property Manager 路 Indianapolis, IN 路 Member since 2010 路 1k+ posts 路 1k+ votes
      6y

      Locally I haven鈥檛 met many but seems a lot here. BS in ME with a controls focus. Did factory automation for several years and left that world for real estate. It was a tough leaving that nice salary and flexible schedule, but glad I did. 馃憤

      0Reply
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