Of course you should. I practice this for
quite a while and I never looked back. I think this is the
perfect combination. You get the best of both worlds. Did
you know that 90% of all millionaires made their fortune
with real estate and 10% with the internet or the stock
market? Well, this doesn’t leave any room for the paycheck
workers, doesn’t it?I once read a
small phrase that totally changed my life “Trading hours for
money doesn’t bring you any wealth”. This powerful phrase
stuck with me ever since. Take a moment and think about
this. We all do it by being employed by an employer we trade
hours for money. How many hours per week can you trade
without completely giving up your life? 60, 70 hours max.
This doesn’t leave much room for a family life or having
some fun, doesn’t it?
Well, enough of this depressing stuff.
Let’s talk about something fun. Did you know you can
actually make money while you’re sleeping? It is called
residual income.
With your internet business you want to
achieve residual income through selling membership
subscriptions to any form of service that charges monthly
dues. Typically you will receive your share of this as
monthly installments. You do the work once and you get paid
over and over again.
With real estate you achieve the same
effect with rental properties. Although your involvement in
the process is a little bit bigger, but it is still
manageable. You have to collect the rent and making sure it
is paid on time. On the other hand you have to pay all the
bills like mortgage payments, insurance, taxes and sometimes
utility bills. Depending on the type of lease agreement you
have with the tenants.
This takes care of the residual income
part. As a rule of thumb if your residual income covers your
living expenses you’re on your way to be successful. Now you
can start doing the fun part with real estate. Not that
there’s anything wrong with being a landlord. I personally
don’t like this part of investing in real estate.
The fun part for me is to work deals with
real estate. It could be buying an old property way below
market, fix it up and sell it with a profit. Another method
in dealing with real estate is called flipping. In this case
I simply control the property through a contract and then
assign the contract to another buyer. Of course I will
collect a fee for my services. I prefer the second method
because the least amount of money and work is involved.
Fixing up properties can turn into a time and money
consuming project.
The point I want to make is that you need
to establish some sort of residual income to cover your
basic living expenses in order to expand your business.
Of course you can do all of the things
mentioned and still working full time. That’s what most
people are doing. However you have to decide if the extra
income is worth the effort. You will need a lot of time to
do both investing in real estate and running an internet
business.
Visit my home business website and my real
estate website to learn about effective systems to leverage
both business models without completely giving up your life.
