Hey everyone, welcome to today’s post on the gritty truth of starting a real estate investing business. We’re switching gears a bit today to talk about what it’s really like to get started in this space. Often, we see the success stories of those who “made it,” but we rarely get the full picture of the hard work and struggles involved. Today, we’ll shed light on these challenges with insights from Chase Howard—a dedicated real estate investor who’s in the thick of it.
Getting Started: The Reality Check
Too often, people think that success in real estate comes easily and quickly. You hear seasoned investors mention hard work, but many assume it’s exaggerated for effect. The truth is, real estate investing requires extreme dedication, long hours, and often, working through weekends and holidays.
Chase Howard, for instance, dedicated himself to working 15-hour days, seven days a week, in the initial phase of his career. This included showing houses on Christmas Day and sacrificing personal time. It’s not about sounding cool; it’s the reality of the grind necessary to build a foundation in this industry.
Chase’s Journey: From Oil Fields to Real Estate
Before diving full-time into real estate, Chase worked for AT&T and then spent six years in the grueling oil industry. These jobs required long absences from home and missing important family events. While in the oil field, Chase observed his colleagues who made substantial incomes but failed to manage their finances wisely. This experience prompted him to seek a more stable and sustainable financial future.
First Steps in Real Estate
Chase bought his first rental property while still working in the oil fields. He and his wife spent months renovating it themselves, learning the ropes of real estate investing the hard way. The satisfaction of generating $250 in monthly cash flow from that first property spurred him to explore more opportunities in real estate.
Teaming up with a partner, Britt McMullen, they tackled their first significant project together—a foreclosed property that needed serious work. This partnership was the spark that ignited their business, combining their skills and resources to flip houses and build a portfolio.
Facing the Challenges Together
Partnerships in real estate, much like any other business, come with their unique set of challenges. It’s crucial to define roles clearly and ensure that each partner contributes effectively. Chase and Britt initially found themselves overlapping in responsibilities, which led to inefficiencies and friction.
To streamline their operations, they created an accountability chart, assigning specific roles to each partner. Chase took on the visionary role, focusing on big-picture strategies, relationships, and marketing. Britt handled the integrator role, focusing on day-to-day operations, finances, and execution.
Working With Your Life Partner
The grind of real estate doesn’t just affect business partners; it can strain personal relationships as well. Spouses or partners not involved in the business may struggle to understand the long hours and inconsistent income. It’s essential to have open communication and set realistic expectations.
Chase and his wife faced these challenges head-on. She struggled with the irregular cash flow despite seeing properties come and go. It’s a tough balancing act to keep your partner informed while managing the financial ups and downs of the business.
Wrap-up
Starting a real estate investing business is far from the glamorous success stories often portrayed. The journey involves immense dedication, long hours, and significant sacrifices, both personally and professionally. Chase Howard’s experience highlights the gritty reality of this industry—from working 15-hour days to navigating the challenges of partnerships and personal relationships.
It’s a testament to the resilience and commitment required to succeed in real estate. For those willing to endure the initial grind, the rewards can be substantial, but it’s crucial to approach this path with clear expectations and a solid support system.
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