IronGoat
New Contributor
- Joined
- Mar 10, 2022
- Messages
- 6
Rep Bank
$65
$65
User Power: 117%
Hello everyone. I'm new here and I'm interested in the opinions of savvy investors and entrepreneurs on my situation.
Upon the sale of a rental property I stand to make about $250k net after tax and commissions.
For a bit of history, I had my FTE last summer and left a six-figure career to become self-employed as a manufacturer's rep in November doing B2B sales. As you probably know, getting paid as a rep can take some time. The sale is made, then it must be delivered, then the customer pays your principal, and then finally your principal pays you...this process can take anywhere from 3 to 6 months, depending on a variety of factors. My wife also had her FTE and left her six-figure career to go full time as a realtor earlier this year.
As I began to think about what I'd do with the money, I came up with a few options:
All this said, what would you do with $250k? Thanks in advance for your suggestions.
Upon the sale of a rental property I stand to make about $250k net after tax and commissions.
For a bit of history, I had my FTE last summer and left a six-figure career to become self-employed as a manufacturer's rep in November doing B2B sales. As you probably know, getting paid as a rep can take some time. The sale is made, then it must be delivered, then the customer pays your principal, and then finally your principal pays you...this process can take anywhere from 3 to 6 months, depending on a variety of factors. My wife also had her FTE and left her six-figure career to go full time as a realtor earlier this year.
As I began to think about what I'd do with the money, I came up with a few options:
- Buy a business. I currently live in CA and I'm not a fan, but I have personal commitments that prevent me from moving. The goal is to pick up stakes and get out of here in about two years, so anything brick-and-mortar wouldn't work in the near term, so perhaps something in e-commerce. I already have a print on demand side hustle and I am copywriting as well, so it would have to be passive or lucrative enough for me to justify me dumping one of the other gigs (preferably the copywriting, as it takes a lot of time).
- Liquid investment with a low rate of return. There's uncertainty associated with the 100% commission gig that I'm currently engaged in, and it would be nice to have additional cushion to fall back on during the lean months. My wife is less of a gambler than I am, so a $250k parachute would help keep her from worrying about money, but having that money lose value during this hyper-inflationary period isn't desirable.
- Dividend stocks. I was reading an article where someone with a similar investment of around $250k claimed to be making roughly $2700/mo in passive income. I'm no whiz at stocks, so picking the right portfolio to match this performance could be challenging.
- Crypto. I hopped on the crypto bandwagon at the height of the market last spring and after suffering some losses, my portfolio is back to where it started. As much as I like crypto, in my opinion there's a significant amount of uncertainty in this market now that it has the attention of politicians, governments have successfully frozen people's crypto assets for disagreeing with public policy, increasingly haphazard and uninformed regulation, and now lawsuits against exchanges, etc. by jilted investors. Not saying I'm done with this market, but I'm not sure how much more I want to invest in it in the near term.
- Buy another property. While it was a write-off, the property being sold barely netted a couple hundred dollars a month after expenses, and then in between renters I was often out a few grand for new carpet, etc. I could pay cash for a property in a different state (can't get much for $250k here in CA) and have nearly 100% cash flow each month, but I'm concerned that we're at the height of this real estate market and the Fed is going to start jacking interest rates to combat this inflation. I bought the property at the height of the boom just before the bubble popped in 2008 and it's been a wild ride that I'm not too keen on repeating.
All this said, what would you do with $250k? Thanks in advance for your suggestions.
Dislike ads? Become a Fastlane member:
Subscribe today and surround yourself with winners and millionaire mentors, not those broke friends who only want to drink beer and play video games. :-)
Membership Required: Upgrade to Expose Nearly 1,000,000 Posts
Ready to Unleash the Millionaire Entrepreneur in You?
Become a member of the Fastlane Forum, the private community founded by best-selling author and multi-millionaire entrepreneur MJ DeMarco. Since 2007, MJ DeMarco has poured his heart and soul into the Fastlane Forum, helping entrepreneurs reclaim their time, win their financial freedom, and live their best life.
With more than 39,000 posts packed with insights, strategies, and advice, you’re not just a member—you’re stepping into MJ’s inner-circle, a place where you’ll never be left alone.
Become a member and gain immediate access to...
- Active Community: Ever join a community only to find it DEAD? Not at Fastlane! As you can see from our home page, life-changing content is posted dozens of times daily.
- Exclusive Insights: Direct access to MJ DeMarco’s daily contributions and wisdom.
- Powerful Networking Opportunities: Connect with a diverse group of successful entrepreneurs who can offer mentorship, collaboration, and opportunities.
- Proven Strategies: Learn from the best in the business, with actionable advice and strategies that can accelerate your success.
"You are the average of the five people you surround yourself with the most..."
Who are you surrounding yourself with? Surround yourself with millionaire success. Join Fastlane today!
Join Today
