Compound interest on debt is a wealth killer.

We're going to fence our 7 duplexes (and fencing the 8th one out) with a gate and create somewhat of a special interest compound/community, which will allow us to get higher rents than are normal in this low-income area. 

Compound interest will verify this.

@Samson HollmérusThis is Jay's company, he's the founder of an investment company that specializes in multifamily investing.About Us | Compounding Capital (compoundingcapitalgroup.com)He's a syndicator.

Ordinary middle-class people who are very frugal and have managed, through consistent savings and compound ROI, to save over a million dollars.2.

Financially, I prefer to limit the spending and continue to accumulate my positive cash flow and re-invest to compound on additional RE investment.

You pull money out of the compounding process when you do so. 

That works in most markets but the results are compounded by appreciation.Development and infill are also options.

Adding any late payments to that scenario will compound the hit to the credit report.  

You can balance that against assuming that the $110K you weren't spending could get 3% a year compounded over 30 years (just for the same of simplicity) so you have something to compare that against.