30 year old Millionaire

[Eric Moehrle]

2020 has been an interesting year for all of us to say the least. This is the year I turned 30 and also at some point, surpassed 7 figures in net worth. In 2012, at 21 years old I got by first real job that I could potentially make a career out of, the pay was about $15 an hour and 6 months later I bought my first house, a short sale in Auburn Wa for $120,000. It was 3/2 manufactured home on its own land and I rented out rooms to family/friends to offset the mortgage payments. I was always a believer in the power of real estate but this allowed to me see it first hand. I was convinced of the opportunity in front of me at the time, with so many distressed homes for sale and sales prices at half of what they had been a few years before. I convinced my dad and brother to partner up and for the next 4 years we bought about a house a year. We bought short sales, foreclosures, and even one on the court house steps at auction. None of us were rich, famous, worked in real estate or had any other head start or unfair advantage. We simply saw the opportunity, saved our money, and then combined our resources to invest for the future. We made maybe a few hundred dollars a month on each of those houses. But we rehabbed them and built sweat equity before getting them rented. Every one of those houses got a new roof, new paint, updated fixtures, and dozens of other cosmetic upgrades. None of us were particularly handy getting started, but we learned, grew and sharpened our skills. The first lease was 2 pages, the next maybe 5 and now the current leases and attachments are 20+ pages. I have had to answer the infamous late night roof leaking phone calls, and dealt with: leaking toilets, leaking water mains, faulty electrical panels, broken water heaters, broken furnaces, underground oil tanks, troublesome septic systems, late rents, tenants dog eating the walls, unresponsive tenants and every other real or imagined rental horror story that people who are either too afraid or unwilling to, use as an excuse not to invest. For years I would sit in my car on the way to my “9-5 job” and tell myself I was a millionaire real estate investor. I have worked for free for another  millionaire real estate investor, with absolutely nothing gained other than to be in that presence and show myself that it is possible and achievable. Both Rich Dad Poor Dad by Robert Kiyoksai and The Millionaire Real estate Investor, were pivotal in this regard. By helping to shape my mindset and allow me to truly believe and understand that their are millionaires in the world and it is possible to become one. Prior to my journey I did not personally know anyone with a million plus net worth. I read anything and everything on success and investing I could find, and was lucky enough to eventually stumble upon Biggerpockets, like so many others on this journey. Truthfully, if Biggerpockets never released another article, podcast, blog or forum thread, there is already enough information on here to help anyone that truly wants to achieve a high net worth do so. The old saying that there are two kinds of people in the world, those looking for a way and those looking for an excuse, and both will usually find what they are looking for. This year I will net less than $30,000 from my great corporate job, and it isn’t a big difference from other years. I have saved diligently, reinvested the cash flow I made, bought low and forced appreciation, and found other sources of income. It has taken 8 and a half years from the time I bought my first house to reach millionaire status, I have lived way below my means, got married and lived below our means together, budgeted and traveled all over, had 2 kids and done most everything else we have wanted to. The Key is always budgeting and prioritizing your goals, everything in personal finance is “personal” no ones goals and lifestyles are the same and they shouldn’t be treated as such. Only you can figure out the right budget and lifestyle to fit your goals. Sometimes I feel early on in my investment endeavors, other times it feels like something I have always done, but either way I still have decades ahead in which I hope to grow and expand my real estate portfolio and net worth. I am always reminded and humbled by the story of The Mexican fisherman, if you don’t know I suggest you read it for reference. If there is any advice I can give to other inspiring investors or millionaires it would be: 1)Get control and ownership of your finances and budget before starting out, more money will only create more problems if you are not disciplined and prepared 2) Enjoy the journey, one day you will either be old and rich or old and poor but no matter what you will be old with your best years behind you, so don’t sacrifice too much now that you are miserable and don’t take anything too serious, there is always another opportunity and hopefully more time 3) Last, if you have a big enough “why” you can accomplish anything, I have met and tried to help countless people that have an excuse, the market is too risky, all the deals are gone, my kids are too young, my kids are in college, not right now maybe later, whatever the excuse is... they are the same, if you have a burning desire you will find a way but if you wait to take action and get complacent, you will never accomplish extraordinary things. Gain enough knowledge to take educated action and get after it! I hope this motivates atleast one person to push themselves, grow, and take on a worthy goal.