You can certainly earn more than $25k doing 1-2 low cost renovation flips per year and you would have a lot of free time.

If you're earning 5% on your cash value, get a collateral assignment to a bank and secure your cash value to a credit line.

I am looking to start out with a couple flips then move on to rentals to earn some passive income any help or suggestions would be greatly appreciated. 

My opinion would be that the market always dips and peaks, but overall average home prices usually always rise.

Here is a brief explanation of Passive activity loss:Passive Activity Loss Rules: A set of rules that prohibits using passive losses to offset earned or ordinary income.

That's not to mention the tenant headaches and fact that you would need to stack up 50+ cheap units each cash flowing a few hundred a month (which looks high on a percentage basis) to start to get meaningful cash flow going, which very quickly starts to resemble earned income from a job more than passive income from investment.

So its just not one size fits all. its regionalized and frankly if these folks starting out think they are going to  be investors when they really have no money ... and no skills.. then well like you said 95% will never do a thing.. while most should concentrate of getting out of debt and increasing their earning power.you don't get wealthy or a lot of earning power in the leverage rental houses game if you do not have a lot of liquidity going in.. and or can attract investors to help you or other strategic partnerships.And like you said you been doing it 15 years.  

A deal that passes the "2% Rule" will peak my interest every time, especially if it's not in a war zone.

Earn while you learn, and when you're ready to go off on your own you can hit the ground running. 

I am thinking of some dude in LA just chucking his hard earned money around into poor locations in the sake of earning cash flow.