Real Estate strategy for a beginner

[Samuel Coicou]

Greetings Investors and future investors,

I'm a newbie in real estate and I'm hoping you will indulge me. My wife and I are about to buy a duplex (the first of many) and I would like to discuss if our strategy is plausible.

THE PLAN

The plan is to buy a duplex with money we have saved (5%-20% down payment) then save money for a year (around $24,000) and buy two more duplexes. Then attempt to pay them off as fast as possible. (My calculates say I can pay off all three in 6 years time)

THE NUMBERS

• Assuming house mortgages are about $100,000
• Down payment and closing costs are about $10,000
• Mortgage + taxes and insurance are $750/mo
• Tenant payments are $750/mo
• The first duplex we live in and rent out the other side so no rental income until we pay it off
• All money saved is the after taxes value. (35% for rental income)
• Assuming 100% occupancy
• Assuming zero repair charges

The math is below

Does this math look correct? Are there any glaring weaknesses to this plan? (Besides not taking occupancy % and potential repairs)

I will gladly explain anything if need be. 

Thank you for your patronage!