The pufferfish is the fugu in Japanese or bogeo in Korean and can be lethally poisonous if prepared improperly. Only chefs who are licensed can prepare the dish and rigorous training takes three to four years. Now consider the consequences of bad a bad pufferfish dish. The symptoms from ingesting a lethal dose of tetrodotoxin begin with dizziness, exhaustion, headache, nausea, and move into extreme difficulty breathing. While you are conscious, you cannot speak or move and breathing stops and asphyxiation follows.
How about real estate and the flipping of homes. Lots of television shows and articles galore tout the rags to riches of many who bought low, fixed it up, and made a killing.
Regardless of the facts and figures, far too many homeowners, who are barely able to keep their house in good working order, have felt the need to buy, repair, and flip. Good intentions and a higher level of interest does not make a business.
Despite what the blowhard gurus tell you, owning individual real estate is a high-risk business with low margins for many. The risks are plentiful. Although everything is fixable, it's always a matter of cost, and it will cost you far more money if you do not do it yourself, but the tradeoff is time and effort. This leads me to ask the question, and this is primarily for those who are "retired" and living in friendly hometown communities: Why? Why would you risk so much at this time in your life? If this is a passion and job, then you are not retired, but rather, financially independent and off doing the next business venture. Always remember and never forget that full retirement equals death, entertainment retirement is doing what you like and spend money doing, and an active retirement is doing what you like, are good and profitable at, and can control. In other words, you reached financial independence and refocused or changed course but continued to build and grow from the basis of "why not?"
Before you dive into "Puffer-Land," consider everything that can go wrong and your capabilities to handle and fix problems and remember:
If you want to own real estate but without the concentrated risk of individual land, homes, or commerical property, become a guest and ask to view our video: A True Fiduciary Approach to Real Estate Investment Trusts.