Clearly the downside is each portfolio will not grow / compound as quickly due to lack of total focus.On the other hand / upside, if one does well  it can feed the other and if both do well that’s even better.My motivation for asking is because I am already 100% invested in stock market as I am just learning about REI.

I unfortunately was not afforded an opportunity at a younger age to be exposed to the power of passive income, passive income vehicles, compound interest, and a detailed planning for the future.

@Joe Fairless Do you find that you are starting to compound your growth?

I know that compound interest would play a role in the 401(k) gains, but I would also see it in the real estate market (more properties/more income/more doors/etc.).

In your situation having a paid off property is only compounding the problems on what is actually a very poor choice for a investment income property.At a value of 350K and realistically assigning a opportunity value of 10% to that equity it is costing you $2900/month in lost income on your cash.

I get it that you want to build a compound for yourself and your parents but unless it has to be specifically that lot in that city, being able to build 8 units is a pretty rare opportunity, wouldn't you agree....Again , I am just spit-ballling since you need to look at the numbers like construction cost per sq ft and prospective rental income.

.#5 11unit single family compound (9 small 2/1 and 1/1s, two of which are duplexes) with a 10 unit storage building and 1 extra lot for a possible RV rental.

Keep feeding the IRA, compounding interest is awesome. 

The power of compounding interest is phenomenal over time.There are a ton of strategies out there.

With this structure in our market we should EACH be able to make about an 8-12% compounded return over 5-10 years.