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Posted over 2 years ago

Investing in Real Estate While Working Your W2

Many folks are surprised when they learn that we, along with many other investors, invest in real estate while also working our W2 jobs. Creating passive income is not mutually exclusive from working your W2 job. Most investors, particularly at the beginning stages of real estate investing, keep their W2 jobs for years, and it actually may be advantageous to do so.

Although real estate investing is time-consuming, it is manageable when you properly systemize and build out your lead funnel, as we’ve written about previously here. Sacrifices will be necessary, sure, but there are few things in life that may be accomplished without some sacrifice. For example, if your goal is to be fit, it will likely require some combination of time, exercising, and dedication to eating healthy, necessary sacrifices. Devote some of the ‘Netflix and chill’ time to building long-term wealth.

Keeping your W2 job will, at least initially, bolster your ability to purchase real estate. Lenders love W2 income, and generally view a borrower with adequate W2 income as a stable borrower. This helps an investor access loan products and obtain leverage to scale a real estate portfolio. Additionally, one of the more obvious benefits is the consistent cash flow and capital reserves that your W2 income provides.

Having a W2 job does not mean that you cannot invest in real estate. To the contrary, view your W2 job as a positive to help you reach your passive income goals!



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