$10,000/mth Passive Income

[Balane Frece]

Looking for suggestions on how to take money out of stocks, invest into real estate, and maximize passive income :)

GOAL: $10,000 passive income per month

WHY? To leave our W2 jobs, travel, and spend more time with family

HAVE: Here's a list of what we've achieved so far :) 

1) $600,000 in liquidable stocks/bonds as well as $50,000 in retirement funds

2) $170,000 in annual wages (mix of W2 and 1099 employment) 

3) Ability to become accredited investors (my boyfriend's father is qualified and would support us) *I bring this up in case there is an investment strategy you know of that is only accessible by accredited investors* 

QUESTION: If you had the situation above, how would you most quickly reach the $10,000/mth passive income? Managed rentals? Private money lending? What other strategies do you know of? Keep in mind we work 40 hrs per week each so passive is key! THANK YOU! 

Best, 

Balane :) 

[Ivan Barratt]

@Balane Frece Lot's of info and insight here already. The answer is simple: if you want a 120k/year in passive income you'll need approximately 1 to 1.2 million of real estate equity earning 10 to 12%. If you aim much higher than this you'll likely end up speculating and putting your hard earned cash at great risk!

In order to execute well you'll need a lot of education in evaluating deals and their sponsor since your first rule is DON'T LOSE MONEY!! Rule #2: Remember rule number 1! Rule #3: figure out how to get yield without much risk. :)

Also, you'll need to continue to work the income funnels (w2 and 1099 earnings) and use the excess cash from earnings and cash flow from passive income to reinvest in the machine.  This will help accelerate the timeline!

All this is simple however it's anything but easy. That's why very few are able to do it!

First step; have the discipline to evaluate 100 private offerings before doing one deal! It's the same concept as looking at 100 rentals before buying one. Also, at this stage in the cycle many people are taking too much risk. Be careful and don' t be in a hurry!

Get educated first!!