Save for Larger Deposit for Duplex? Or Dive Into Another SFH?

[Haley Gates]

Hi all,

My dreams were shattered today when I learned that you need 15% down payment for a duplex, even if you plan to owner occupy half. I know I could put down much lower with FHA but I would like to stick with conventional. I am not comfortable taking out a HELOC at this time either.

I currently live in my primary SFH I bought last year. I put a lot of sweat equity in and will be keeping it as a rental. After talking with my agent and comparing rental comps I will be able to cashflow $500-700 a month after PITI. My plan was to live in a multi-family next but I am excited and ready to gain another property sooner rather than later. I am young, handy and really enjoy fixing places up while setting myself up for a comfortable future. Which will help me long term? My goal here is FIRE, passive income. Is it wise to buy and move into another SFH in another nice up-and-coming area, put more sweat equity in and continue this process (or maybe have duplex money by then) or hold out for a duplex even if that means just having one property for the time being?

Cheers!