I want financial freedom by the time I'm 21

[longwood]

This thread may be a little pointless but I'm just young man in need of a lot of advice.

Ever since I could remember my thoughts have been consumed with how to make money, how to be rich and what it would take to get to the point where I would never have to work again. When I was younger they told me to go to school, get good grades, go to college, get a good job and i would be set for life. For the most part that's exactly what I did. But as i got older, right before i started highschool, i learned that just going to school and getting good grades was not going to bring me freedom financially. So from 9th up till the present the vast majority of my time and energy has been focused on learning as much as i can on gettin this fcukin money. I mean, I have gotten to the point where I all do is think about what it is going to take for me to be rich. Sometimes it makes my head hurt. What gets me though is I don't want money so that I can buy things, I want it just to have it, Just to say to myself, "that i worked my ass off to get here and now I'm here". So now I'm 17, about to go to college in the fall, major in business finance, but for some reason i feel like i'm standing still. And if it's one thing i hate, it's standing still. I just can't figure out where to start.

damn, i cant even finish this post, my brain is hurting

but neway Older guys help me out. Am i trying to move to fast? give me some advice

Anyway here are my keys to getting rich by the the time i'm 21
1. My own Business
2. Real Estate
3. Stock Market
4. Find some wealthy business minded mentors

sound reasonable?

 

[diplomatic_lies]

Not saying its impossible, but you are 17, and you want to be rich by 21? That's going to be very difficult, unless you're willing to give up your social life and sleep 4 hours a night.

Even Bill Gates didn't make it by 21.

 

[Page]

cool your jets for now, man. You're still young, and you have plenty of time. You're going too fast. I would readjust that goal to 10 years or so from now (plus, how do you define rich? 1 million? 10 million? you get what I'm saying) , and start with something smaller. You just don't get rich overnight, it happens gradually. My personal goal is to own my first rental property by age 27, which gives me a little over 5 years to achieve. So far, I'm on schedule, I'm getting ready to file my first patent, which gives me my first real asset. Wealth is built with baby steps like that, not great leaps. To your credit, you at least know what you have to do, so you're still light years ahead of everyone else.

I want to do a similar thing with my life, but I'm waiting until I'm out of college before I start buying property. I'm doing it this way b/c I want to become a technical writer first, so I'll have a steady income to show potential lenders. (how a lender feels about you is the biggest factor in determining whether you get a loan or not, but they also want to know that you will be able to make payments). Once I begin getting a steady positive cashflow from my rental properties and other assets, I won't need that job anymore. Most people look at their job as a career, I look at it as a stepping stone.

Right now, you should be reading all you can and absorbing all this information so you will know what to do later.

Read these books:

1. Rich Dad Poor Dad (read this one first, this teaches you the proper mindset. You're well on your way to this already, but this book is full of useful information. Reading this is like getting unplugged from the matrix--- it prepares you for everything else. )

2. Building Wealth by Russ Whitney (this book will teach you the basic nuts and bolts of buying real estate and getting loans)

3. Cashflow Quadrants by Kiyosaki (this teaches you the 4 ways to earn money, and also teaches you how to understand cashflow. Reading this was like getting a second pair of eyes, it taught me to understand money like I never could before. This book opened me up to owning a business in addition to rental property.

4. The Art of the Deal by Donald Trump (My personal favourite. This book teaches you how to make deals and how to use leverage. Unlike the other books, the concepts are not spoon-fed to you, you have to pick them out and see them for yourself. Trump is the absolute master when it comes to deal making, and I have learned a lot from him. )

 

[Ken785]

i have also dreamed about having my own business. do you guys know what field in owning your own business is good to get into?? maybe a franchise would be safest if you open your own business. i have heard of this lady who owns 2 mcdonalds and is a millionaire. dont know if that is true or not.

i want to open up my own movie theatre. there is this guy Johnny Brenden, he owns a northern california based move theatre chain "Brenden Theatres" now has like 8 theatres and is rich off his ass! dude rolls around in a 2002 LAMBO MURCULLAGO.

When he first started his grandfather was a movie theatre owner and owned "MANN's CHINESE THEATRE" in south cali. Johnny started with a 6 screen theatre and grew.

Do you guys know how much capital is required to open up a small theatre to start? i do seaches on the net and cant find where to start cuz nobody talks about how to open up a theatre.

I know it must cost a lot. Johnny got some money from his grandfather to start a theatre (millions),

do you guys think it is possible for the average person to get enough loans to open one up???

 

[Page]

Originally posted by Ken785
i have also dreamed about having my own business. do you guys know what field in owning your own business is good to get into?? maybe a franchise would be safest if you open your own business. i have heard of this lady who owns 2 mcdonalds and is a millionaire. dont know if that is true or not.

i want to open up my own movie theatre. there is this guy Johnny Brenden, he owns a northern california based move theatre chain "Brenden Theatres" now has like 8 theatres and is rich off his ass! dude rolls around in a 2002 LAMBO MURCULLAGO.

When he first started his grandfather was a movie theatre owner and owned "MANN's CHINESE THEATRE" in south cali. Johnny started with a 6 screen theatre and grew.

Do you guys know how much capital is required to open up a small theatre to start? i do seaches on the net and cant find where to start cuz nobody talks about how to open up a theatre.

I know it must cost a lot. Johnny got some money from his grandfather to start a theatre (millions),

do you guys think it is possible for the average person to get enough loans to open one up???

Franchises are for people that don't want to build their own business model and figure out how to run a business on their own. I'd rather find my own way right now, but eventually I plan to supplement my assets with a McFranchise or two.


Theatre buildings are expensive, and they're not the best money makers compared to other things you can get. Even if you can offset the mortgage on it, you probably won't make a substantial profit. You will have to invest a serious ammount into security personnel to patrol the screenings and stop people from making cam or telesync bootlegs of the features. That gets expensive.

If you want to get serious cash, buy a big skyscraper and lease out the units. Better yet, after you get a ton of experience, get a partnership together, build your own skyscraper, hold press conferences, and hype the hell out of it like Trump does (promote your building as being the best thing since cold beer) . That will get units filled quick, since new office space comes at a premium, and the more people who know about your new building, the sooner you will get those vacancies filled. The Media is your friend, so go sensational if you have to, but be sure you can live up to your claims.

I plan to get into development later on in life, and my ultimate goal is to be the next Donald Trump. What he did on the east coast I plan to do on the west coast. However, I, like him, plan to start with rental property. That's my dream.


and to answer your second question, yes, it is possible to get loans. Just be prepared and make a good presentation for the lender's benefit. Bankers and other lenders want to loan you money, but they'ere smart enough to not throw cash at everything they see, so you have to sell them on it. LEARN TO SELL, BECAUSE YOU ARE ESSENTIALLY SELLING YOUR IDEA TO YOUR LENDER AND IF THEY BUY INTO IT YOU WILL GET THE LOAN! Your first loans will be small (don't go in there expecting to borrow a couple million the first time, but by all means go in there expecting to get the loan) , but as your reputation grows, you will have less and less difficulty securing larger loans. If you have difficulty raising enough capital to buy an asset, talk to people and consider forming a partnership. With several partners sharing ownership and pooling loan money, you can buy larger assets in way less time than it would take to be able to borrow that much on your own.

 

[Ken785]

what do u think are some other very profitable industries to get into to make good money?

building a skyscper? i hope u were kidding....i dont have donald trump money. im just an average student right now. just like the dude that started this thread, i also want to be rich.

 

[Page]

Originally posted by Ken785
what do u think are some other very profitable industries to get into to make good money?

building a skyscper? i hope u were kidding....i dont have donald trump money. im just an average student right now. just like the dude that started this thread, i also want to be rich.

Right now, stick with rental property. it's lower priced for starters,, and you can afford to make a few mistakes without fvcking up the whole thing. After you've got some experience, you can focus on business. I would start with a small hotel, restaurant, or car wash as a first business, and then move up from there.

And, when you do development, you get loans just like any other kind of real estate investment. You hardly ever put up your own money unless there is no other way, so you don't really need to be as rich as Trump to do it..

 

[Ken785]

Originally posted by Page
Right now, stick with rental property. it's lower priced for starters,, and you can afford to make a few mistakes without fvcking up the whole thing. After you've got some experience, you can focus on business. I would start with a small hotel, restaurant, or car wash as a first business, and then move up from there.

And, when you do development, you get loans just like any other kind of real estate investment. You hardly ever put up your own money unless there is no other way, so you don't really need to be as rich as Trump to do it..

i sent out for information for "Microtel Inn's and Suites"

www.microtelinn.com

its thise motel franchise chain. i want to go visit one of them. surprisingly required capital is only $500k.

which is a surprise for such a large piece of property....

 

[Page]

Originally posted by Ken785
i sent out for information for "Microtel Inn's and Suites"

www.microtelinn.com

its thise motel franchise chain. i want to go visit one of them. surprisingly required capital is only $500k.

which is a surprise for such a large piece of property....

again, avoid a franchise at this point, I want you to learn how to build a good business system for yourself. The only way to truly understand business is to completely control your first business and be able to call all the shots. Franchising makes you play by their rules, which is too big a price to pay for the brand name recognition, IMO.


Find a shytty run-down hotel in your area, find the owner (in public records) and make an offer to buy it. Negotiate a price and get a loan to buy the hotel, get a mortgage, fix the place up by taking out a rehab loan, and once repairs are complete, hire staff to run the hotel for you.

 

[A-Unit]

I'll buck the trend.

Don't let people impost limits on you. There are no ceilings.


That said...


I personally have a friend at the age fo 26, began at the age of 21, who is worth over a million dollars, EXCLUDING his personal residence. That's liquid, folks.


How'd he do it?


Sales.


He was 20 years old, took an internship, and was a hard driver. He has succeeded wonderfully in a field which handicaps age, financial services. Last year alone, at the age of 25, in the great state of TX he earned over $200,000. If you live in Texas, you know money goes farther there than it does in other parts of the country, such as New England, Cali, and DC/NY.


He wasn't born of a special background or pedigree. He in fact, has no father, and an alcoholic mother who he has only JUST united with slowly. He had only a college degree, and a desire to succeed. When presented with his canned sales presentation he said "i can sell that," and sell it he did, because in year 3 he was earning 100k, putting him in the top 1% of people his age, and by age 26, keeping him there.


I mention this story because for every 20 people who don't do it, 1 does. And the difference was, the other 20 felt they couldn't, so they never even truly tried.


Did my friend act abnormally?


Sure.

He had no girlfriend when he easily could have.

He worked seven days a week to get over hurdles faster than his competition and his own age restrictions.

His work was his passion and his love. He did it without fail. Yes, he failed, he was ridiculed, he was told his age was too much of a factor. He even lost sales when it seemed they would surely close. Nonetheless, when I've seen him and his accolades, he still nailed over 200k in income and continues to sore.


Now...can anyone do this?


No, only about 5% or less of the world does this, BUT...it can be done. I've witnessed it myself, with my 2 own eyes.


What's the best place for a youngin' like yourself to do it?


Wherever your passion is...that's how. It's a gift to be given upon the world. Albeit, if you're Dirk Diggler, go that route, too.


Point is, you won't know until you try. Some people get lucky and stumble into what they love and are good at. (This is Trump, he had his father to thank for R/E, though Trump did more high end stuff than his father). Or, yet others search around until they find it. And sometimes, it's right in front of you. Heck I've got friends in their 20's earning 100k easily, and have made tons of connections necessary to make it big.


Most people I know that do it right, just put themselves out there. They don't know where a lead would take them, but they take it anyways. They hussle more than anyone else out there, and always ask the question "what more can I do?" instead of "it's not my job." If you want to be invaluable to a company and get more, do more. Don't reject stuff that's not your's, do more.


To me, sales is the back bone of any success. Unless you are fortunate enough to be a lab geek experimenting at home with some revolutionary formula, sales will play SOME role. And sales is just interelations of which you aim to further someone's goals.


You just gotta start. And at first, the opportunity won't appear before your eyes until it's long past been taken. If you miss it and let it go, then you'll only realize in hindsight that it passed. And once you have it, and work it, for some time you won't know what you got until you wake up.



A-Unit

 

[longwood]

Maybe I am trying to go a little to fast but i certainly not waiting until I get out of college to start buying property. As soon as i turn 18, i going to get my real estate license, build my credit, and buy a house.

 

[Page]

Originally posted by longwood
Maybe I am trying to go a little to fast but i certainly not waiting until I get out of college to start buying property. As soon as i turn 18, i going to get my real estate license, build my credit, and buy a house.

Fvck the license. You don't need it. It's actually a hinderance b/c you legally have to disclose it when you deal, and it puts the seller on their guard.

you should definitely work on your credit, but it isn't the most important factor when it comes to getting a loan. However, it never hurts to have good credit.

A house isn't where I would start, either. I would start with a duplex if I was you, b/c if you have a duplex vacancy, you have a 50% occupancy rate as opposed to 0% occupancy rate like you would with a house. Those carrying costs add up fast if there's no money coming in.

 

[Skel]

I didnt really read any other posts but build up your credit, save some money and get into real estate. Either that or join the world poker tour and win

 

[longwood]

Originally posted by Page
Fvck the license. You don't need it. It's actually a hinderance b/c you legally have to disclose it when you deal, and it puts the seller on their guard.

How is having a license more of a hinderance please explain this to me a little more

Originally posted by Page
you should definitely work on your credit, but it isn't the most important factor when it comes to getting a loan. However, it never hurts to have good credit. .

What is the most important factor when it comes to getting a loan? Finding a good property?

Originally posted by Page
A house isn't where I would start, either. I would start with a duplex if I was you, b/c if you have a duplex vacancy, you have a 50% occupancy rate as opposed to 0% occupancy rate like you would with a house. Those carrying costs add up fast if there's no money coming in.[/B]

Now this is something I havn't though of, thanks for the advice

 

[Interpol]

Originally posted by Page

Find a shytty run-down hotel in your area, find the owner (in public records) and make an offer to buy it. Negotiate a price and get a loan to buy the hotel, get a mortgage, fix the place up by taking out a rehab loan, and once repairs are complete, hire staff to run the hotel for you.

This is much riskier than franchising, I don't know why you would recommend it to someone who clearly doesn't know that much in the first place...

 

[ryan killa]

Longwood:

Having a license is a hindrance because, in having one, you are free to look at information regarding a client's home, and when they find out you are an agent, it makes them feel incomfortable because they know you have, of course, information not available to the public regarding their property.

As you said, and I will restate, don't wait 5 years, do this NOW. That is what I'm doing. I just turned 18, and plan on buying a house within the next 5 months.

Oh yea, I live in Windsor, give me a message if you want...maybe we could partner and work on a small project or two, who knows.

Cheers,


Ryan

 

[Page]

Originally posted by longwood
How is having a license more of a hinderance please explain this to me a little more

Okay, by law you have to mention that you have an active real estate license (if you actually have one) when you offer to buy someone else's property. Some people automatically associate agents as being sneaky and manipulative on a subconscious level, so it costs you the necessary rapport you need to leverage a good deal.

Plus, a real estate license does nothing for you if you just want to buy real estate investments. It costs money to renew and it doesn't really give you anything that you need, so for practical reasons alone it is a waste of money. Plus, in the real estate classes you need to get the license, you don't learn anything that you really need to invest, oyu just learn how to sell houses. You will get a lot more useful info out of a book. Does this clarify?

What is the most important factor when it comes to getting a loan? Finding a good property?

Nope. The NUMBER ONE FACTOR is, like I said earlier, the impression you make on the lender and just the way they feel about you in general. For all intents and purposes, your lender is your new best friend b/c they're the ones you have to go to for money. Don't kiss their a$$, but make sure you have a healthy business relationship with them. Get to know the president of the bank you take loans out from and definitely develop rapport on a personal level.

This is much riskier than franchising, I don't know why you would recommend it to someone who clearly doesn't know that much in the first place...

I'm recommending it expressly b/c he doesn't know much in the first place.
The simple reason is that franchising doesn't teach you anything, it's taking the easy route since everything is pretty much done for you in a business sense. Plus, it's not really your business b/c you have very limited control over what you can do, so you don't have any real flexibility and room for experimentation.

 

[longwood]

Originally posted by Page


Plus, a real estate license does nothing for you if you just want to buy real estate investments. It costs money to renew and it doesn't really give you anything that you need, so for practical reasons alone it is a waste of money. Plus, in the real estate classes you need to get the license, you don't learn anything that you really need to invest, oyu just learn how to sell houses. You will get a lot more useful info out of a book. Does this clarify?

You are right if i just wanted to invest in real estate a license does nothing for me, but if i ever wanted to manage some properties some states do require licenses. Also the classes required to get the license would definitly be well worth it. And what book would teach me more useful info?

Originally posted by Page
Nope. The NUMBER ONE FACTOR is, like I said earlier, the impression you make on the lender and just the way they feel about you in general. For all intents and purposes, your lender is your new best friend b/c they're the ones you have to go to for money. Don't kiss their a$$, but make sure you have a healthy business relationship with them. Get to know the president of the bank you take loans out from and definitely develop rapport on a personal level. [/B]

Well i was always taught that the number one factor was the property. That if i found a good enough property that the financing would come. If it's a bad property, i dont care how good my relationship with the bank, or any other type of lender, is, they wouldn't give me a loan.

 

[Page]

Originally posted by longwood
You are right if i just wanted to invest in real estate a license does nothing for me, but if i ever wanted to manage some properties some states do require licenses. Also the classes required to get the license would definitly be well worth it. And what book would teach me more useful info?

I believe that you don't need a license to manage your own property in a lot of states. Check the law. And if you have your own property to manage, why would you want to manage someone else's property? Just forget the license, you will thank me later.

Well i was always taught that the number one factor was the property. That if i found a good enough property that the financing would come. If it's a bad property, i dont care how good my relationship with the bank, or any other type of lender, is, they wouldn't give me a loan.

You were taught wrong.
Even property that is in bad condition is still good property b/c you can often get it for low down or even nothing down. And NEVER underestimate the power of a good banking relationship. As long as a propertry is structurally sound, try and get a loan for it, b/c often a distressed property looks to be in worse shape than it actually is. Banks know this, and that's why they issue rehab loans.

 

[cave dweller]

tip.....

longwood,

I am 58 years old and I will give you a tip.

Pay yourself first.

ie.

When you get a pay check 'peel' 10% to 20% off of the top, put it in the bank, invest it and never touch it.

In a few years you will be rich........

Take my word on this one.

cave dweller