Is getting into real estate investing worth it? That’s a really tricky question, I would say yes AND no.
It depends on the kind of person you are and what is easy for you to manage and what is difficult for you to manage.
So, let’s start off by debunking a few myths surrounding real estate investing.
First myth: You have to be able to do your own remodeling to successfully get into real estate.
Answer: HECK NO. I haven’t picked up a hammer in the last two years.
Myth number two: You have to have a lot of money to get into real estate investing.
Answer: You have to have money to get into real estate investing, but it doesn’t have to be yours. Watch this video I posted a while ago about how you can fund your flips with private money.
Myth number three: Do you have to have experience working in the real estate industry to become a real estate investor?
Answer: NO WAY JOSE! I was a painter before I got into real estate investing, which, yes, I technically worked ON houses but I didn’t know anything about investing at that time.
And the final myth that needs to be cleared up is thinking you’re too old or too young to be a real estate investor.
I’ve got people in their early twenties up into their 60s and 70s in my real estate investing student group.
I think it’s also time that we clear up a stereotype about real estate investors.
That being that it’s a young mans game.
In my student group, we have a mix of women and men, older people, younger people, people from America, people from different backgrounds and different perspectives.
And I feel that personally I’ve benefitted from having such a diverse group of students to work with.
I bring this up because If you’re in the Wichita Area, And you want to meet up with other investors and have a hands-on learning approach for real estate investing, consider joining our Elevate REI Mentoring student group.
Go to https://elevatereimentoring.com/ or call us at (316) 217-9675. Just go to our website and fill out the form on the homepage and will get back to you in less than 24 hours.
Don’t let your experience level or your background or language barriers or anything prevent you from achieving your dream of becoming a successful real estate investor.
So, is getting into real estate investing worth it?
Like I said, that totally depends.
Mainly, it depends on the kind of person you are.
Because while real estate investing has been great for me and it’s been great for my students, I personally don’t think it’s for everyone
And I’m going to tell you why.
If you’re the kind of person that likes waking up and knowing what you’re going to do from 9 a.m. to 9 p.m., then real estate investing may not be for you.
One of the most difficult parts, but also one of the most exciting parts, of real estate investing is that it’s an ever-changing, and dynamic career.
Every flip is like this big Jenga tower. Things will be going fine, you’re building up your pieces, and then BOOM.
You try to change one little thing, or something else unexpectedly goes wrong and the whole thing can start coming down really quickly, just like a Jenga tower.
For instance, on a recent flip we started pulling off the wallpaper and ripping up the carpet and taking a look at the structure below we realized that the house had fire damage.
I didn’t know that when I bought it, and that meant a lot more money spent on reinforcing beams in the floor that were partially burnt.
Finding out about that unexpected obstacle was highly stressful and it meant things weren’t going to go the way that I expected them to. I was going to have to spend more money, which was going to eat into my profits, and possibly make it more difficult for me to invest in another flip.
That’s the thing with real estate investing, on top of being like a Jenga tower, it’s also kind of like a baton race.
I have to make sure that I’m completing my flip on time and with enough profits to not only be able to pay my bills and get my lenders paid up, but I also have to be able to have enough to jump start my next project.
And as you might imagine, juggling all these constantly changing aspects of just one flip can be super stressful.
So, real estate investing is kind of like if you were playing a game of Jenga, while juggling 3 or 4 Rubik’s Cubes, during a baton race.
If you’re someone who likes structure and order and organization, real estate investing may not be for you.
But if you’re someone who is driven by that excitement, like me, honestly, it can be so stimulating and so fulfilling at the same time.
All right so we’ve determined what kind of person you have to be to really enjoy real estate investing.
But I’m sure you probably just want to know how much money you can make.
Well, yet again that depends on you.
You can be really casual about it, doing maybe one or two flips a year, and make like $20,000.
Or, you can start grinding and grinding, and get that six figure salary that you’ve been dreaming about.
That’s one of the great things about real estate investing is the flexibility. You get out of it what you put into it.
That’s why I knew that I could never work for somebody else. Because working a straight job only pays a certain amount, no matter how much work you put into it.
You could bust your butt and do way more than what’s asked of you by your employer, and what do you get at the end of the day? A pat on the back and a gift card.
Maybe you’ll get that raise or that promotion in the next few years, or maybe they’ll just realize that you’ll do twice the work for half the pay as somebody else, and you’ll be stuck waiting around, hoping that one day you’ll eventually earn more money.
But with real estate investing, as long as you’re smart about it, the more time and effort and work you put into your projects, and the more flips you pull off in a year, the more profits you will see- IMMEDIATELY.
Now here’s my closing argument.
The number one reason why real estate investing is worth getting into is longevity.
How many years do you think you’ll have to be stuck at your office job until you finally get to retire?
30, 40, 50 years?
Most 9-5 jobs don’t even offer great pension plans, and a lot of people end up going back to work only a few years after retiring.
You don’t want that to happen to you and I don’t want that to happen to you.
In under 10 years you could own enough rental properties to pay your mortgage, all your bills and then some for the rest of your life.
Think about it, 10 rentals, renting at around $800 a month, you get 20% of that, that’s $1,600 a month for the rest of your life while doing nothing.
Now, let me ask you this: how long do you think it’ll take you to get 10 rentals?
5 years, 3 years, 2 years?
Only you can answer that question and only you can make it happen.
What I will tell you is that those numbers are going to be really hard to reach without professional guidance.
If you live in the Wichita area, consider joining my Elevate REI Mentoring student group.
Look, I didn’t start Elevate REI to make a bunch of money. And honestly, the only reason I charged for it is because I know that people won’t take it seriously if I offer the information for free.
I feel like I’ve been blessed with my success in real estate and I want to share that with my community.
Plus I end up blowing a portion of the money I make buying dinner for everyone at our monthly meetups anyway.
The monthly meetups are probably everybody’s favorite part of the student group. It’s not only a great opportunity for networking, But if it can be so relaxing and fun to hang out with like-minded people, and learn a little tips and tricks over a burger and beer.
So, don’t hesitate to reach out to us at 316-217-9675.
We’re always looking for new students and we never run out of space.
I guess if we grow too big we’ve got too many students to fit into a Chili’s, I’ll rent out a ballroom or something and put up a bunch of tables.
Is getting into real estate investing worth it? I say yes.
I hope this blog was helpful.
-JL