$10K monthly cash flow goal and strategy

[Sonny Sach]

Hey folks,

I have been thinking about this for a bit and figured why not get everyone's opinion here.  My investing goal is to have $10K monthly cash flow.  I have purchase 4 SF homes since 2015 and although they have appreciated, the cash flow is nowhere close to my goal.  I would have to have 12-13 properties paid off to get that cash flow which I cannot do.  So the question is what are my alternatives?  What are your goals and strategy?  I have $200k invested in the properties and could invest another $200k.

Thanks,
Sonny

[Lennon Lee]

You say "I would have to have 12-13 properties paid off to get that cash flow which I cannot do." And my immediate questions is WHY CAN'T YOU? 

Sure you can't buy 8-9 SFRs with $200k but that's not the point. The point is to get to the $10k passive income goal and building a portfolio of 12-13 properties is very much achievable if your timeline is realistic. You already have 4 so you only need to do the same thing you did a couple more times. 

That being said, you do have alternatives to SFR's in the multifamily space as well as mobile home parks, self-storage, and others.

How active would you like to be in order to get to that $10k/month income? You can always participate in a syndication or get into private lending. Or you can try networking with other individuals that would like an active approach to investment with whom you can join forces under a JV structure and chase a bigger deal that you would be able to on your own.

I believe that at this point your best asset is PATIENCE. Take the time to educate yourself on the options you have beyond single family rentals and have a clear understanding on what your level of involvement will be. That will provide clarity and you will be able to continue your journey to $10k/month income following the strategy that best fits your goals.