Problem is only "RE pros" get to do it.There are 3 income classifications in the US - Active, Portfolio, and PassiveActive income is income derived from your job, or normal trade or business.Portfolio income is derived from bank instruments - stocks, bonds, etc.Passive income is income earned from investments.Active losses can wipe out both passive and portfolio income, but it doesn't work the other way around.Portfolio (capital) losses are limited to $3,000 annually.Passive losses can only be offset by passive gains.Real estate rental income by its nature is deemed passive per IRC Sec 469One way to get around it is to become a pro - spend more than 750 hours or 1/2 your time in real estate.But most folks aren't real estate pros.

You don't have to use all 600K, but I wanted to give you another option of what it possible. 12% returns with no headaches should be a part of everyone's portfolio. 

I would forget about growing the portfolio and generational wealth until your husband finds a job and you reduce your credit card debt.Credit card debt has interest rates above 20%, there is a strong case that your rentals are not generating a 20% return.

I was seriously contemplating moving a large share of my investment portfolio into “passive” type investments, where I left the management of the investment up to someone else.  

One day, I would like to syndicate a deal amongst people I know very well to kickstart my RE portfolio as well as provide them with great returns.

We actually started when we bought a property to buy and hold but it ended up not being a good fit for our portfolio so we sold it.

Now I plan to build a real estimate investment portfolio focusing on a buy and hold strategy (BRRRR) through multifamily properties surrounding the Snohomish County and Everett area (north of Seattle).

Their promise to package your properties into a commercial loan after reaching 5 properties could free up your DTI and provide a line of credit for scaling.Consider delaying aggressive HELOC repayment to preserve cash for new purchases, and explore portfolio loans or DSCR loans as alternatives.

You as the creditor are collateralized by said portfolio now in the trust.

When I have seen this done or done this for clients, the properties being crossed are generally refinanced into the same loan, replacing your first lien (blanket/portfolio loan).