I am looking to get into a duplex or 3 plex as a first home and am wondering if there is Any way around this besides simply waiting for my credit to improve.

In practice, I think a lot of people for an incidental expense just throw it all into one property.

I don't know what took me so long to get on here...I am an CA licensed attorney practicing real estate law, estate planning, and immigration law.

I have done that for 15+ years, so 'red flag' is a bad way to describe a business practice that some people don't use (possibly out of ignorance) and for others is (practically) standard practice. 

Practically worry free. 

Would love to learn from you all and share some best practices.

Practically speaking, if you do CFD, just record it. 

That could potentially improve your ROI. 

Pros:Strong cash flowMajor affordable housing shortage in the countryBarrier to entry - zoning prohibits new parksPride of ownership - the residents own the homeLower operating costs - the residents own the homeLower touch - the residents own the homeSticky residents - costly to move a homeEasy to raise rents - costly to move a homeRecession resistant asset class - affordable rentLarge private equity funds are entering the space - drive prices upMom & pop ownership - opportunities to improve NOI and valueLower entry cost per door - less capital neededCons:Not sexy - smaller resale pool (but that's changing)Stigma - some counties try to stop operations (poorly operated parks, criminal activity)Stigma - some people don't want to live in oneLower credit quality residentLess appreciation potential, unless forcedNiche investment - helps to have scale to properly operateMany banks don't understand it - tougher to financeOlder assets in many cases

I also ask them to leave me a 5 star review, and if it wasn't 5 star to please tell me what I need to do to improve it.Thats all I can think of for now.