Separating from the military, what's next?

Question

I'll be separating from the military in a year, and although I can get a decent paying job in my current career field (Welding and Machining), I would rather get into a real estate related job. My wife and I are leaning towards moving to Orlando, FL, and no matter what W-2 job I end up getting, I am going to continue snowballing my investing.

What are your experiences transitioning from a career field you know and are comfortable with, over to a Real Estate related job? And what job did you transition into?

Even if you have never gone through such a transition, if you come across this post and have any advice or feedback, please feel free to post.

I would love to hear from all of you!

Allan

Michael Guzik · Answer

@Allan Rosso Good on you for looking into REI investing! I love your mindset and your idea of snowballing investments. Why are you leaving your job though? Usually people recommend to stay at your job especially if it pays well and just live frugally and save that money for investing. I don't know much about the Georgia market but I do know that Atlanta is exploding and the areas in and around it are doing very well. Florida is always a good place but I'm sure it is far more expensive than where you are living now. Why Orlando? Is there better REI opportunity or a better paying job? I personally think you have a good thing going and should just stay where you are and funnel and snowball your income into investing around you! However I don't know your life or situation but that's just my two cents. There aren't too many good paying real estate related jobs right off the bat since most are commission based, so that is something to think. With a W2 job it will be much easier to qualify for a loan so that is also something to consider. I would suggest just getting a sheet of paper and splitting it down the middle and writing pro's on one side and con's on the other. Look at the facts, and let that guide you in the right direction. Good luck and trust your gut!

Andrew Ashby · Answer

@Allan Rosso, I left active-duty Navy in 2013, entered pharmaceutical sales for 3.5 years, and I've been a licensed agent since July 2017. I never really wanted to be an agent, but it was the only feasible path I saw to quit my job in pharmaceutical sales (in Chattanooga) and relocate my family to Orlando to pursue real estate full time (where we had lived initially when I left the Navy). I've since learned that Orlando has about 14,000 agents (I'm not exaggerating) and I don't particularly like being in sales (probably why pharma sales made me miserable). I despise cold calling and I'd prefer to focus strictly on investment real estate sales. I've made a grand total of $3,100 in commissions since July 2017. With COBRA health insurance running me $2,100 per month (I have a wife and two kids) and rent at $1,750 per month, I've burned through many thousands of dollars of my 401k safety net. With this safety net dwindling further and further, I've been applying feverishly to dozens and dozens of salaried jobs and I've entered the Naval Reserves for healthcare (chopping that $2,100 healthcare expense to $200 like @Seth Borman mentioned). I have my first flip underway right now just to try to generate some more survival cash (risky I know). With 5 years management experience as a Naval Officer, nearly 4 years experience in sales, a B.S. from the U.S. Naval Academy, and an MBA from the University of Florida (paid for by the GI Bill), you would think it wouldn't be too hard to get a decent job in Orlando...WRONG! The vast majority of the jobs in Central Florida are hourly paid jobs in tourism, hospitality, restaurants, construction, and healthcare.

I know what I could do or ought to do as an agent to generate more leads...but I have finally decided that I will not make myself miserable simply to make more money in sales. I know myself well enough at this point to know that I have no business being a full time agent and that I will be happy and do well to take a decent corporate salary and continue to run my own real estate business on the side until I'm cash flowing enough that I can choose whether to work or not (I currently have 4 units for long term hold).

If you want to live in Orlando, my advice is to 1) find a job here first, 2) get licensed if you so desire, 3) affiliate with a no-fee brokerage and continue to invest on your own. Now if you're a glutton for punishment, don't mind cold calling and/or door knocking, have the gift of gab and/or are exceptionally outgoing, and have a war chest of money to spend on marketing and your own living expenses while not getting paid for months on end...then by all means become a real estate agent.

This whole post may sound like a pessimistic rant, but I consider myself a realist. Had I known 7 months ago what I know now, I would have found a different road to my dreams in Florida. I love Florida and I love Orlando and I am absolutely determined to make it here one way or another.

As a fellow military veteran, it makes me angry to see so many of us unemployed or underemployed all across this country while corporations speak "feel-good" lip service about supporting military veterans while their computer systems auto-reject our job applications one after another after another.

Seth Borman · Answer

I've bolded something that simply isn't true. I have a BA in Political Science and a Master of Real Estate Development that I got with the GI Bill. The VA will pay for any accredited program.

Look into the Reserves. You'll get six months of free health care and then be able to sign up for health insurance for $50 or $220 a month (depending on if you have dependents). Drill pay is peanuts but the insurance is awesome.

William Butler · Answer

Allan,

all replies are great advice.  I have nothing to add, but wanted to say

THANK YOU FOR YOUR SERVICE SIR!

Alexander Felice · Answer

I do underwriting for commercial loans. Much more useful to learn going forward with real estate. I get to look at business and personal tax returns all day and analyze lots of commercial real estate.

Loan officer is ok but I traded that higher income for more stability. This allows me to focus on RE and not have to worry about good months and bad months. I did sales for a long time after ETS'ing and learning sales is incredibly valuable, but it's a tough career.

Wes Harrington · Answer

@Andrew A., I do understand your struggle to some degree. I am personally not a Vet. however I have lots of good friends all around me that are.  I currently live in Chattanooga and have been now for 1 year to the day!  The workforce is a very different place theses days and I DO understand how difficult it is to find something "worthwhile" to go after especially being highly trained. Best of luck to you brother, It sounds like you have a solid head on your shoulders and congrats on the 4 units!

@Allan Rosso, another thing you could look into is becoming a brokers assistant.  If the idea is to just have access to the MLS withOUT being a realtor, this may be a good way to go.  Now befriending someone to allow you to access to this may be a little challenging and does not come without its limitations. hope this helps.

Sergiu Ionita · Answer

I have a machining background and recently transitioned over to full time Realtor and I love it! I was a CNC machine operator and department lead for several years when I lived in Portland. I moved down to Georgia in March of last year and got into real estate. It's a huge change because you're not stuck in some building all day running machines and it's also not W-2, but it's awesome because it's a people business and I love people! Whatever you chose to do, just make sure it's something you love doing. Good luck out there!

John Place · Answer

@Allan Rosso see @Seth Borman's post; you should be able to use your GI Bill for any accredited program.  I have a BS in Business Administration  and an MS in Entrepreneurship.  Also, do some research on all of the veterans discounts that'll be available to you from- everything from a reduction in the assessed value for taxes on your primary residence to 10% off everyday at Lowes.  Do yourself a favor and get a MyLowes card to track your purchases and they will assign your veterans status in the system so it comes up automatically when they scan your card at checkout.

John Place · Answer

Do you have the Post 9/11 GI Bill?  My advice would be take advantage of all those tax free dollars.  If you attend a school with a high BAH rate you can make out nicely.  If you already have completed your undergrad maybe find a graduate level real estate program.  If done correctly, you can work full time, attend school at night, have all of your schooling paid for and earn that tax free BAH on top of that.  This could really springboard your real estate investing.

I got out of the Navy in 2003, used some GI Bill then and then went to grad school while working full time in NYC in 2011.  With the combination of my salary and the BAH and my income was the highest its ever been.  I was able to save some of that money to purchase a 3 family.

Allan Rosso · Answer

@Alexander Felice, I definitely want to do something that'll allow me focus on REI. I'll add that to my list of jobs to research.

@William Butler, I appreciate the support sir! Thank you

Separating from the military, what's next?

Most Popular Reply