NACA Home As 1st Rental Property?

[James Patmon]

Before discovering the idea of REI, I purchased a home in unincorporated McDonough for $176K @ 2.5%. The loan was acquired through a mortgage program named NACA. The loan prohibits using the property as a rental, so I'm considering refinancing the loan and using it as my first rental, and using my cash reserves (I'm currently paying down debt and plan to save around $25K) to purchase another investment property as owner occupied, rehab it (sweat equity), and then put it up for rent as well.

Is this crazy?

Thanks.