How to generate 40k passive income monthly in 20 years

[Sue Zikria]

Dear Forum,

What is the safest most effective way to earn 40k passive income monthly in 20 years by retirement?

I have 100k to invest now plus I save 2-3k monthly from salary.

I’ve been researching small MFH but not sure if that would generate enough passive income monthly in 20 years?

Also I live in NJ which has high real estate taxes.

I have an IRA but don't want to take money out of it for real estate investment.

Any feedback would be greatly appreciated.

Best regards,

Sue

[Brian Van Pelt]

@Sue Zikria

Without knowing your background and your tolerance for risk in the RE market. Also purchasing that many properties in such a short amount of time, would require yo to either PM your own properties or hire a PM to manage them for you. Also keep in mind we are at the top or nearly at the top of the RE market. 

Even with buying 1 property per year for 20 years, the basic math does not come close to 480K per year.

In RE , no income is ever passive IMHO