However, the idea of investing the money in a stable dividend yielding stock is an interesting idea.Where would you guys invest it?

He is about to retire.

BUT, the secondary option is buy hold and allow organic turnover and do the improvements one unit at a time and keep operating as a stable addition to the portfolio.

He had 5 duplexes he is wanting to sell due to retirement.

I am also a W2 employee have a very stable six-figure income (for many years) along with other sources of income.

Mainly, we'd love to move money out of our brokerage account into Real Estate to help generate passive income, allowing us to retire early if possible.

Sometimes they’re willing to part with a home quickly and know that they can retire or do as they please and they want a steady monthly income rather than a large all once payment so this strategy may benefit both sides in your case.

Owner is 70 year old MD who is retiring, and under the current assumption that the property is paid off.

When you are ready to move on and into a more "traditional" single family home the rates might be higher, BUT prices might be more stable but you'll have a property that will (hopefully) cashflow and be appreciating long term.I would need to learn more about your goals and current situation to see what option makes the most sense for you.

You will normally pay a minimal amount like $50 or $100 to process the loan.2) The interest rate is low and you are paying it to your own retirement account.3) It can allow you to get into real estate investment faster4) If you leave your employer or get fired, recent tax law changes have made it so that you have additional time to pay back the retirement fund.Just an FYI - I personally took a 401K loan to get my first investment 4 years ago.I eventually left the employer and decided to take the hit and pay the taxes on the 401k distribution.Best decision of my life.Best of luck!