Originally posted by @Andrey Y.:
Originally posted by @Brian Lacey:
Originally posted by @Andrey Y.:
Originally posted by @Brian Lacey:
BRRR, 100%
As far as the value of time...unless you've reached a certain level, quite frankly, your time isn't worth much.
Time is important, and it sounds great to hear and tell others, but the reality is, until you're making money pretty consistently in investing, your time is another currency you're using.
You're already in Memphis. It's TK central already. Do the work yourself. Spend more time. Get more money.
Time isn't worth much? Speak for yourself.
Surprised you would even say this living in Seoul, where you can do a new activity or restuarant every day for a year, and not even do 10% of them.
If one's time isn't worth much, they are not an investor, and shouldn't be investing.
When starting out, no your time isn't worth much.
When an investor is successful, your time is now valuable because you have proven your time to be an asset that puts money in your pocket.
Any newbie investor should be worried about one thing right now, and that's the money being created off their assets. Not if their time is worth working on a BRRR or saving the time and going TK.
And it's my opinion. Thanks for tagging along and expressing yours.
Thanks for chiming in. I agree with your 2nd sentence, to an extent. However, "working" on a BRRR or flip is working, not investing. I've known folks who were independently wealthy and intelligent to begin with, and wanted to pull their hair out after deciding to manage a flip. What you are describing is a JOB.
I would still argue that if a newbie's time isn't worth much, they are thinking the wrong way. Maybe I am biased since I see and diagnose cancer in young folks all the time... but, money is easily made and easily lost (by newbies too), but time is not manufactured.
The issue with TK, as many find out, is the exit.
You buy at retail value. Best case scenario, you actually get the $100-$200 in CF/month with minimal to no headaches. At best your basic 2-3% market appreciation.
Where is the upside?
Going BRRR, yes, it is more work, yes, it is a job. So is a bad TK, which is very possible. The upside on BRRR is the built in exits. You can refi, you can flip, you can exit mid progress, and price in your work for a potential net zero exit. So many more exits with much more upside. Built in equity, cash flow, recycling money, it's now scalable.
Is there risk in BRRR? Absolutely, there is always risk with any security.
Is there risk in TK? You betcha.
If you're ever going to pay retail in any security, you will never in a single lifetime maximize your wealth. Will you have more free time? Yeah, you're right. You're paying retail prices for time, but assuring yourself that you'll have to trade more time down the road because of your retail price and minimal upside and exits.
And it's not that time isn't worth much, it's just not worth a lot if you're just starting out in RE. A newbie hasn't done anything to prove that their time is an asset that produces wealth. It can be, but they haven't proved it yet.
