​Are You Ready to be a Full-Time Investor?

Taking the plunge from part-time investor to full-time investor is nothing to sneeze at. When you shift from doing this as a side thing to it being your sole source of income, you’re obviously taking a big risk. What if the money you make off your properties isn’t enough? What if the market crashes again? What if your rental property burns down? What if you quit your “real” job and then discover it was a huge mistake?

So many “what ifs”! But don’t worry, there are some things you can do to make the transition to full-time investor a lot smoother and decrease the inherent risk while you’re at it.

Cut Your Expenses

Quitting a job that provides steady, reliable income is a lot less scary if you can lower your monthly expenses. This gives you a little more breathing room, so if a sudden expense with your property comes up, or you have a vacancy, it’s not as big of a blow. Take a look at your last bank statement and make a list of all your expenses. I bet you’ll be surprised at how many of them are unnecessary. Things like eating out, your morning Starbucks run, TV/movie streaming services - it’s all money you don’t need to spend. It can be hard to give these things up, but remember: you’re not working for the man anymore, and that alone is worth the sacrifice!

Create a Safety Net

While you’re focused on finances, it’s also time to take an honest look at how much you need to survive should things ever get really bad. A good place to start is by saving about 3 to 6 months worth of living expenses. I know this may seem counterproductive when you’re trying to cut expenses, but sending some money each month to an emergency savings account is worth it, I promise.

Have a Dedicated Work Space

Working from home and being your own boss requires a lot of self-discipline. To help you stay focused, create a designated work space in your home. Whether it’s an actual office in your home or a spot at the dining room table, know that when you’re in that space, it’s time to work. Do what you can to limit distractions in this area, and make it a comfortable environment that inspires and motivates you.

Stick to a Routine

Another way to improve focus and motivation is to develop and stick to a routine. Start working at around the same time every day, and finish at the same time, too. Eat lunch about the same time. Create time blocks for certain activities during your day, like checking email or following up leads. Organizing your day like this will help get your brain in “work mode” and boost your productivity.

Expand Your Network

Now that you’re not beholden to a boss and their schedule, you can do what you want with your time! And one thing you should absolutely do is work to expand your professional network. Getting acquainted with others in the industry - investors, contractors, lenders, realtors, and others - can help you generate leads and increase your profits through more and better deals. Having the ability to create your own schedule allows you much more flexibility to develop these relationships and grow your network.

Create Your Own Opportunities

Finally, don’t be afraid to create your own opportunities. Again, you’ve got the flexibility and you’re in charge of your own time, so seeking out new opportunities or even embarking on a few side hustles (wholesaling, flipping, writing real estate blogs) isn’t a bad idea - especially if it means more money in your bank account.

Quitting your job to invest in real estate full-time is scary. I’m not saying it’s not. So go ahead and freak out, but get it out of your system quick. Once you’ve calmed down and looked at things logically, you’ll see that there are lots of steps you can take to ease the transition and help ensure your success as an entrepreneur.