Create your very own Auto Publish News/Blog Site and Earn Passive Income in Just 4 Easy Steps
There are a lot of what-ifs in real estate. It’s often the “what if” questions that keep us from achieving financial independence through real estate investing. What if I don't have time? What if I don't know what I'm doing? But the biggest what-if of all is this: What if it's too late for me to start?
This is the most common hesitation I hear.
Many believe that if they haven't started investing in real estate years ago, it's too late – and that their investment won't pay off. In fact, real estate has the unique ability to help you catch up, especially in later life, without jeopardizing your retirement.
The real question you should be asking yourself is: why not now? Now is always a good time to start. Whether you're at the end of your career or just think you've missed the boat, it's time to embark on the adventure of real estate investing.
Let's find out why it's never too late to invest in real estate and how we can overcome this common but misguided belief that's holding us back.
While many people think that investing later in life is a disadvantage, in reality this is not the case. On the one hand, high earners have much greater financial stability late in their careers. Maybe your children are a little older, most of your debts have been paid off and you are doing well financially.
This foundation of stability actually gives you an investment advantage. You can actually get started and invest in opportunities that many who are just starting out don't have access to. An established network awaits you – connections that can open doors into the real estate world.
But this network doesn't just open up investment opportunities; It also serves as your educational resource for investing. The world of real estate investing is very open and collaborative, and others are willing to teach you the ins and outs of the investment world.
Additionally, your experience has given you the invaluable ability to ask the right questions. You're likely to be more detail-oriented, have strong interpersonal skills, know how to properly assess risk, and, most importantly, have accumulated years of wisdom – all crucial to making smart investment decisions. If you've maintained your own practice, you've entered the world of real estate investing with the business acumen that will give you a leg up.
In many ways, your experience and stability give you an edge when it comes to capitalizing on a given market cycle, meaning you are able to achieve the investment goals you have set for yourself.
When you start real estate investing, education is key. Take classes, read books, attend conferences, and surround yourself with as many communities of like-minded people as possible. Hear as many stories as you can from these people – people who have invested and experienced success, failure and learned from it.
Two of these communities are Passive Income MD's Platinum Investor Club and Passive Real Estate Academy. I recommend that anyone interested sign up on the Passive Real Estate Academy waiting list. We offer courses every spring and fall that are continually updated to reflect the current market. In places like these, you not only build your wealth of knowledge, but you also build your network and find the support you need to overcome the fear of taking the first steps.
Why is now the right time in terms of market timing? Consider the state of the healthcare industry. Maybe you can see where medicine is going. And perhaps you realize that there is little time left before these changes – such as private equity, regulations, and scope creep, to name a few – put physicians at a disadvantage.
Whether you want the financial freedom to give up medicine or want to ensure you have permanent assets that will allow you to continue working as a doctor, now is the time to get into real estate deal with.
What do you want your life to look like in five years? ten years? Hopefully, after exploring real estate investment options, you will find that passive income can make this life possible for you. But how? Ultimately, it's about understanding the market and making informed decisions.
First, you don't just want to fund your retirement, you want to supplement it. Just as our diet and exercise routines should change as we age, your strategies will also differ when you start real estate investing later in life or in a particular cycle. In other words, they won't take the same approach today as investors did in the run-up to the 2008 recession.
Take advantage of downturns
Focus on investments that offer short-term gains and stability in the current market. At the time of publication, commercial real estate – especially office space and apartment buildings – is undergoing a realignment. The prices are falling significantly. When prices drop dramatically or foreclosures begin, that's usually a good time to get involved as an investor.
The largest investments occur during downturns. For those who sat on the sidelines in 2008, another great opportunity lies ahead.
Diversify your investments
Your strategy should also include selecting different types of properties and investment strategies to take advantage of the lower risks of a diversified portfolio. Early starters, on the other hand, may be more willing to make some high-risk, high-reward home run investments.
Network with like-minded people
Finally, when you're not putting out feelers, networking and engaging with people, start taking advantage of the current market now. I'm not saying you need to act and invest now, just get your foot in the door. Put yourself close to the people who, when the time comes and you are ready to attack, will help you examine options with due diligence.
Ultimately, every strategy you implement should be about finding what works for your goals and timelines.
For those of you wondering if it's too late, it's not. Real estate investing can be a powerful tool for improving your financial security at any age.
Figure out what your goals are and what you want to achieve, then focus on what actions can help you achieve the results you want. Any experienced investor will tell you that there is money to be made in every part of a market cycle. They've had success in good times and bad, and you can tell they're excited about what's to come.
Remember, it's not when you start, but how you play the game that matters. Join the Passive Real Estate Academy waitlist to register for classes this spring or fall. We hope to see you there and to be successful together with you.
Here is your journey into real estate investing, no matter where in life you begin your adventure.
Peter Kim, MD, is the founder of Passive Income MD, creator of the Passive Real Estate Academy, and offers weekly training through his Monday podcast, the Passive Income MD Podcast. Join our community in the Passive Income Doc Facebook Group.
Create your very own Auto Publish News/Blog Site and Earn Passive Income in Just 4 Easy Steps
