I am currently in my lower 20's and a military officer. I plan on leaving in a few years and I have what I feel an extreme FIRE plan that I'd like some feedback on. I am currently married and my wife and I would like to have our first child post military.
My plan is to buy several 4-6 unit apartment complexes through the next few years. I do NOT plan on actively managing them, but instead hiring a management company to handle the grunt work. This is for two reasons, (1) I have no interest in actively managing them and (2) I plan on working a full time job and would rather spend as little time as possible in the day to day operations of these properties (although I am well aware I cannot be completely hands off and I will still treat this like a business).
From what I have researched, these type of multifamily units are the best for the long term. Your income from them is not solely based on one tenant and you can actually turn a high net operating income with several tenants. To go further into my plan, I would like to have a total of 5 or 6 of these buildings and have them paid off in no more than 15 years. I will do this by taking extra income from the properties and applying it directly to the mortgage. Once these are paid off, I would either sell them for their current value or hold on to them and just collect the rent and retire off either the lump sum or the monthly rental income depending on the current markets.
I know this is a somewhat simplified plan but it is still a working plan and is why I'd like to hear your feedback. Constructive criticism welcome. Anyone with experience in real estate please feel free to put me in my place if this plan doesn't seem realistic.
The reason I say this is sort of an extreme FIRE plan is because the goal would be to retire before age 40. Thanks in advance!
To summarize my plan:
-Accumulate 5 or 6 apartment complexes of 4-6 units in each
-Have a management company run the day to day operations so I can maintain another job
-Have them paid off in 15 years and retire off the lump sum sale of them or off the rental income depending on the current market.
My plan is to buy several 4-6 unit apartment complexes through the next few years. I do NOT plan on actively managing them, but instead hiring a management company to handle the grunt work. This is for two reasons, (1) I have no interest in actively managing them and (2) I plan on working a full time job and would rather spend as little time as possible in the day to day operations of these properties (although I am well aware I cannot be completely hands off and I will still treat this like a business).
From what I have researched, these type of multifamily units are the best for the long term. Your income from them is not solely based on one tenant and you can actually turn a high net operating income with several tenants. To go further into my plan, I would like to have a total of 5 or 6 of these buildings and have them paid off in no more than 15 years. I will do this by taking extra income from the properties and applying it directly to the mortgage. Once these are paid off, I would either sell them for their current value or hold on to them and just collect the rent and retire off either the lump sum or the monthly rental income depending on the current markets.
I know this is a somewhat simplified plan but it is still a working plan and is why I'd like to hear your feedback. Constructive criticism welcome. Anyone with experience in real estate please feel free to put me in my place if this plan doesn't seem realistic.
The reason I say this is sort of an extreme FIRE plan is because the goal would be to retire before age 40. Thanks in advance!
To summarize my plan:
-Accumulate 5 or 6 apartment complexes of 4-6 units in each
-Have a management company run the day to day operations so I can maintain another job
-Have them paid off in 15 years and retire off the lump sum sale of them or off the rental income depending on the current market.
