10 Steps to Become a Millionaire in 12 months by Investing in Real Estate

How would you like to become a millionaire in 12 months or less by Investing in Real Estate? You can do it by investing in real estate! Investing in real estate, whether it’s rental properties or commercial businesses, will allow you to diversify your holdings and make money passively, regardless of the state of the economy. Here are 10 steps to help you get started on your journey to becoming a millionaire.

1. Save 20% of your income

It’s easier said than done, but if you want to make saving for retirement easy, it helps to set up your accounts so that you save 20% of your income automatically. And, thanks to tax deductions and compounding interest, over time that 20% could turn into a lot more money. So no matter what your salary level is right now, aim for saving at least 20% of your income each month. If you need motivation, remember that today’s 20% will be tomorrow’s million-dollar nest egg.

2. Build a passive income stream

Today, most people work just to make ends meet, but living a life of working for money instead of a life of making money is foolish. The wise know that one of your primary goals as an entrepreneur should be creating a passive income stream: that way, you can work once and reap profits repeatedly over time. This may seem like a difficult task at first, but it's not impossible; real estate investment is an effective means toward building passive income. By investing in real estate with your business partners or on your own, you're able to purchase properties that generate cash flow right away—and then collect regular checks for years on end without lifting another finger.

3. Set short-term goals

Short-term goals are just that - short-term. Don't look too far into your future when setting goals; you'll only stress yourself out and make things more difficult than they need to be. Instead, set goals that are specific, measurable, attainable, and realistic - also known as SMART goals.

4. Invest aggressively in real estate

Just as important, however, is investing aggressively in real estate. While it may seem counterintuitive to invest in real estate during an economic downturn – when many people are selling property – it’s actually your best bet for long-term wealth building. Why? It all comes down to simple supply and demand: during an economic downturn, there are fewer home sellers on the market which drives prices up for homeowners looking to sell and makes properties more affordable for new buyers. In addition, real estate assets can give you increased exposure to equities markets without taking on additional risk or worry about volatility or diversification... if you know what you’re doing.

5. Start a Real Estate Business Online

To become a millionaire, it helps to start your real estate business online. Real estate is one of my favorite business models because it’s scalable and passive; I do not have time to meet all my potential buyers face-to-face, but I can easily reach thousands online. Using automated tools, such as social media or email marketing, you can leverage your time so that you're working on what you want, when you want. With a little bit of entrepreneurial savvy and knowledge about how real estate investing works, you'll be well on your way to becoming a millionaire within a year or two. And who knows? Maybe eventually that billionaire status isn't out of reach either. That’s right: Warren Buffett began as an entrepreneur looking for his first million dollars!

6. Work on eliminating debt

Write down your debt and its interest rate. Then start working on getting it paid off as quickly as possible. It might be difficult, but you’ll sleep better at night knowing you have less money owed. For example, if you have $5,000 in credit card debt at an 18% interest rate and only make minimum payments each month, it will take you more than 10 years to pay it off and cost you more than $8,500 total! And that’s not including any additional money needed for taxes or other emergencies. If eliminating debt is one of your goals for becoming a millionaire—as it should be—then be honest with yourself about how long you’ll realistically need to pay it off before moving on.

7. Move out of your parents’ house

If you’re living at home, it’s time to move out. You don’t need your parents’ permission or approval, but it is important that you understand why they might not be so willing: They want you out of their house. And if they do take on some of your financial responsibilities, such as your car payment and your student loans, that amount is likely added onto whatever else you owe them for rent and utilities. Moving out will make sure none of those issues come up when planning for your future millionaire status! Just know that if you choose to still live with them after college—even if they are paying off some of your debts—it can significantly slow down how quickly you become a millionaire.

8. Become financially independent at age 30 or younger

You can become financially independent at any age—it just takes some hard work and discipline. To reach financial independence at age 30 or younger, you have to have enough money coming in that you can take out 3% per year for living expenses and reinvest all of your remaining funds into an investment portfolio for growth. You’ll need about $5 million invested across various asset classes: corporate stocks, government bonds, real estate, mutual funds and so on.

9. Save 100% of your bonuses, gifts, and tax returns

The best way to save $1,000,000 is by saving 100% of your bonuses, gifts, and tax returns. You will have thousands of opportunities to spend money throughout your life but you can avoid temptation if you have a plan for your money. I’m not suggesting that you become a miser and never enjoy life; I am simply telling you that it is possible for you to reach financial freedom in as little as 5 years without having any day job or without becoming an expert at anything other than being frugal. Here are ten simple steps that can get you started on your path towards financial freedom

10. Get out from under the burden of student loans

The average student debt is an astonishing $29,000. Take action now and get out from under the burden of student loans before you reach retirement age. It's one of the best things you can do for your financial future. So start today and invest for your future by purchasing real estate or becoming an entrepreneur. Either way, as long as you don't think like everyone else, you'll soon realize that being rich is less about money than it is about being different. The process begins with making a plan and then putting that plan into action—no matter how difficult the situation may seem at the time. After all, what better time to start thinking outside of the box than when your back is against it?