Quote from @V.G Jason:
Quote from @Jay Hinrichs:
Quote from @V.G Jason:
Quote from @Marie Copul:
I am an attorney. I invest in real estate as a "side-hustle." I've flipped 6-8 houses, made good profit on those, and just purchased my first 4-unit multi for mainly cost seg purposes/long-term appreciation. My W2 income is very high (+$500k), excellent credit, but I hate my job and I want to leave within a year or two. If you were in my shoes, what real estate strategy would you recommend for scaling quickly (but smartly) so that I can replace a good portion of the W2 income from real estate investing? Wouldn't mind becoming a millionaire from this as well....
Should I hire a few ppl to scale the house flipping hustle (marketing, lead acquisition..ect)?
Should I buy up as many cash flowing/appreciating properties for long term holds as possible to add doors to my portfolio (although, I haven't enjoyed being a landlord thus far...)?
Should I play harder and get into land development? I'd be considered an accredited investor, should I get into syndications?
Is there something else that I'm missing? A combination of these things? I am completely open to suggestions!
Your income needs to be 100x it and you need to invest 10% of your net(so less than $5mil) annually in structured product type investing incl RE, let it season for 3-5 years, re-invest the first bit of profits and by year 8-10 you should be comfortable.
$500k annual income is alot for your average folk, but it's not "retire me" income at all. If you truly want to "retire" young, keep investing and living your life you'll need a ton more. Don't get me started with costs you're not anticipating.
Once you drop this unrealistic "dream", and focus on what's in front of you. You can shift your perspective to enjoy what you're doing, yet reap the long term rewards by planting the seeds today.
And this is coming from someone who has done that.
I think it would be financial suicide to give up a 500k a year job that you know how to do and is secure to launch into thinking your going to replace it with rental income.. unless your sitting on 5 mil plus in cash with no debt. Folks very often dont realize the cost of being self employed when every facet of your life comes out of your pocket.
They have no ****ing idea.
Your $500k salary likely has a 401k, health, vision, dental, etc. You're going to be needing to equate that to a real gross of $600k, probably closer to $650k.
You may "hate" your job, I'm willing to bet you just need a shift in your perspective and search for some hobbies/thrills in life. And like @Bob Avery said if you're not a millionaire with net $300-$350k take home pay then that's a concern. It means you need money management skills. Or you are new money, which means you need some seasoning.
Agree with this. If you are early in your career (would understand not having a lot saved early on) you should let your current job run for 8-10 years and save as much as you can (as painful as it may be, but remember building wealth isn’t easy either or everyone would be wealthy). Your options at that point would be tremendous given the savings and compounding. That’s not to mention any 401k match. Once you have $1 or $2 million saved and with diversification the compounding on that is just crazy. Then your only worry is don’t lose money and earn a positive return.
