I am hoping to find a lender that would be willing to finance the new home before the 1st one is rented out given that I have plenty of reserves to cover combined mortgage payments for several years.  

Combine this strategy with buying a property that needs rehabbing and the money you could get out at refinance could also fund your next project.I'd be more hesitant on Town Homes because they sell as individual units, but still share a wall with a neighbor, which to my way of seeing things, limits your tenant pool somewhat.Best of luck whatever you choose!

I usually use 15% combined.

@Darius Ogloza it is calculated from a combination of the cash flow return + equity return / the number of years of the hold.

If the houses are less expensive and the rent is lower, what about looking for something different-a more expensive duplex where you have two rentals in one or two single family homes where the combined income might be the same. 

Combined, my girlfriend and I should have enough for a duplex within the next couple months, but we hit a roadblock.

I’ve been struggling trying to find out how to find monthly interest and principal payments separately but I kept coming up with  them combined which made it difficult for me figure out how much equity I would accumulate in 1 year on my first investment property.I found this formula on YouTube and it seems to be helpful. 

I would combine @Steve Morris and @Andrea Weule into one and that would about cover it for me. 

You are now looking a combined tax structure of $970,000 due to that one asset.

That is a great point.We are going to use a combination of such and use flips to fund the investing part of our plan.