Cash Flow Potential from $120k/yr for 10 Years?

[Rabih El-Khoury]

In your experience, could one possibly hit the $24,000 monthly net-after-tax rental income mark in ten years time if: (1) they had $120,000 at their disposal every single year to invest for the next 10 years; (2) they could re-invest all the rental proceeds generated during those 10 years? 

Assume they could invest in any property type and in any state but could only do buy and hold or buy-rehab-refinance-hold (i.e. no flipping). 

[Steve Vaughan]

I'd be concerned about the 'when' part of investing. You can have all the valuation knowledge in the world, but if bought at a peak, it may not work or will stretch your end goal time out a long way. You will have healing time on your side, so even if you only have to experience some vacancy and drops in rent you will be better off than a flipper with a HML, but timing is still important.

Take a guy I heard on a podcast recently.  He bought rentals in Lewiston, ND at the perfect time.  Renting 300sqft efficiencies for $3900/mo during the oil and fracking boom.  Sold and bought -  something else at the WRONG TIME.  Went bust.  Had to rebuild.  If he still had the properties, he might still be ok.  But 8 years is a long time to wait!

So- congrats on this windfall.  Sounds amazing.  In my market right now, I'm not a buyer.  I'm reducing my higher rate RE debt and selling my least-favorites.  We need to roll with our market and know where we are in the market cycle @Rabih El-Khoury.