A lot of times when you hear about people investing in real
estate, your mind instantly jumps to those scenarios where they laid it all on
the line to make property investment their only occupation and source of
income. And for someone like you, who has a good paying job that you enjoy, can
make investing in real estate seem almost pointless. Even if investing in real
estate is something that interests you, why in the world would you give up a
good comfortable position in order to “put it all out on the line”, just to
maybe have some success in 5 to 10 years? Well, the answer, there really isn't
a reason to. However, you're also making the assumption that you have to lay it
all out on the line. But, you really don't have to. In fact, investing in realestate doesn't have to be hard, stressful, or even a full-time occupation. It
really can just be a hobby.
Even investing in something like multifamily properties,
a.k.a. apartment complexes can still be a hobby. If you find a good deal, and
use tools like multifamily leasing technology to your advantage, you can build
a nice little nest egg while maintaining your current life style. Yes, this may
seem far-fetched, because after all so much time and effort goes into
maintaining these types of properties. But, there are ways around this. For
instance, when you buy a property, you don't have to manage it yourself. By
hiring a property manager you can eliminate the burden of having to run and maintain
your complex. Yes, you'll have to pay your property managed to do it, but it’ll
be worth it in the end because you will be freeing up your time to focus on
your main source of income, while still bringing income from the side. You may
not be bringing it in as quickly as you would maintaining the property
yourself, but when you do real estate as a hobby this becomes a little less
important.
The other thing to keep in mind when considering real estate
investment as a hobby is that you don't need a ton it. Unlike real estate
tycoons who've made their millions by purchasing large amounts of real estate.
You can fulfill your real estate passions with just a handful of properties. In
fact, even just having one or two can help you move towards more financial
freedom, without it becoming overbearing.
Now with all this being said, when investing in real estate
there are certain things you still need to do. For instance, you'll need to
keep up with market trends, understand how to reasonably predict cash flow,
manage money, and build those tenant and property manager relationships. When
you first start out, you may need to do a little extra legwork in order to set
yourself up to become more hands off down the road. These first initial steps
might require you to fix up your first purchase, invest in advertising, utilize
tools like multifamily leasing technology, and interview prospective tenants.
While these things are necessary, in reality they aren't difficult, nor do they
require a ton of your time.
So, if you have an interest in real estate investment, but
always figured you are comfortable with where you are. Maybe now is the time to
step outside your comfort zone just a little, and invest in your first
property. Just keep in mind that this doesn't have to become in all-out
endeavor, and instead can be a good opportunity to help build your retirement
portfolio for your future.
