I work closely with all kinds of investors as my company provides self-directed retirement plans enabling our clients diversify out of the stock market and invest into non-traditional assets.

I'm looking toward retiring from my 9 to 5 job in about 10 years, and want to supplement my 401(k)/IRA and Social Security (if it's still around) income. 

My wife and I started out buying a two-unit apartment house about 7 years ago with a similar goal... buying 1-2 small multifamilies per year to hold and pay off the mortgages to cash flow supplemental income.

Also to retire he needs the income from the rental to supplement his pension.

I will get as many as six, and use the best 5. 2 supplement the best 3.

I’m planning on purchasing a few OOS properties to supplement Ca properties.

You’ll also need some relationships with those that have money, whether they are hard money lenders or your or dentist.You might also consider using an established hard money lender for your first few deals to enable you to learn the ropes.

His monthly $1,100  social security check is not going to enable him to quit working.The Grand Plan.Sell the home that was great for raising kids and close to work, nows it's just a financial burden.Use the 200k equity from the sale as a down payment on a 400k 4-plex in a trendy in-town neighborhood.The magic for the HECM for purchase is that he never has to make a mortgage payment.Let's do the mathHe no longer has his original mortgage payment of 1,200Lives in one unit rent's the other 3 for 900 each that's 2,700 minus lets say 900 for taxes and insurance.OK, now he has a rental income of 1,800 + 1,200 social security and NO housing expense.$36,000 a year forever = retirement NOW for my friend Gordon.

You can use cash generated from the losses if any to supplement your 1031 purchase.  

My older brother, who is currently flipping his first home in Philadelphia, enlightened me on the possibility of real estate as not only a supplemental income but more so a way out of my house via house hacking.