How to Buy 10 Rental Properties in 5 Years (Free Guide Included)

If you’ve ever dreamed of living life on your terms, learning how to buy 10 rental properties in 5 years is one of the most powerful moves you can make. After all, building and scaling a rental portfolio is about creating lasting wealth and replacing your paycheck with passive income that pays you whether you’re working or not.

Real estate has helped more everyday people reach financial independence than almost any other path. And while most investors never progress beyond one or two deals, this guide will show you how to move forward without getting overwhelmed or overleveraged.

You’ll learn how to build a rental portfolio with our FREE Ultimate Guide To Real Estate Investing using real strategies, real numbers, and a plan that actually works in today’s market. Whether you’re brand new to real estate investing or already own a few properties, this is your complete roadmap to buying 10 cash-flowing rentals in just five years.

Here’s what you’ll learn—feel free to jump to the section that interests you most:

• Why Learning How to Buy 10 Rental Properties in 5 Years Matters
• How Much Money You Need to Buy 10 Rental Properties
• Step-by-Step: How to Buy 10 Rental Properties in 5 Years
• Download The Ultimate Guide To Start Real Estate Investing!
• Ways to Accelerate Your Rental Portfolio
• Mistakes to Avoid When Trying to Buy 10 Rental Properties in 5 Years
• FAQ: How to Buy 10 Rental Properties in 5 Years

Want help building a 10-rental portfolio—without the guesswork? Join our FREE live training and learn the exact strategies we teach to help everyday investors scale to 10+ rentals fast.

Whether you're starting from zero or trying to grow your portfolio, we’ll walk you through the proven plan step by step. Don’t miss your chance to learn what’s working right now. Seats are limited—save your spot now!

Why Learning How to Buy 10 Rental Properties in 5 Years Matters

Most people get into real estate investing to change their lives. They want more time, more freedom, and more income that doesn’t depend on a boss or a 9-to-5. And the truth is, it’s possible—if you learn how to buy 10 rental properties in 5 years.

This goal isn’t just a nice round number. It’s a powerful threshold. With 10 well-performing rentals, you can generate meaningful passive income from real estate, reinvest profits, and stack wealth month after month. The rental income from a portfolio of this size can replace—or greatly exceed—what most people earn from a job.

What makes this even more compelling is how few landlords actually get there. According to Zillow, the majority of individual landlords in the U.S. own just one rental property, and only about 1 in 6 (16%) own five or more. That means if you’re serious about buying 10 rental properties, you’re not just building wealth—you’re putting yourself in elite company.

Set Your End Goal and Reverse Engineer the Plan

Now that you understand why learning how to buy 10 rental properties in 5 years is so powerful, let’s talk about how to actually make it happen. It all starts with getting crystal clear on your end goal and working backward from there.

Your first step is defining how much money you need to be financially free—the monthly amount of passive income you’d need to cover your living expenses without relying on a job. For some, that might be $4,000. For others, it could be $10,000 or more. Whatever your number is, use it as your North Star.

From there, apply a simple real estate investing strategy: calculate how many properties it would take to hit your goal. If one rental nets you $500 in monthly cash flow, and your goal is $5,000 per month, then you need 10 properties. That’s how financial freedom through real estate becomes a math equation, not an impossible task.

Setting a clear outcome gives your actions direction and purpose. Without it, you're just buying properties and hoping for the best. With it, you’re executing a focused plan that builds passive income, wealth, and long-term independence.

How Many Rental Properties Do You Need to Reach Financial Freedom?

Use the table below to estimate how many properties you’ll need based on your monthly income goal and your expected rental cash flow.

Tip: Even if your cash flow starts small, you can improve it over time with better deals, rent increases, and smart property management. This is how we help students build scalable, recession-resistant portfolios inside our Ultimate Investor Program.

How Much Money You Need to Buy 10 Rental Properties

If the idea of coming up with hundreds of thousands of dollars sounds intimidating, don’t worry—we’re going to break it down and show you why this path is more realistic than most people think.

Let’s use one consistent example: a rental property worth $120,000. That’s a pretty average price in many strong rental markets across the U.S. With a 20% down payment and estimated closing costs, you’ll need about $30,000 total to acquire one rental at this price. Multiply that by 10 properties, and your total target becomes $300,000 in capital over five years.

Here’s where it gets exciting: you don’t need to save that from your job. You can fund your entire plan through active income strategies like wholesaling, flipping, or earning real estate commissions. And if you want help learning how to do that, step by step, that’s exactly what we teach inside our Ultimate Investor Program.

That’s the power of combining smart strategy with consistent action. When you understand your real estate financing options and start investing in rental properties that cash flow, you're no longer stuck waiting on the sidelines; you’re executing a real plan.

So if you’ve been asking yourself how to buy 10 rental properties in 5 years, now you’ve got a target: $300,000 over five years, or about $60,000 per year in capital you can create through deals, not just savings.

*For in-depth training on real estate investing, Real Estate Skills offers extensive courses to get you ready to make your first investment! Attend our FREE Webinar Training and gain insider knowledge, expert strategies, and essential skills to make the most of every real estate opportunity that comes your way!

How to Use Active Income to Fund Your Portfolio

When most people think about how to buy 10 rental properties in 5 years, they assume they need to save hundreds of thousands of dollars from their W-2 job. But that’s not how we do it, and it’s not how our most successful students do it either.

The key is generating active income through real estate deals, then reinvesting that capital into rental properties. Two of the most effective strategies? Wholesaling real estate and flipping houses for capital.

With wholesaling, you find discounted off-market deals and assign your right to buy the home to another investor for a fee, without ever buying the property yourself. Our goal with wholesaling is to earn $10,000 or more per deal, and many of our students consistently hit or exceed that benchmark.

Flipping requires more work but delivers bigger paydays. According to ATTOM Data, the average gross profit from a house flip as recent as last year was over $72,000 per property. That’s more than enough to fund two or even three rental acquisitions per flip.

To put this into perspective: if you flipped just one house every 10 months, you'd have enough capital to fund the down payments for six rentals over five years. And if you mix in a few wholesale deals along the way, your path to 10 rentals becomes even faster.

How Wholesaling and Flipping Can Fund 10 Rentals

To really visualize how realistic this path is, let’s look at the numbers. Below is a breakdown showing how just a few wholesale deals or one house flip per year can fund the capital you need for multiple rental properties.

Whether you're wholesaling for quick assignment fees or flipping for larger lump sums, these active income strategies can completely cover your portfolio growth—no paycheck savings required.

As you can see, even conservative deal volumes add up quickly. Whether you prefer wholesaling real estate or flipping houses for capital, just a few consistent wins each year can fully fund your rental portfolio, without relying on savings alone.

Step-by-Step: How to Buy 10 Rental Properties in 5 Years

If you’re looking for a proven, step-by-step rental property plan, this is it. These 10 steps come directly from our Ultimate Investor Program and are designed to help you go from zero to 10 rentals—efficiently and strategically. Whether you're starting with $0 or some savings in hand, follow this real estate investing strategy to stay on track:

  
1. Define Your Goal and Timeline: Know exactly what you’re working toward and the amount of passive income you want per month. For example, if you want $5,000/month in rental income and each property brings in $300/month, you’ll need about 17 properties. Set your number and timeline (in this case, 10 rentals in 5 years), and reverse engineer the plan.
  
2. Estimate Your Property Requirements: Don’t assume every dollar of rent goes into your pocket. Even after the mortgage is paid off, rental properties still incur ongoing costs, including property taxes, insurance, maintenance, repairs, vacancies, and management fees. A good rule of thumb is to budget 40% of the gross rent for operating expenses. So, if your property rents for $1,500 per month, expect around $600 per month to cover those costs, leaving about $900 per month in true cash flow. Being conservative with your assumptions will help you accurately calculate how many properties you need to hit your monthly income goal.
  
3. Determine How Much Capital You’ll Need: Let’s say your average rental property costs $120,000. Between the down payment, closing costs, and any upfront repairs, you’ll need roughly $30,000 per deal. Multiply that by 10 properties, and you’re looking at a $300,000 total capital goal. That might sound like a big number, but break it down: that’s just $60,000 per year—or $5,000 a month—for five years. With the right active income strategy, like wholesaling or flipping, that target is well within reach. The key is creating a repeatable system that generates chunks of cash you can roll into your next rental.
  
4. Choose Your Active Income Strategy: You don’t have to save $300,000 from a 9-to-5. Active income strategies, such as wholesaling and flipping, are powerful tools for building your rental portfolio faster. A single wholesale deal can bring in $10,000 or more. According to ATTOM Data, the average gross profit on a flipped home in 2024 was over $72,000. That means if you complete just one flip every 10 months, you’ll have enough capital to hit your goal of buying 10 properties in 5 years. The key is using active income as a launchpad into long-term passive wealth.
  
5. Improve Your Credit and Lending Profile: Aim for a 720+ credit score to qualify for the best rates and loan terms. Pay down personal debt, file taxes consistently to show income, and avoid co-signing on loans that increase your debt-to-income ratio. A stronger financial profile unlocks better financing and faster scaling. And even if you’re self-employed or don’t have traditional W-2 income, you’re not out of luck. DSCR lenders (Debt Service Coverage Ratio) can help you qualify based on the rental property’s cash flow, not your personal income. That means if the rent covers the mortgage with room to spare, you may be able to keep buying—even after most banks say you’ve hit your limit.
  
6. Leverage First-Time Buyer Programs: Getting your first rental property doesn’t have to mean saving up tens of thousands of dollars. Take advantage of low-money-down financing options like FHA loans (as little as 3.5% down) or conventional loans with 3% down for first-time buyers. One of the smartest ways to begin is through house hacking—buy a small multifamily property, live in one unit, and rent out the others to cover your mortgage. Not only can this dramatically lower your housing expenses, but after living there for just one year, you can move out and turn the whole property into a full rental. Then repeat the process with another low-down-payment loan. It’s one of the most accessible ways to begin building a rental portfolio with limited capital.
  
7. Stick to Cash-Flowing Markets: If your goal is steady income and long-term stability, skip the speculative coastal markets and target regions where the numbers actually work. Look for areas with strong price-to-rent ratios, low property taxes, and landlord-friendly regulations. Think places like Birmingham, AL; Kansas City, MO; Indianapolis, IN; and Cleveland, OH. These markets often offer properties under $150,000 with rent potential of $1,200–$1,500 per month, making positive monthly cash flow much more achievable. They’re also less competitive and more forgiving for new investors. Bottom line? These are your cash flow playgrounds where your money goes further and your rental portfolio scales faster.
  
8. Use Fixed-Rate Loans Only: This protects you from interest rate volatility and ensures predictable monthly expenses. No guessing games—just steady cash flow. Fixed-rate, 30-year mortgages are your best bet for long-term stability.
  
9. Track Progress and Stay Disciplined: Try acquiring two properties per year to stay on pace. Track your net worth, equity, and monthly cash flow. Stay focused, avoid distractions, and reinvest profits into your next deal.
  
10. Shift Into the Payoff Phase: Once you’ve hit 10 rentals, you’re entering the freedom phase. Use your rental income to pay off mortgages faster. Each free-and-clear rental boosts your monthly income and long-term peace of mind.

Here’s the part that most new investors overlook: leverage is what makes this strategy so powerful. When you buy a $120,000 rental property with just $30,000 out of pocket, you’re not just earning returns on that $30K. You’re building equity and generating rental income based on the full $120,000 asset. That’s the magic of real estate: you get to control a six-figure property with a fraction of the cost. And when rents go up or the property appreciates, all those gains are yours, not the bank’s. Once you understand how to use leverage the right way, scaling to 10 properties becomes way more achievable than you probably ever imagined.

This is how to buy 10 rental properties in 5 years; it's not just a theory, but rather a realistic, actionable plan that works when you stay consistent and take strategic action.

Download The Ultimate Guide To Start Real Estate Investing!

If you're serious about learning how to buy 10 rental properties in 5 years, this free guide is your next move.

We put together a comprehensive, downloadable resource that walks you through how to turn active income from flipping and wholesaling into long-term passive income through rental properties. It’s packed with real-world strategies, insider tactics, and step-by-step guidance you won’t find anywhere else.

You just read the high-level strategy—this guide dives even deeper. It reveals the key details, hidden hacks, and exact steps that have helped thousands of new investors build life-changing portfolios.

Grab your copy and start implementing today:

Ways to Accelerate Your Rental Portfolio

Once you've established momentum with your first few deals, the next question is: how do you accelerate the process without burning out or overleveraging?

If you're serious about learning how to buy 10 rental properties in 5 years, these strategies will help you scale faster, qualify for better financing, and build lasting wealth with fewer roadblocks:

Improve Your Credit, Income & Lending Profile     

• Aim for a 720+ credit score to unlock the best loan terms (improving credit for real estate is a key move).
• File your taxes, show your income on paper, and reduce personal liabilities to improve your debt-to-income ratio.
• This makes it easier to qualify for traditional financing—here’s how to qualify for a mortgage if you’re unsure where to start.

Use First-Time Homebuyer Loans to Start Strong     

• FHA or conventional loans allow you to buy with just 3–5% down—ideal for low money down investment strategies.
• Consider house hacking: live in one unit of a duplex or fourplex while renting out the others to cover your mortgage.
• Over time, convert that first purchase into a full rental as you move into your next property.

Stack Properties Strategically and Scale Smart     

• Save aggressively between purchases, and only buy when the numbers make sense—especially in affordable rental markets.
• Focus on stable, cash-flowing areas instead of chasing hype or speculation.
• Always choose a fixed-rate mortgage to protect your cash flow from rising interest rates.
• Every smart acquisition gets you closer to scaling a rental property portfolio that pays you for life.

Pay Down Debt and Shift Into the Freedom Phase     

• Use either the avalanche (highest rate first) or debt snowball method (smallest balance first) to systematically pay off your loans.
• Free-and-clear rentals mean more cash flow, less stress, and long-term financial independence.
• This is how real passive income from real estate is built—one property at a time, one smart decision at a time.

These aren’t just tips—they’re the exact strategies we teach and implement inside our program. When you take action with the right plan, buying 10 rentals in 5 years becomes a matter of execution, not just ambition.

Mistakes to Avoid When Trying to Buy 10 Rental Properties in 5 Years

Building a rental property portfolio is exciting, but it’s easy to stumble if you don’t know what pitfalls to watch out for. To help you stay on track, here’s a list of the most common mistakes new investors make when trying to buy 10 rental properties in 5 years—plus exactly how to avoid each one. Study this table closely so you don’t repeat the errors that stop most people from reaching their real estate goals:

Each mistake above has derailed countless investors, but you now know how to sidestep them. Stay focused, move with intention, and remember—smart decisions early on will compound across your entire portfolio.

FAQ: How to Buy 10 Rental Properties in 5 Years

Got questions about scaling your rental portfolio quickly? Here are the most common questions we hear—answered clearly and concisely to help you get moving.

How much money do I need to buy rental properties?

With our strategy, you’ll need around $30,000 per home to cover the down payment, closing costs, and minor renovations. That means about $300,000 to acquire 10 rentals—but this can be funded through flipping or wholesaling deals.

Do I need good credit to invest in real estate?

Yes, solid credit is essential for getting favorable loan terms. A credit score of 720+ gives you access to better interest rates and increases your borrowing power.

What is the 50% rule in rental property?

The 50% rule is a quick way to estimate expenses. It assumes that half of your rental income will go toward operating costs, excluding your mortgage payment.

What is the 80/20 rule for rental property?

The 80/20 rule suggests that 80% of your profits will come from 20% of your properties. Focus on acquiring high-performing rentals and managing them efficiently.

How do you buy several rental properties?

Start with one and scale by reinvesting profits, leveraging active income, and using financing options like low-money-down loans. Our step-by-step program shows you exactly how to build your portfolio fast.

How many properties do most landlords own?

Most individual landlords in the U.S. own just 1 or 2 rental properties. Less than 20% own five or more, making the 10-property mark a serious achievement.

Final Thoughts on Buying 10 Rental Properties in 5 Years

If you're serious about building wealth and owning your time, there’s no better blueprint than learning how to buy 10 rental properties in 5 years. Whether you're starting with one property or ready to scale aggressively, the strategies in this guide are proven and achievable. However, remember that the information presented here is just the beginning. Execution is what separates successful investors from those who stall out.

If you're ready to take action and want expert guidance along the way, we invite you to take the next step with us. Our team has helped thousands of people build income-generating rental portfolios—now it’s your turn.

Want help building a 10-rental portfolio—without the guesswork? Join our FREE live training and learn the exact strategies we teach to help everyday investors scale to 10+ rentals fast.

Whether you're starting from zero or trying to grow your portfolio, we’ll walk you through the proven plan step by step. Don’t miss your chance to learn what’s working right now. Seats are limited—save your spot now!

*Disclosure: Real Estate Skills is not a law firm, and the information contained here does not constitute legal advice. You should consult with an attorney before making any legal conclusions. The information presented here is educational in nature. All investments involve risks, and the past performance of an investment, industry, sector, and/or market does not guarantee future returns or results. Investors are responsible for any investment decision they make. Such decisions should be based on an evaluation of their financial situation, investment objectives, risk tolerance, and liquidity needs.