Success Rate in Real Estate...Shockingly Low

[Peter Vekselman]

If you had to guess, what is the success rate in real estate investing?  Success being defined by someone being able to live above average lifestyle strictly based upon their earnings in real estate.

I bet its below 5%.

What do you think?

[Ryan Randall]

Good real estate investing should be boring. You're not constantly dealing with problem tenants, talking about high COC returns, doing stupidly risky and time consuming flips, etc.

Buy in a good area, make sure it cash flows, put solid tenants in there, then sit and wait for 10+ years. 

Sadly I think people overcomplicate or over glamorize real estate investing. Any time I see those or hear those folks, I assume they'll be one of the ones who fail.

I learned this lesson after chasing high COC returns in Akron OH. I got burnt, but I learned and pivoted at a young age. Now I buy locally in good areas, and I've seen my net worth go from 200k -> 1mil in a few years by the time I hit 30, w/ a portfolio of 8 solid cash flowing units. I just wish I listened to the successful real estate investors sooner, and didn't chase solely cash flow right out of the gate.