Why I chose real estate
I had little to no money.
I had no business I could think to open
I didn’t wan’t to do full time sales
I had no service to offer
I consider myself lazy In addition to these clearly advantageous personality traits…. I wanted something that would fit into a box that would require me not to change. So my adventure had to be:
It had to work in the long term
I wanted it to be passive. I had read Rich Dad Poor Dad years ago almost by accident. Luckily, it taught me that passive income was the most efficient. I had thought about opening a business for years; Restaurants, bars, gyms, supplement stores, and self storage were all ideas that I had considered. So as I’m going through these options I’m realizing that all of them have similar negatives that I wanted to avoid:
All of them have high overhead
I needed buildings, inventory, employees, utilities for all of them
They all were owner-occupied. Meaning I had to go work on this every day. I needed something I could start on a part-time basis
They were all hyper competitive, and the these industries are saturated. You know what the failure rate for restaurants is? How many supplement stores pop up and then are gone in a blink. I didn’t want to follow a trend, I wanted a long term solution.
These businesses are all cash intensive. One of the main reason businesses fail is under-capitalization. I didn’t have any money to start with so I didn’t want to go into a business that I would need large sums of cash to float the expected hardship of early business.