Newbie starting out, need critiques/advice on my gameplan

[Joseph Burke]

I recently inherited a "pig" that's not going to appreciate much. It cashflows right now, but mostly just becuase I own it free and clear. I don't see it as a good long-term hold at all. I've been reading forums for the past few months, and I'm pretty confident in my plan. I wanted to see what you guys thought of it.

1) Fix up the old house (5k-10k rehab), then refinance it and deal with the fact that I might not make much cashflow on it in exchange for the 40k-50k that I'll be able to reinvest.

I can also just do nothing to do it, take the cashflow it has now and wait a year or so to build up reserves. Or I could just sell it.

I think refinancing it is the riskier play, as the house has a lot of issues and there's no telling what could go wrong. Refinancing puts me in a much better position to leverage though, and build my portfolio faster.

2) FHA into a multi-family. Preferably with a 203k so I can get something undervalued. This will probably be in the 300k-500k range, and make up the bulk value of my portfolio.

3) Set aside some cash for CapEx reserves, and take the extra cash and work on growing a portfolio using the BRRRR method, with a focus on Cashflow (Mid-range SFR's most likely. Maybe some small Multi-fam's.)

I am in my 50's and make roughly ~150k a year and have NO Debt right now. So banks are all calling me, haha. My focus is on growing cashflow ASAP so I can fund my retirement in the future.

How does this sound? Any comments or advice?