How do I scale my portfolio?

[Daniel Lehrman]

My goal is to generate $10,000 in monthly passive income in 10 years.  

I currently have $30K ready to invest.  It's taken me 2 years to save this up.  

In my area (Phoenix, AZ), I could househack or a BRRRR, but it's unlikely to cash flow with comfortable margins because of the price/rent ratio in A-B neighborhoods of Phoenix.

I'm thinking I'll do some flips here in Phoenix and then eventually invest money into Turnkey investments in the Midwest, where cash flow is way better. 

The problem with turnkey is they require 25% down, so it would take a long-*** time to hit my goal of $10K per month.  

Am I missing something? 

I've heard people that buy 1 property the first year, 2 the second, 4 the third, etc.  But I don't understand how the financing works for that... can someone explain that to me please?

I understand BRRRR is a way to acquire property and potentially retain cash, but it's infinitely more complicated investing out of state. Does anyone do this without any previous connections in that state?

I appreciate the help!

[Al Williamson]

Hey @Daniel Lehrman

I like your goal. It's very realistic!

I've been documenting that it's possible to generate a $10K monthly net income within 2 years using rental arbitrage.

I've been making videos and time stamping them so NO ONE can say I'm a guru or faking it.

When the market's hot, like it is in CA, I think rental arbitrage makes the most since.

So what I'm doing is RENTING small apartment units/cottages from other landlords and converting them into short-term corporate housing rentals.

I started with $10,000 in cash and used $2,800 to set up my first unit.

I saved all my profits until I was able to set up another unit. Then I saved the profits from the two units and set up a third. And so on...

I'm on Month 13 and I have 9 units that produce $7,160 of net income per month. And this whole strategy is debt-free investing because I pay as I go.

It looks like I'll be able to take a $10K monthly distribution and hire in a manager in Month 17.

Anyway, I hope that helps. 

I wanted to add a very doable concept to your list of ideas.