Using equity for down payment?

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Is using the equity you have in a rental property smart during this time? I am trying to figure out the cheapest way to acquire a good amount of properties and am not sure if this would be the way to go.

I am kind of using the plan from "2 years to a real estate million" where I would get a property at a great discount on a SFH and then take some of the equity out and use it on a duplex. Of course every time I would be buying at a big discount, I would also try to have more units in each purchase as I go on.

What scares me about this is if housing prices still go down and I somehow end up upside down, I do not think this would happen as long as you buy at a huge discount but I guess you never know. Just a thought and I am throwing it out there to see what you guys think. If you have a better plan of how you can make 10K grow very large I would love to hear. Yes I am a college kid so I will need money but I want to get going and I plan to live in one of the units in the duplex so I will be living for free.. kinda.