Intro from a contrarian.

[Dan Taylor]

Hello everyone,

It seems that thinking like a Biggerpockets/Mustachian is very rare in daily life. 

This post is intended for those that have had a similar experience, those who enjoy seeing how others are working their path to FI and is a full disclosure on where I have been and where I intend to go. 

Suggestions, comments and discussion is welcomed, I would actually love that. 

Short back story, as a Midwestern boy raised with Puritan values, there was zero conversation about finances and anything personal for that matter. I knew I should work hard, honor hand shakes and good things will happen. At 23 years of age I bought a terrible buy of a condo outside of Columbus, Ohio. November of 2007. Countrywide did magic to get that approval done and I was so naive at the time. To keep the condo I worked over 100 hours a week as a Paramedic in private EMS for four years with absolutely nothing to show for it financially. A divorce and a short sale in 2011 freed me from working with absolutely zero return. (For those curious about numbers, bought at $115k in 2007, sold for $45k in 2011, killed my credit and cost $600 out of pocket at closing). I had zero net worth, but did not have to repay the difference of the sale, I still don't understand how I didn't have to repay the difference and was in the process of becoming an overseas medic for private contracting. With the burden of the mortgage payment lifted, I didn't have to go overseas. I dove into personal growth, learning how to be better in relationships, medicine and life. I didn't do anything with finances because I was so mentally exhausted from the short sale experience, one of my regrets. 

After that, I kept my expenses lower than my income, reduced my workload to human levels, took many small trips, several large trips and cared for my grandparents until their passing. 

The last several years I have been in Reno, Nevada. Having personal and professional successes and failures. That's life and has been taken in stride. The entire time I've had a financial restlessness and did not know where to put that tension/energy. A lot of it went to traveling, since it has been a big part of my life, from camping out of the bed of a truck, to my inherited VW vanagon, to my now truck with a pop up camper. Scott Trench would love/hate my F-250 and camper set up! But it was used, a great deal, paid for and my current residence! More on that later.

ENTER FI/RE, BIGGERPOCKETS, etc.

The BiggerPockets podcast, Set for Life and Mr. Money Mustache got me going on the financial runway/starter capital race. My lack of trust in Wall Street had me begrudgingly funding my Roth IRA for the last three years. The concept of house hacking and savings rate have sunk in. I've had a Personal Capital account for years, now I track it. And made a plan.

The Plan, Short Term Goal- 6-12 months 

Go back to my insane weekly hours and get that financial runway. Increase capital! 

At present I am working two full time jobs with overtime. Critical Care Paramedic for one job and a Paramedic for a fire department for the other. Weekly average since September, averaging 120 hours a week, prior to that the weekly average was 60 hours a week. The average will probably reduce to 80-90 hours a week in a month or two. 

A note on work life balance, I personally think that in life, it is perfectly fine to sprint at times. But not indefinitely. As of right now, I FEEL GREAT, I am sleeping, eating, staying sharp and am getting feedback from my peers that I am on top of my medicine and it shows. (If the feedback was opposite, I'd be changing everything! My health and medicine comes before everything else.) If you are interested in how I can do this for long stretches of time, I have lots of science and personal experience/experimentation that I could share. Let me know if there is any interest in this.

The last three months have had some large purchases, while experiencing an 75% savings rate.

Moved into my truck camper until I can find a value add house hack/live and flip property that is worth purchasing. That happened August first of 2018. Prior to that I was about $900/month on housing/commute expenses. Reno is a tough market with Bay area money and expansion coming in. That said, I am diligently looking and am serious about getting started. 

Self educate. Really and short and long term goal. I've always been learning about medicine and instructing, as of summer 2018 I applied the concept of "that which I do not understand is exactly what I should be learning." Added financial, investing and real estate education. Get that BP Pro membership when I reduce my hours below 100/week.

Network in my area. This has been difficult because of my hours and immediate friend group being in a different mindset. That said, there has been measurable progress and I can see this growing exponentially after I reduce my hours. 

Long term Goal-

No Debt that isn't investment related. Must make financial sense in order to take on debt, no speculation.

Find a house hack, live and flip sooner than later, continue to live out of the camper until that happens.

60% or greater savings rate indefinitely.

Over the next 3-6 years, keep one of my full time jobs, be per diem at least one more and dollar cost average real estate to a total of $5,000 after expenses income. Debt snowball these properties while fund Roth IRA, 403b after appropriate CapEx/emergency funds for the properties.

How has this played out so far.

Got pre-approved for an absurd amount at the moment, but will not use all of it because that is contingent on double full-time employment.

Somehow managed to look at three properties in December, only had four days off, all of which ended up requiring cash buys due to disrepair, estate sales, foreclosure.

Currently networking for hard money, private financing, while continuing 65-80% savings rate.

Will reduce my days of work, get some ski days in the winter and mountain bike when its warmer. Finding some level of balance.

In 2018, I sold a VW vanagon at a huge loss, bought my truck camper and double my liquid assets to $30k. If the trend continues, that number with be between $50k-$60k by June of 2019.

Again, 

It has been difficult to share this with anyone in my immediate circle. My parents want me to throw everything into the market through their 1% expense rate money manager. I think real estate makes more sense in the short run than low cost retirement accounts. Most of my peers, including myself exchange time for money through hourly wage, getting into passive revenue streams is contrary to prevailing thinking which limits brainstorming opportunities. 

I hope this gives you some insight, entertainment or encouragement. If you feel inclined to give notes, feedback or have any questions feel free to contact me or reply in this feed.

Thanks for your time.

Dan Taylor