Our initial plan was to take the cash flow from the rental and put it to paying off the mortgage, and make our own monthly contributions of $1000 a month, even if it's above our mortgage, again to pay it down faster.I realize paying off the loans gives us less leverage and would take a lot longer to buy more properties, but my husband can't stand even "good debt" so we'd rather pay that off first.I would appreciate any words of wisdom/advice.  

That means if you can offer in that range of list price so they NET after commissions etc.. than you stand a good chance to get the deal barring you are not going highest and best with multiple offers. 

@David FrolYou're definitely standing on the line between right and wrong in this situation.

My reasoning for this is two fold.

Someone once said that GURU stands for General Understanding but Really Useless :-)So beware of the gurus out there.I know some real estate gurus who admitted they make more money in being a guru than in actually doing real estate deals.

Your market might differ from the Boston area but just to get grounded in what is possible from a cost stand point, Boston is usually at or near the top of the market from a cost stand point.Additionally, if you are thinking of DIY, it's doable. 

There are also classes for continuing education that you will need to attend to keep your license in good standings.

We are all standing ready to help, so tell us exactly what you need to take your first step.  

Been through so many of these variables int he area that no obstacle stands in the way any longer, just need to have the proper network in place.Finally, you get what you pay for, always make sure your contractor is pulling permits, do not cut corners, Again, its about building a good team and get references check them out, ask to see portfolios of prior work.

I've been watching north of 46th St and just recently my curiosity was sparked further south.