Should You Quit Your Job to Become a Real Estate Investor?
By: Jim Zaspel
Well…Should You? Maybe…
When addressing a large audience, whether from stage or a blog, I’ve always got to be careful in my answer, because each person’s individual situation can be entirely different! That being said, I’ll tell you my personal story of becoming a real estate investor, quitting my former profession, and offer some guidelines that I believe will answer this question for you.
I DID Quit My Last Business In Order to Become a Real Estate Investor, but I wish I hadn’t
I started mowing neighbors’ lawns at the age of 12, and over the following 10 years, it grew into a small landscape company that grossed just under $500,000 in sales per year. I sold that business (for a pretty small amount) to pursue real estate investing, but in hindsight, I don’t believe it was the best for me. At the time, I was still living with my parents, I had almost no debt, and a little bit of money saved up, so I knew I wasn’t really risking financial ruin by making that decision, however…by having all the time in the world to spend in this business (real estate), I took all the time in the world to do this business, and as a result, I developed poor time-management habits that I never have developed if I still had a small landscaping company.
If you don’t have at least a year’s worth of income saved up, and especially if you’ve got a high cost of living, then it’s just flat-out stupid to quit your job before you’ve closed a handful of real estate deals. You see, it’s not a matter of “being all-in” or that you aren’t “fully committed” if you don’t quit your job right away. Here’s the deal: if you suddenly have no steady source of income, then financial stress will instantly set-in, and it will drastically reduce your ability to think creatively, and let me tell you…thinking creatively is an absolute necessity as an entrepreneur!
Maybe You Should Get a Different Job
If you are determined to become a full-time real estate investor, but your 9-5 job is more like a 9-9 job, then perhaps you should get a different job, even if it means taking a pay-cut! You see, unless you’ve got plenty of money that you don’t mind spending to support yourself until your first few deals close, then having that consistent pay-check will help keep you from being stressed. Also…having that W-2 income can come in pretty handy when it comes to getting loans for rental properties!
Having a Job Sucks
I’ve worked for someone else a total of 6 months in my entire life. I’m only 28 (well, I will be in a week or so), so I know that’s not saying a whole lot, but let’s be honest…having someone else control and command your schedule is annoying, at best. Being able to control your own schedule, your own income, and your own lifestyle is nothing short of a dream come true for many people, including me! So, even if you hate your job, keep it until you’re making as much from your part-time investing business as you are from your full-time 9-5 job, and then you’ll finally be in a position to be FREE!
If you’re looking to get started in this “real estate” thing, then I sincerely hope that this short blog has offered you some general guidance to help you pursue your dreams of being a real estate investor!
To YOUR Success,
Jim “JimmyZ” Zaspel