Greetings to you all. After years of contemplation, I have decided to begin a serious investigation into Real Estate Investing. For years, I have lived a very simple life and stashed a mighty chuck of cash aside for my later years (I am currently 39 yrs old).
To be honest, I don’t buy ‘the hype’ of late night infommericals…but I am interested in the basic concepts that many step-by-step books offer. So, as of this week, I have begun the long journey of “doing homework” before taking massive, intelligent action.
A question for the gurus in this room -
“Is Real Estate Investing a process where the rewards pay off within years of careful study and action…and/or…can a truly committed person make a suitable living buy purchasing distressed properties (updating the property) and selling the “handyman’s ddreams” at an impressive profit?”
Any and all commments, ideas, suggestions, and guidance would be more than greatly appreciated.
Real estate investing is no different than running any other business. It can be a conduit to provide a good living, build wealth, and eventually have a great retirement. However, starting ANY business requires a great deal of motivation, work, and yes - money or credit.
If you take the promises of the late night infomercials and divide by 4 - you might be close to reality. Likewise, if you take the amount of work described by the REI gurus and multiply by 50, you’d have the right idea.
People who are successful at running ANY business have many traits in common. One of these traits is the ability to quickly make decisions. Quite frankly, your post makes me wonder whether you have this trait - “After years of contemplation…” and “long journey of doing homework…” are not statements that sound like those of an entrepreneur to me. Yes, it does require study and careful consideration, but this doesn’t have to take years or require a long journey. Most businesses are just not that complicated. Buy low, sell high enough to pay ALL the bills and still have something left. It really is that simple.
I have to agree with the other posters you have to take action and accept the fact that you will make mistates. It is not easy or fast money. It takes time and major amounts of effort. What does your wife or significant other think, you will need their support?
Thank you all for your information. I didn’t expect to receive 3 responses to quickly. My only civil disagreement is with “Mike.” I am already an business owner which allowed me to semi-retire at the modest age of 39. For months at a time, I willingly deliberate over avenues of interest and honestly compare them to my assessment of a given industry. I do not believe in making quick choices when speedy decisions aren’t required. Additionally, I never invest a dime into anything that I do not understand.
Four years ago, when I had an opportunity to begin selling a product in Japan, I hired a tutor who taught me the basics of the Japanese language for 4 months. When I arrived in Osaka, I had a glaring insight into their customs, business practices, and communications that I never would have gained by merely agreeing to a business venture over an email. Thanks to the careful, delicate relations with the Japanese, I was financially independent by 37 years of age.
Perhaps my discipline to fight the tides of instant gratification is the ‘x-factor’ that allowed me to stop worrying about money before the age of 40. I’m sure there were many additional factors, but it had to be a significant contribution.
All things being equal, I will begin researching various real estate avenues (while also distancing myself from the late night infommericals). I do appreciate every input received and I will begin this journey while continually remembering three fundamental factors -
Investing in real estate requires a great deal of work…much more than the ‘gurus of late night’ are willing to admit.
I will make mistakes…the advantage is to learn from them, not repeat them, and acquire a real estate mentor.
With consistent action and sound decisions, the opportunities to invest in Real Estate are possible…simply not as commonly remarkable as others indicate.
Please dont tell me you were selling square feet to the japanese ???.Mike never really has a lot of nice things to say so dont let his post bother you.I was suprised to hear him say it really is that simple because he’s right there it really is that simple in theory.You sound like you have a good head and a firm business sense so Have at it you’ll do well. PS sometimes BUT RARELY it is remarkable, but thats the exception.
Propertymanager and I very seldom agree not because he is wrong at all most often because we have two different styles of doing business he is a more hands on investor where as I am more one of those if it burns to the ground call the fire department then the insurance guy I can’t do anything about it anyway. Never have seen most of the properties I have bought and sold.
On the other hand he has hit the nail right on the head with this…
Has anyone contacted the Associated Press about this earth shattering news?!
PM and Reo agreeing on something!!
Will someone look at their window and confirm that the sky is still there, please?
Square,
Saying that you want to be a real estate investor is like saying that you want to buy a car. There are a number of different choices in both when you get down to specifics. Like cars, different type of RE investing has different types of risks and rewards.