Help Please!!! Career Direction

[TMNT]

sorry to have such a selfish thread on here, so I put it in Coffee Lounge

My background for those that dont know
Age: 39
Status: Single/Divorced with 3 kids that I have pretty much sole custody of
IPs: a few
Passive income: Approx $800 -$900 per week on a good year, $600 -$700 per week on a bad year (ie lots of maintenance/vacancies)
Job: part time

Firstly, I enjoy my job, its flexible, its easy, it pays ok,and i am good at it. My true passions are property though. As my kids are getting older and independant, and having less time for me as they do, I want to give another shot at my life, I did a business before in a gym that was cut short because of my exwife.

My current passions are scouring the country for good buy and hold deals, good buy and renovate deals and Development sites.


Here are the options ive considered with comments:

1. Do nothing and live off rent and equity:
No thanks, far too young to do that, and although I could probably retire to some beautiful country, if I can do what ive done so far, I can definitely replicate it

2. Conveyancing:
No thanks, the amount of grief that I see my conveyancers go through,plus all the paper work plus the job is very unsatisfying

3. Mortgage Broking:
Maybe, the brokers I use do a good job, but im not too sure putting in say 30 hours per week will cut the mustard in the industry unless im so damn good at it

4. BA
I do buy on behalf of my friends but all accross the country, so I doubt I will have the patience/resources to get a BA license across the 4 states that I operate in. Unless there is another way to get around the different laws

5. a property education business
This interests me, however, im getting the feeling, people will think its a OTP selling business which doesnt interest me. I also feel that even if I start with a genuine property education business, eventually I will be forced or lured into selling OTP which I may as well become a used car sales man and change my name to Luigi. But i feel that I will lose my passion for it as I wont be in the action of finding deals and transactions, and will too busy teaching people, which I dont mind, but dont want it to become 24/7. Plus its far riskier in terms of business success

6. JVs
Keep on doing JVs for bigger and bigger projects for developments

7. buy a business such as Aust Post or something that will give me good cashflow and is relatively safe and established as compared to starting one from scratch which you might as well go to the casino and put it on Black,in terms of realistic % of success in starting a small business from scratch

so far 6 seems to be the safest, rewarding and to fit my persona. I dont see any problems except the fact that my income may be sporatic, however, every step in life is not perfect, life is not perfect.

My life has had its ups and downs, and at present is on a huge up which I am grateful for, but I would like to push the boundaries!!!

Thanks everyone

 

[moyjos]

6. JVs
Keep on doing JVs for bigger and bigger projects for developments

if this is the thing that sparks your passion do that

What about looking at some study to align with your developing? maybe project managing ,drafting or building certificate.

 

[devank]

I would personally pay a nominal fee to a 'local expert' to visit a house I'm interested in and give me their honest opinion. A bit more 'strategic' inspection than a building inspection. Is this worth considering?

 

[mflying]

JV

and

keep investing in prop!

i can understand your situation!!.. i am in similar sort of situation of Give up job and continue developing prop full time.

or

Buy a small business for cash flow and do property development!

 

[jackbak]

7. buy a business such as Aust Post or something that will give me good cashflow and is relatively safe and established as compared to starting one from scratch which you might as well go to the casino and put it on Black,in terms of realistic % of success in starting a small business from scratch

Small businesses don't fail because they are a small business, they fail because of poor management. If you do your research beforehand, run it professionally and give it 100% it's nothing like going to the casino and putting it on black. I would argue that buying an Aus Post is gambling - your future is not in your hands and is dependent on other parties.

 

[Beanie Girl]

My current passions are scouring the country for good buy and hold deals, good buy and renovate deals and Development sites.

6. JVs
Keep on doing JVs for bigger and bigger projects for developments

Definitely a BA that puts together property deals, both buy/hold/renovate and JVs for others.
Most BAs stick to the capital cities for houses and apartments.
Your niche seems to be knowledge of the road less travelled, (country and regional cities) or the willingness to travel to uncover hidden gems and jewels on the paths less trod.

Alternatively, have you thought of training to be a valuer? I don't know how much study it entails but Valuers seem to also travel a fair bit and get to hone their skills at valuing a particular property in particular market conditions. Might also be a stable income (not that you don't have a good passive income atm. So jealous! well done! )

 

[ok180]

Your are living off rent it seems TMNT. You need to share your story with others.

http://somersoft.com/forums/showthread.php?t=94994

 

[coastal]

Why not buy reno and flip a few properties each year and aim for 50 k profit off each deal.

You have the skills set to do so.

 

[D.T.]

I could be confused with someone else, but dont you PM your own properties? If so, considered PMing as a job or biz?

 

[fernfurn]

One job I would love to do if I could be bothered workingn would be finding properties for overseas people who want to settle in Australia. I know it is big time in England and USA but doesnt seem to have taken off here

 

[TMNT]

if this is the thing that sparks your passion do that

What about looking at some study to align with your developing? maybe project managing ,drafting or building certificate.

yes definitely passionate about it,can get out of bed with a bounce for that,
as for study, im a bit over it to be honest...

I would personally pay a nominal fee to a 'local expert' to visit a house I'm interested in and give me their honest opinion. A bit more 'strategic' inspection than a building inspection. Is this worth considering?

hmm thats an interesting idea, what do building inspections cost $400-$500?

maybe for $600 you could do a all in one, eg Build, pest, cosmetic, plumbing/elec (obviously im not qualified but you could give an indication of whether the lights/plumbing appear to be working

so more then a specialised report, a more for the investors report, so they can get a gauge of what they are looking at in terms of renos or work needed!

very interesting

JV

and

keep investing in prop!

i can understand your situation!!.. i am in similar sort of situation of Give up job and continue developing prop full time.

or

Buy a small business for cash flow and do property development!

yay, we are in the same boat, the problem with a small business is that it will take a lot of time, and if its a cheap business then cashflow is poor, if its expensive then cash is good but time may be poor unless its fully managed

Small businesses don't fail because they are a small business, they fail because of poor management. If you do your research beforehand, run it professionally and give it 100% it's nothing like going to the casino and putting it on black. I would argue that buying an Aus Post is gambling - your future is not in your hands and is dependent on other parties.

I would disagree with that, the post isnt going anywhere,sure the emergence of new technologies is going to change the system, eg everyone predicted that the mail system would become redundant because of emails and since nobody sends letters any more, but we saw the emergence of shipping via online. As for small businesses, im talking small start ups or even shortly established ones, one little change in the ecnonomy, one staff member quitting, one competitor opening up next door and your business is gone. I doubt the majority of the 90% of business closing in the first 5 years are due to laziness, incompetence etc. etc. etc. Especially with rather high fixed costs of staff/rent etc. one small drop in sales for whatever reason is going to kill teh business. The larger ones and hte franchises are far safer because they have systems and marketing in place

Definitely a BA that puts together property deals, both buy/hold/renovate and JVs for others.
Most BAs stick to the capital cities for houses and apartments.
Your niche seems to be knowledge of the road less travelled, (country and regional cities) or the willingness to travel to uncover hidden gems and jewels on the paths less trod.

Alternatively, have you thought of training to be a valuer? I don't know how much study it entails but Valuers seem to also travel a fair bit and get to hone their skills at valuing a particular property in particular market conditions. Might also be a stable income (not that you don't have a good passive income atm. So jealous! well done! )

yeah!! another good idea, but as I mentioned before, unless its like dealfinder, I need qualifications in each state, and im not wiling to become a REA for two years in VIC, and yes a valuer may be ok, but im not too sure how good the $$$ is!!

Your are living off rent it seems TMNT. You need to share your story with others.

http://somersoft.com/forums/showthread.php?t=94994

Will do!!

Why not buy reno and flip a few properties each year and aim for 50 k profit off each deal.

You have the skills set to do so.

agree, $50k per deal is quite reasonable, do 4 per year, thats $200k, but unfortunately, I dont like selling, have yet to sell any, although the equity and yields are great, refinancing frees up heaps of cash for the next deal,however, my strategy is to live fairly frugally and put all teh $$$ into leverageing for my future!!!!

I could be confused with someone else, but dont you PM your own properties? If so, considered PMing as a job or biz?

hell no!! thats not me, have never PMed, and id rather stick pins in my eyes, I have a high respect for PMs!!!!




Thanks for input so far everyone,

 

[pursefattener]

Maybe become a celibate priest ????

 

[Deltaberry]

Ask yourself this.

Are you content being a big fish in a small fish tank?

Or would you like to be a small fish swimming in an ocean?

 

[TMNT]

Ask yourself this.

Are you content being a big fish in a small fish tank?

Or would you like to be a small fish swimming in an ocean?

id rather be a great white shark in the ocean

but obviously its not going to happen for the majority,

also, what exactly is YOUR point on the above, I think it can be interpreted in many different levels and ways

 

[devank]

Are you content being a big fish in a small fish tank?

Or would you like to be a small fish swimming in an ocean?

What are the chances of survival if you choose to be the small fish in an ocean?

 

[jackbak]

I would disagree with that, the post isnt going anywhere,sure the emergence of new technologies is going to change the system, eg everyone predicted that the mail system would become redundant because of emails and since nobody sends letters any more, but we saw the emergence of shipping via online. As for small businesses, im talking small start ups or even shortly established ones, one little change in the ecnonomy, one staff member quitting, one competitor opening up next door and your business is gone. I doubt the majority of the 90% of business closing in the first 5 years are due to laziness, incompetence etc. etc. etc. Especially with rather high fixed costs of staff/rent etc. one small drop in sales for whatever reason is going to kill teh business. The larger ones and hte franchises are far safer because they have systems and marketing in place

I think you'll find that many of the reasons you've provided for small business failing are down to management. Having your business reliant on one staff member is bad management not bad luck, a good manager will be able to cover a staff member leaving until they find a replacement. And if you can't compete with a competitor opening up in the area then you're uncompetitive and don't have a point of difference and are being beaten by a better business. The major part of being a successful entrepreneur is being able to identify markets that wont be affected by "one little change in the economy, one staff member quitting, one competitor opening up next door". This is what separates the good from the bad.

In my small local shopping centre the latest business to close its doors is a hairdresser - it shut down after 6 months - there are 3 other established hairdressers in the shopping centre - is that bad luck or was it a bad idea to open in the first place? Another business that is struggling is the fruit & vege shop - they opened 4 doors down from Safeway - I don't think that's just bad luck, I think they were stupid to open 4 doors from a Safeway... I could go on.

Speaking from experience start-up businesses can be highly rewarding but you need to start the right business and you need to do it better, cheaper and/or faster than the rest.

 

[Deltaberry]

id rather be a great white shark in the ocean

but obviously its not going to happen for the majority,

also, what exactly is YOUR point on the above, I think it can be interpreted in many different levels and ways

The point was, if you maintain the status quo, then you'll be a big fish in a very small pond (probably a fish tank actually). This usually means you can chillax in life, take it easy but make no mistake, you're only the king of your domain which is a pond/fish tank.

Or you could take the view that life is too short and go explore the various depths of the world (ie chase the dollar in more high-paced environments/high-risk arenas). Of course, as mentioned by another poster, chances are small fish die and get eaten up. But at least you can aspire to be a great white shark. A fish tank can't fit a great white shark.

There's nothing particulary wrong with choosing either lifestyle. It's all about what you what, what your values are, your ambitions etc.

 

[devank]

Speaking from experience start-up businesses can be highly rewarding but you need to start the right business and you need to do it better, cheaper and/or faster than the rest.

What would you say about Masters when Bunnings have dominated the market?

 

[jackbak]

What would you say about Masters when Bunnings have dominated the market?

Nothing. Aren't we talking about small business?

 

[TMNT]

The point was, if you maintain the status quo, then you'll be a big fish in a very small pond (probably a fish tank actually). This usually means you can chillax in life, take it easy but make no mistake, you're only the king of your domain which is a pond/fish tank.

Or you could take the view that life is too short and go explore the various depths of the world (ie chase the dollar in more high-paced environments/high-risk arenas). Of course, as mentioned by another poster, chances are small fish die and get eaten up. But at least you can aspire to be a great white shark. A fish tank can't fit a great white shark.

There's nothing particulary wrong with choosing either lifestyle. It's all about what you what, what your values are, your ambitions etc.

At least we are on the same wavelength

The way I see it, there is no point in looking endlessly up or down,

There is always a lot of people who are going to be better then you unless you are truly a superstar at it

I hear a lot of "at least you have your health" or "at least you aren't one of those starving kids in Africa" which is all true however, if you kept on looking that far down, then you'd never get anyhthing done nor would young motivated to do.anything in life

Just like if you look too far up and your aim in life was to be as rich as bill Gates for example, then you would never be happy cos let's face it, none of us are going to be worth 1% of his net worth combined over 10 generations