Yes! But, hold on to your pants guys, this ain’t gonna be pretty.
If you truly want to be successful at building a multifamily business while maintaining your W-2 it is going to take a lot of work. Sorry, didn’t want to hear that? Well, I feel it’s best I tell you up front rather than have you crumble halfway to your goal because you didn’t realize it would be so challenging.
The good news? It’s doable. And although I’m not there yet; I’m on my way. And I would love to share my insight with you.
Before we get into it, I have to let you know that I am not going to discuss how to run a multifamily syndication business in this post. The purpose of this post is to offer clarity to your vision and help you better understand what you’re getting yourself into on your journey to financial freedom.
Let’s go –
Know your “why”
Make sure you have a strong reason for wanting this, something big to keep you motivated. Trust me, you will need it when times get challenging and you find yourself being tested. To help you formulate your “why”, I recommend reading/listening to “start with why” by Simon Sinek.
Then bust out your planner/calendar, and dissect it.
The objective here is to “find” as much time as possible given your current work schedule. How many hours can you realistically spend a day working on your new business? I can tell you that you’re going to need a lot (and then some more…).
And that time has to come from somewhere, typically your friends and family, your “free-time” and your sleep…
Because you will be taking time away from loved ones, you need to ask yourself first if it’s worth it. If so, then I highly recommend you get the support of these people. Explain your goals, have a really big “why”, and share the plan. Have them participate in the process however possible. It will take a strong family dynamic and a ton of buy-in to make this work, and even then – expect big challenges.
What are some of the tasks a multifamily investor can expect to do? To give you some sort of reference, here are some critical tasks you can expect to focus on as you grow, and scale your business –
Deal sourcing, underwriting, networking, building systems, branding/marketing, education, hosting and attending meetings and events, asset managing, investor relations, traveling, etc. And all of these tasks take extensive amounts of time, focus, and energy.
As such, you’ll be overworked, so stay healthy! This means you need to make sure you eat well, sleep well, get exercise, and have a decent balance of “fun” activities so that you don’t burn out in the first 6 months.
Play the long game.
It’s likely more beneficial to take a little R&R for yourself from time to time rather than going full throttle and blowing a gasket right out of the gate.
Think “Sustainability”. You have to be able to perform and endure consistently and effectively. You will have to maintain your w2 so that you don’t get fired (at least until you can afford to leave it).
And in all honesty, you will probably have to work harder than established operators just to make a name for yourself. Talk about being hungry! You better be starving for this!
Friends? – Identify those friends that are holding you back. These people typically share easily identifiable characteristics – they tend to complain, think/talk negatively, worry too much, watch too much tv and news, or just drain your energy.
Seek out those who you can learn and grow from, those that get you excited and motivated. Make new friends by surrounding yourself with those people who are successfully doing what you want to do.
Partner up! I can’t stress this enough. There are going to be days that you just can’t show up. Make sure you have a solid partner or team of people that can cover you during times like these. Not only will this alleviate issues with your new work/life balance, but you’re going to need a solid crew if you are ever to run a successful multifamily investing business anyway. So get that started now!
Hire a mentor or coach! You hear me preach this all the time. If you are going to be successful at competing with the big dogs while not putting in the same work hours; you’re going to need extra manpower. A mentor will not only accelerate your journey, but also help you avoid critical mistakes.
Think of a mentorship program as a legal form of drug enhancement. Do it!
I recommend Jake and Gino. Find them here.
Activities. Shed those that are draining you – Excessive tv, internet surfing, social media, heavy alcohol consumption; you get the idea. Exchange them for activities that are aligned with your goals. Things like reading, education, networking, building teams and systems, meditation, brainstorming, physical exercise, entertainment, quality time with loved ones, and rest.
You have to treat yourself well if you going to milk yourself dry for everything you’ve got.
I also think it’s important to keep a couple of hobbies that inspire you, make you happy, and give you energy; it will be healthy for you in the long run. Just be cognizant of how much time your hobbies take and adjust as you see fit.
Envision your exit strategy. You should develop a solid plan to exit the rat race, and this may very well be the first step you take. Creating a plan will keep you focused, motivated, and moving forward. Some people do this by working backward –
I need X amount of money to retire, which means I need to buy X amount of units, and that will take me X amount of time.
Summary
Yes, it’s a ton of work but it goes back to how badly you want it. Quitting your job and working multifamily real estate full time is a real thing and can be extremely rewarding and liberating. Get started today, and I will see you on the other side, my friends!
