I read once that to become an expert in any subject you should read 7 books on the matter. Since reading that quote, I have made reading personal finance books as important of a goal as making and saving as much money as possible.
Owning rental properties is a pin on the map of how I plan to become a millionaire before I retire.
That map looks like this:
- Contribute to Employer Matched 401(k) Plans
- Eliminate all debt with higher than 4% interest rates
- Save for retirement
- Buy Rental Properties
- Max out Roth IRA contributions
- Max out 401(k) contributions
Step 1 has been done for a while now. You may have noticed that I have talked in depth about Step 2, and nothing at all yet about Step 3. In fact, Step 3 is very murky because I haven’t studied these goals at all. If I want to be a landlord, why haven’t I expended the same devotion to learning how as I have with my debt free journey?
The One Thing
“What is the one thing you can do, such that by doing it makes everything else easier or unnecessary?” That is a line you will hear time and time again if you have delved in to the subject of mono-tasking as told by Geoff Woods, Jay Papasan, and Gary Keller. I have learned a lot from listening to the podcast called The One Thing, the most important of that being that I do not yet have the right to adjust my laser focus from the one thing that I can do now (get out of debt) to what I want to do later (buy rental properties).
I do not allow myself to get in touch with the real estate agent to ask about rental properties being sold in my area. I don’t go looking on Zillow for potential homes. I don’t contact my chosen property management company that will be getting our business in a few years. All of these things if done right now would only distract my focus from my One Thing which is getting out of debt.
I am not heading in to my future completely blind. I have an idea of what I would like to happen after I am out of debt, I just don’t actively work on those things.
Once I have paid off all the debt has higher than a 4% interest rate, I will then start reading books on becoming a landlord while I save up money for the down payment on our first rental property. Even though I haven’t yet earned the right to even think about buying rental properties, I do have a list of books that I would like to read once I decide that I have earned the right to do so:
- Retire Rich with Rentals
- Real Estate Investing Gone Bad
- Investing in Real Estate
- Hold – How to Find, Buy, and Rent Houses to Produce Wealth
- First Time Landlord
I have a long list of books that I want to read regarding self-improvement and personal finance as well. Self-Improvement may seem like it would also be a distraction from personal finance, but I think the self-improvement books help me to live a happier life which will help me make more money for a longer period of time which helps me get out of debt. Here are some of the self-improvement books on my list:
- The Power of Nice
- The Miracle Morning
- The Power of Habit
- Moon-walking with Einstein
- You Only Live Once
- Man’s Search for Meaning
Personal finance keeps me inspired and focused on the goal at hand. Here are some books from that list:
- Secrets of the Millionaire Mind
- Automatic Millionaire
- The Two Income Trap
- The Millionaire Teacher
- I Will Teach You to Be Rich
I share my favorite quotes from the books I’m currently reading on my Instagram page (@networthnegative). I decided to share them on my blog as well, so look out for these posts. I will name them “Lessons I Learned from The Richest Man in Babylon” or maybe “Favorite Quotes from Rich Dad Poor Dad”
I started to write a post like that tonight but I thought I would first share my modus operandi to becoming not only net worth positive, but a millionaire as well. I’m looking forward to these posts!