Obtaining a certification to help with investing

[Mike Lowery]

Hello all! I have experience with single family and duplex investments in the Milwaukee, WI market. I am looking to get into larger multi-family investments and am currently working on content, branding, etc. to launch a new business that will focus on raising capital.

I’m considering obtaining my general contractor license. I figure with the knowledge and resources, it would be more efficient to be able to walk properties, get an idea or rehab costs and find my own subcontractors to do the work. Most of this obviously can be done without obtaining a certification, however, I feel this would provide some reassurance to future investors.

On top of that, I could build a side contracting business outside of the REI and current employment as a firefighter.

Wondering if this would be worth my time and effort. I’m also kicking around the idea of obtaining a real estate license, but I feel in my personal experience, the need for reliable GCs far outweighs the need for reliable realtors.

Any thoughts would be greatly appreciated.

[Marcus Auerbach]

I have done both after I quit my corporate W2 and have mixed feelings about it. The first 3 years after I got licensed I acquired fewer rentals than usual, because my focus was elsewhere. At the time I also dabbled as a builder and GC in new construction. I totally underestimated how much work that would be and even though I would not want to miss the experience, it was a huge time sucker and did not make much money - I respect builders now a lot more: it's a though business to earn a decent income! 

Getting licensed as an agent and as a GC does not really equip you with any meaningful skills; the real learning starts after you have the credentials. You will be a rookie for a few years and would probably not be willing to hire yourself. One of the most important things you learn when you are growing a business is that you can't do it yourself, you have to leverage other people, especially in two categories: tasks that are time consuming (like labor) and tasks that require particular skills and experience to be done well.

My 2 cents, hope it helps