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> "Never have to work again rich" I'm almost there. At this point, I just resigned my full-time job and have enough cash on hand to maintain my current lifesty

> "Never have to work again rich" I'm almost there. At this point, I just resigned my full-time job and have enough cash on hand to maintain my current lifestyle for the next 10+ years before even thinking about finding a new job or withdrawing funds from my retirement accounts. > How did you do it? I worked in IT at a community bank and built a reputation for software development. After ~5 years there, I started a consulting business on the side to develop websites and custom software. The CFO at the bank introduced me to a client that was growing fast and wanted to build their own software to eliminate their growth bottlenecks. By focusing on their business needs, I was awarded 2 contracts over 2 large firms and an independent developer that bid on the work. >How old are you? I was 24 when I started working at the bank, 29 when I started the business. I'm turning 31 at the end of this month. > What was it specifically that made the cash that ended up in your pocket? One of the contracts I mentioned above was to build and host a project management tool. I priced this hourly since I could see the potential for this to become a long-term project. Once the software was up and running, I packaged a hosting and support service together which effectively works as a perpetual 4-figure per month retainer. The client thought this project would be done in 3 months but I was able to show them the software had much more potential than they expected. Yesterday marked the start of the 2nd year of development with a rate increase of 25% on development work. All this was accomplished part-time and put over $160k into my pocket in the last year. I've used some of the money for real estate investments which have pushed my zero-effort monthly recurring revenue up to $3500 after expenses. The client is now interested in selling the software, and since I carefully positioned myself as the provider of hosting and development services, they're open to a revenue share. If this works out then I'll officially be "never have to work again rich" >Do you feel happy in your life? Yes! But the money didn't make me happy. The first few 5-figure checks were exciting but now the money is almost irrelevant.

STRML 12y ago
How did you get started in real estate? In a good year, it is sometimes difficult to choose what to do with extra money - and the usual 0.05-0.10% the banks offer certainly isn't cutting it.
- rcvassallo 12y ago
  Baby steps. I got my feet wet by taking on a roommate at my first house for the extra cash flow. Once I had saved up enough for a down payment on a 2nd house, I bought it, moved there, and rented out my first place. If things keep going well I plan invest in a 3rd property by the end of this year. Some factors that helped out: 1. I live in Texas so buying there is a healthy margin between mortgage payments and rent prices. Insurance prices eat into this margin but once you're renting this becomes and above the line deduction on your taxes. 2. I bought my first house when I was 22 and lived there for 5 years. 3. Luck - my first house was flooded by Hurricane Ike in September 2008. Insurance payout worked out to a free remodeling and a kickstart for the down payment on the 2nd house. 4. I found tenants through assisted housing programs. Put in the work to find people who feel your property is a dream house, then they will want to be long-term tenants. The housing program pays via direct deposit on the first of the month so you never have to chase down money. 5. Maintenance - get friendly with some people who work at home depot and local plumbing and electrical services so you can have a handyman to fix the inevitable problems that crop up. 6. I had a friend who was going to transfer to a college near my 2nd house so he's living with me as a roommate. The deal is win-win - he saves money, time, and vehicle expenses while paying the mortgage for me and then some. Hope that helps!
- mcdougle 12y ago
  If you're interested in real estate, I'd suggest checking out biggerpockets.com I'm hoping to do something similar to the guy you responded to -- launch a side-business, automate it well enough, and reinvest the proceeds into real estate and other cashflowing assets. I've learned a lot from the forums, blog posts, and podcasts on BiggerPockets.

STRML 12y ago

How did you get started in real estate? In a good year, it is sometimes difficult to choose what to do with extra money - and the usual 0.05-0.10% the banks offer certainly isn't cutting it.

rcvassallo 12y ago
Baby steps. I got my feet wet by taking on a roommate at my first house for the extra cash flow. Once I had saved up enough for a down payment on a 2nd house, I bought it, moved there, and rented out my first place. If things keep going well I plan invest in a 3rd property by the end of this year. Some factors that helped out: 1. I live in Texas so buying there is a healthy margin between mortgage payments and rent prices. Insurance prices eat into this margin but once you're renting this becomes and above the line deduction on your taxes. 2. I bought my first house when I was 22 and lived there for 5 years. 3. Luck - my first house was flooded by Hurricane Ike in September 2008. Insurance payout worked out to a free remodeling and a kickstart for the down payment on the 2nd house. 4. I found tenants through assisted housing programs. Put in the work to find people who feel your property is a dream house, then they will want to be long-term tenants. The housing program pays via direct deposit on the first of the month so you never have to chase down money. 5. Maintenance - get friendly with some people who work at home depot and local plumbing and electrical services so you can have a handyman to fix the inevitable problems that crop up. 6. I had a friend who was going to transfer to a college near my 2nd house so he's living with me as a roommate. The deal is win-win - he saves money, time, and vehicle expenses while paying the mortgage for me and then some. Hope that helps!
mcdougle 12y ago
If you're interested in real estate, I'd suggest checking out biggerpockets.com I'm hoping to do something similar to the guy you responded to -- launch a side-business, automate it well enough, and reinvest the proceeds into real estate and other cashflowing assets. I've learned a lot from the forums, blog posts, and podcasts on BiggerPockets.