Most people can't even or barely afford luxuries like expensive smart phones (Android's) and tablet computers (like my Asus Prime) so how are they going to afford the luxury of a technologically advanced house?

I would pass on this deal.The two tenants rent would barely pay the mortgage?

I starved as all my money went into building my real estate holdings & I worked every night & weekend rehabbing barely habitable properties.Most of my 6 figure salaried colleagues still pay high taxes, mortgages, car pmts & can't afford to retire.So hang in there it's a great feeling when you can finally walk away from 9-5.

I had just purchased my own first home and barely knew how to change a lightbulb.

@Ethan BrulandI'm thinking through the numbers as I type this, so bare with me. 

Money is a huge advantage when investing, any dummy knows that, but without the passion or compelling enthusiasm one has for RE you will barely ever make money.

Both the 203k and 203 b are owner occupied loans. 

The bigger mortgage on the original property pushes it into barely cash positive territory, and I double guess this decision daily, but here is my thought process:In general, greater leverage equals more money in the long runthe extra 20k I hope to get in appreciation will be worth holding on to it for another year or so.The second property will bring in extra cash flow to make up for the loss on property one, and appreciation.

I mentioned in my introductory post that I would attempt to chronicle my experiences as a first-time real estate investor here, in the hopes that some other new investors may relate to them and maybe even find them he...

Jon, I've rented the property out for 2+1/2 yrs now, but barely make anything on it.