Forcing appreciation by increasing NOI
6 months ago I purchased my first investment property. I used an fha loan and purchased a 4-plex for $575k. I put $25k+ in renovations into the most neglected of the 4 units and moved into that unit. I've already forced appreciation with this reno, but I also plan to increase rents as this is a highly desirable neighborhood. Increasing rents will increase my NOI, but will bringing the rents closer to market rate increase the value of the property? Also, the property was fully rented when I purchased it. Since I moved into a unit and am not paying rent, technically the NOI has decreased. Will this have a negative effect on the property value? Or am I overvaluing NOI?
My goal is to as quickly as possible achieve an 80% or greater LTV ratio so I can take out a HELOC and purchase another property.
Is my strategy to force appreciation a good strategy? Or am I better off saving capital until I have enough cash to purchase my next property?