DONT QUIT YOUR JOB-UNLESS YOU DONT LIKE IT!! - Posted by A Miller
Posted by A Miller on December 10, 1998 at 10:41:00:
The better you get at prospecting for deals it doesnt take much time each day. A job generating income while youre investing sure gets you there quicker and easier.
I quit the corporate life at 33yrs old and never looked
back but looking back I should have kept working for
another 3 to 5 years but I hated the job. I guess it
depends on the person and the situation.
Anybody else do this?
In May of this year,my brother took a buyout from the company that he was part owner of. On June 5th, I quit my job and we went into the Real Estate Investing business. Carelton Sheets was our Hero! My brother had enough money to loan me the equivalent of six months take home pay at my then current salary. ($1,800 take home per month) October 5th came and we had not made a dime yet. We didn’t know what we were doing, where we were going, or how we were going to get there! I was feeling pretty stupid for not getting more things in line before quitting, like, what type of investing we want to start in and what part of town, where the funding was going to come from, finding a good team to work with(agent, title co., contractors, attorney, accountant, etc.) This was our biggest/hardest lesson so far. Then things finally started to click, on October 28 we closed on our first purchase, a 22k fixer and we closed on our flip November 19, for an 8k profit.(aaaaahhhhhhhh what a relief) Tomorrow we will sign contracts on 4 more fixer/flips (3 of which we don’t own yet) for a profit of 29K! Two days ago we got a single family under contract. (5-8k if we flip or 13-18k if we rehab it) I just got off the phone with our agent who said she just got off the phone with an out of state owner who is accepting our offer on another single. (23k purchase + 8k rehab = 65-75k FMV.(I think we’ll rehab this one instead of flipping it:)
What do I think of my 28K per year job?
Let me just say that I’m
NOT LOOKING BACK!!!
Re: DONT QUIT YOUR JOB-UNLESS YOU DONT LIKE IT!! - Posted by Rob FL
Posted by Rob FL on December 10, 1998 at 20:51:18:
I think most people don’t realize how expensive your job really is. I read a book called “Your Money or Your Life” by Joe Dominguez and Vicki Robin and it reallly opened my eyes.
Jobs are expensive. Most working couples have two cars, with 2 payments and 2 insurance bills (not to mention gas, tolls, repairs, oil changes, etc.). They eat out on their lunch break 3-5 times a week. They spend money on business clothes and dry-cleaning (not to mention extra makeup/perfume for the ladies). Oh, and if there are kids what about the astronomical day care costs. Then on top of that working people usually pay a much higher percentage in FICA and income taxes than self-employed people do.
I am very conservative and usually brown bag it every day and carpool. I still find that my job related expenses are 15% or so of my check. I bet most non-professional wives with children end up working 40 hours a week to net $200-300 after expenses are paid (expenses they would not have if they did not work).
And of course without a job more time for REI. Wife and I have been planning my job departure for a while and it is getting closer and closer. (Wife lucked up somehow and got to quit working in 1997. I am still trying to figure out how I got stuck working and she gets everyday off)
If you love your job that’s great. I for one know that my family and my charities deserve better. They are why I want to be out of a job ASAP.
I am an Electrical Engineer and I love what I do. I
work 9-5 and it does not come in between my RE
investing. After all, most sellers/buyers are home in
the evening anyway which is when I do most of my RE
activities.
I find having a steady job (at least in the beginning)
is a definite advantage. But I guess, to each his own!
I will strongly advise anyone (especially if not
single) to really weigh the pros and cons before
taking drastic measures.
As A.Miller suggests, there is no need to quit your
job unless you don’t like it. If you work “regular”
hours, it should not be a disadvantage. In fact,
it could prove to be advantageous to have a “regular”
income.
Re: DONT QUIT YOUR JOB-UNLESS YOU DONT LIKE IT!! - Posted by johnman
Posted by johnman on December 10, 1998 at 18:24:29:
Sounds good. I’m also a EE and I work the night shift so I do my research and driving around during the day. I’m in Savannah, GA. I’m a newbie and learning a lot quickly!!!
