Real estate part time??

Question

Hello BP,

I am finally taking actionable steps to find a wholesale deal in Denver. However, I did quit my job to persue real estate full time and I'm really finding it to be quite hard to locate a deal In Denver. which leads me to my question, would it be ideal to persue real estate part time while employed?

Losing motivation in need of some real advice!

Thanks,

Chantelle

Jake Thomas · Answer

For anyone starting out I would suggest at minimum getting a part-time job to at least pay the bills. No deals = no income which means you might go into debt just to survive which makes saving for investing harder. Not saying you cannot be successful but it's better to ease into the RE business than just jump in.

Personally,

I work a full time day job.

I am also a full time realtor (sold 34 houses in the last 12 months)

Rehabbed 2 houses last year

Bought three rental properties in the last 12 months (all using bank loans from day job income)

Actively looking for more every day.

I figured if I commit a few really hard years to doing all of these at once I can quit one of them (hopefully my day job) to focus on the two that will make me the most in the future.

Good luck.

Gino Barbaro · Answer

@Nsikan Diarra

Hi Nsikan

I was investing in real estate part time while running a business.  It took me three years, which feels like a long time, to "retire" from my business and pursue investing full time.  I needed the income to support my very large family.  The only problem was that I was working a lot of hours per week.  I'm not sure if I had focused solely on real estate that I would have hit my goal quicker.

Taking the plunge like you did is admirable and will allow you to focus solely on real estate, and whatever you focus on will eventually expand.  I would consider getting a job in real estate if you need the income to pay bills.  You will still be in the real estate arena and will be networking with individuals

All the best

Gino

Jack Butala · Answer

@Nsikan Diarra

Great post, Nsikan.  Finding undervalued property can be really simple and efficient with great data and a well planned direct mail / offer campaign.

Believe it or not, its how the pros do it even to this day.

We purchase properties in Colorado all the time using this methodology.

Good luck and wish you the best.

Nsikan Diarra · Answer

@Bill S. You're right. My marketing  expense have definitely exceeded my expectations. I will pursue full time employment and real estate part time. Thank you so much!!

Nsikan Diarra · Answer

@Mike D'Arrigo thank you so much! I kind of figured out that might have been a mistake.

Mike D'Arrigo · Answer

@Nsikan Diarra Not to sound negative but I think you've made your first mistake of real estate investment---quitting your job right away. No matter what all the late night guru's say, you need capital to invest in real estate, even if it's wholesaling. To be successful at wholesaling, you need to invest a lot in marketing which can be costly. A 9-5 job provides you with that capital until you can get your real estate business off the ground. Denver is going to be a challenging market.

Leland Barrow · Answer

I am and will continue to be employed while doing real estate. Here is a few reasons why:

1. I like working, it gives me purpose. I enjoy mentoring employees from the hiring process and throughout their careers.

2. I am also not done with self actualization in Maslow's Hierarchy of Needs, I have more bullet points to add to a list of career accomplishments.

3. I make good money and my purpose in life is to build legacy wealth. I want to build wealth not only to help others now but to give my daughters a start in their lives so that they can help people also. If I died with enough passive income so that my girls can go chase a dream of teaching English in a third world country then mission accomplished.

4. I have the work ethic to make both successful.

5. If I was at home more during the week my wife would divorce me.

I do plan on transitioning in about ten years to my own real estate related job. I will own my own business but it will still be a job.

Real estate investing is one of the only businesses where you can have complete control to determine as little or as much that you want to do. From turn key to flipping there are plenty of options. If a 30 year old purchased one property per year over there lives then they would have a portfolio of about 40 properties before moving on from this life. That is a decent portfolio and one per year is definitely part time. I would say that talented people can do at least four per year without it consuming their lives. If you plan to 10X then you may have to go full time REI.

Bill S. · Answer

@Nsikan Diarra you have chooses a tough road. You need at least two years of reserves to jump into RE full time and not starve to death. It took over a year to get some traction. I would also say that I also had lots of RE experience prior to starting the journey. Unfortunately a job is the best way to feed yourself while you gain some traction in RE.

Bryan O. · Answer

@Nsikan Diarra good luck in Denver. The market is hot and everyone has been beating the bush for a good long while already. You might flush out a couple of deals, but if you are part time you are already at a disadvantage in a market where it's already tight.

Real estate part time??

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