Downsizing will not translate directly to rentals but if it does it will most likely be to conventional apartment complexes not SFHs or small multi plex buildings.

I am wanting to become a general investor for now looking to start out with a few single family properties and then graduate up to multi family properties and then on to larger complexes.

If your market permits @Matt Smith I would personally use that as a down payment for a apartment complex.

If these questions are making you jittery, I would consider wholesaling it to someone like Skyler Smith who may be more experienced in complex deals of this sort.

I am going through a similar situation as you, I am looking to jump over to multi-units and apartment complexes and have been dragging my feet because I am unsure about what all comes with it.

We bought 18 1 bedroom apartments at a condo complex from a tired landlord, someone who had a number of apartments and apartment buildings and simply didn’t have the systems and policies in place to be able to effectively manage so many units.

Hey @Rachel Orsie this is a complex scenario and there is too little information to evaluate the deal...that said, this being a 3-unit suggests that this is a nonconforming property: i.e. someone converted a large home into a 3 unit, which is unattractive.

Our CPA handles a lot of complex deals and does it with ease.  

I'm in DeForest but am a buy and hold apartment complex investor. 

I had all my money tied up for a while due to investing in the hight of the market and have now sold the place I was investing in with my partners and did a 1031 exchange into a small 15 unit apartment complex it is makes about 2k per month +/-.