How Rose Han, a Millennial Millionaire, Invests Her Money: Stocks and Real Estate

From Student Debt to Financial Freedom

Rose Han’s journey from a first-generation Korean-American to a millionaire is nothing short of inspiring. Her parents migrated to the U.S. when she was just a toddler, and from an early age, she felt the weight of their sacrifices. “It was really, really ingrained in me to go to a good school, whatever the cost,” she shared in an interview with Business Insider. This determination led her to NYU, but it also came with a hefty price tag—nearly $100,000 in student loans and credit card debt.

In her early career as a financial analyst on Wall Street, Han initially struggled with her finances, often indulging in impulsive spending on clothes and nightlife. “I felt a lot of shame, and I was overwhelmed by my debt… like it was never going to go away,” she recalled. However, everything changed during what she calls her "financial awakening," a moment that propelled her to take control of her financial future.

The Turning Point: Tackling Debt and Investing

In 2014, Han made pivotal changes. She began negotiating her pay, aiming to increase her income while simultaneously reining in her expenses. The goal was simple: any extra funds would go straight toward her debt and investments. “I got really mindful about my spending,” she emphasized. Focusing on both income and spending proved to be vital in her path to financial independence.

Building Wealth: Side Hustles and Smart Investments

Once her debts were manageable, Han’s financial journey took off. She initially cleared her high-interest credit card debt and then dived into investing while still paying off her student loans. Her first side hustle involved freelance bookkeeping through Upwork, which grew into a successful financial literacy business. Today, her revenue comes from online courses, affiliate marketing, and her popular book.

“It exploded for me when I started my own business,” she noted. Han’s net worth skyrocketed as she channeled her earnings into investments.

Investing Smart: Stocks and Real Estate

Stock Market Strategy: Index Funds and Dividend Stocks

When it came to her investment strategy, Han took a very calculated approach. Initially tempted by the thrill of picking individual stocks, she shifted her focus to long-term investments after learning about the FIRE (Financial Independence, Retire Early) movement.

“I realized I take enough risk in my career, so I’d like my investments to be automated and boring,” she explains. Her primary investments include:

• Vanguard Total Stock Market Index Fund ETF (VTI)
• Vanguard Total International Stock Index Fund ETF (VXUS)
• Vanguard Real Estate Index Fund ETF (VNQ)

Additionally, Han also owns Berkshire Hathaway (BRK.B) and Coinbase (COIN), supplemented by dividend-paying stocks, which she describes as "the laziest income stream."

Real Estate Ventures: Long-term Rentals

In 2022, Han ventured into real estate by purchasing rental properties. While traveling in a converted camper van, she connected with real estate brokers in Las Vegas. After conducting her due diligence, she was able to identify cash-flowing properties in a market ripe for investment.

“I know I could make a lot more with Airbnb and short-term rentals, but it’s not worth the extra headache,” she notes, opting instead for long-term tenants in properties located in Las Vegas and Mexico City. This approach reflects her preference for safer, consistent income streams.

Exploring Riskier Investments

Han allocates a small portion of her portfolio to cryptocurrencies like Bitcoin and Ethereum, as well as a bit of options trading. While many advocate for riskier investments, Han remains grounded in her long-term vision. “I prefer to drown out the noise and play the long game,” she advises.

Conclusion: A Model for Financial Independence

Rose Han’s story is a powerful testament to the importance of financial education, strategic investment decisions, and resilience. By focusing on income, cutting expenses, and investing wisely, she transformed her financial landscape—now boasting a net worth in the seven-figure range.

Key Takeaways

• Negotiate your salary and explore side hustles for additional income.
• Focus on budgeting to control your expenses effectively.
• Favor index funds and dividend stocks for long-term financial growth.
• Consider real estate investments for consistent cash flow.
• Diversify with a small portion of riskier assets like cryptocurrencies.

For those seeking a roadmap to financial freedom, Han’s journey is a compelling guide filled with actionable insights and strategies. Are you ready to take charge of your financial future?