Bought my first Multi! Now what?

[Nick Burkhardt]

BP Community, we did it! My fiancé and I just closed on our first 3-unit multi in Southern Maine and are so excited to finally be off the sidelines, out of my parents basement, and in the game!

The property is currently running at -$750/mo. with us occupying one of the 1-bed units (2-bed/1-bed/1-bed). We took the unit in the worst condition and will make improvements over the next 2-3 years while we save for the next one. Like most millennial investors we have student loan debt. Our current plan is to pay off our largest loan so we add +$500/mo. to our disposable income, which will take about 10 months. We will be able to put away close to $30,000 over the next 24 months. So in total 34 months to be ready to look again. We have a window of about 40 months from now before we want to have our first child, so I need to maximize our 2 incomes and make a significant move.

34 mo. Prop#2 Plan

I am thinking about going Single-Fam with an in-laws apartment 5% down around $230K (+$5K closing/fees = $16,500) which would leave me with 10-13K for improvements (most properties in my market req. a day 1 reno. budget). That would free up Prop#1 to make its projected +$600/mo. Basically we'd stay at the same overall disposable, but own two props (appreciation/paydown etc.), and live in a single family home.

Debt Reduction Plan

The other option is to spend 38 months and throw ALL disposable income at our student loans, to maximize our disposable income. Only problem there is we run out of time to utilize both incomes to save for the next prop. We'd have to wait for the 6 year (20% of 30-year fixed) to Refi or HELC and use that capital to go get another multi or said single fam.

My question is this; how can I improve my plan? What advice could you give to help me get there quicker? Thanks so much!!