Beginner Investor based in South Florida. Scenario A vs. B?

[Corey Todd]

Hey BP Community,

Glad to be here! Wealth of information is an understatement for this site. Local market knowledge will be greatly appreciated and while I'm on that, also looking for mentorship and guidance from a local RE veteran (MD/Broward/PB). Willing and eager to get my hands dirty! 

Quick background: Management Consultant - make a solid living. and decided that it’s time to enter the sphere of real estate investing. I have the ability to save/invest around 40-50k per year off W2 income.

These are the scenarios I’m considering (in no order of preference):

• A) 3.5% down FHA loan on a fourplex. House hack for a year, while saving majority of income, end of year 1 do a cash-out refi – buy another duplex/triplex with 10-20% down. +savings
• B) (Tricky one here. Heard from a realtor that this is possible in FL. Please confirm) 3.5% down on a Townhome, live for a year then do the "Upgrade" to SFH where I can get a conventional for 5% down and purchase a SFH. Live in for a year, refi both, use proceeds + savings for down payment on a duplex. Has anyone ever heard of this?

Continue this until I have 10+ cash-flowing units, 3-4 years in and then refinance all and put 25-30% down on a commercial apt building with around 20 units bringing total # of units to 30+. Anticipating a $300 per unit cashflow which should take my annual rental income north of $100k.

Which of the above scenarios make the most sense?

I’m young, single, solid income, no obligations – my risk appetite is quite high so I intend on being aggressive in my investment strategy. 

Look forward to hearing from and learning from you.

Thanks!