24 YO going into second deal(LTR,MTR,duplex,4plex?)
Ira Frank jrPro Member
Investor · Dallas TX · Member since 2026 · 9 posts · 3 votes24 YO going into second deal(LTR,MTR,duplex,4plex?)
8 Replies
- Investor · NY · Member since 2026 · 121 posts · 42 votes5mo
Hi Ira
you're starting the right way at the right time. I think you should stick to the 2 to 4 units LTR like you started and just keep going
in my opinion midterm rentals are basically the same category as LTR just a different flavor added. Obviously MTR are specifically good in A or A-B neighborhoods.
now on your main question I think you should definitely prioritize cash flow because that will keep you in the game. Appreciation is just the topping on the cake. even with the current interest rate environment there is still solid. Cash flow flowing Deals depending in the market.
STR is a total different game and requires much more management and maintenance on hand.
- 5moDrew SygitBusiness MemberProperty Manager · Royal Oak, MI · Member since 2012 · 12k+ posts · 9k+ votes
Quote from @Ira Frank jr:
Hey everyone, My wife and I are 24 years old and we are trying to make a smart move into our next real estate deal-but we feel stuck between a few different directions and would really value some insight.
-no consumer debt
-currently have one cash flowing LTR in WI
-goal is to scale 20-30k/month cash flow long term
what we are debating:
Another LTR(single family)
STR purchase
MTR
Duplex/Triplex
Value-add/fix and rent
what were struggling with:
with interest rates where they are, were unsure if we should prioritize cash flow vs appreciation vs scalabilityWe don't want to complicate things early but also don't want to play too small
My main question: if you were 24 again with capital and one rental already-what would you do next and why?
I would appreciate any advice, especially from those who have tried many strategies and can speak on what actually scales and what just looks good online.
Thanks in advance
If I was starting out in my 20s, I'd look to acquire a 2-4 unit property with an FHA 3.5% low-down payment mortgage.
I'd also look into using an FHA 203k renovation loan, allowing me to buy something ugly, thus unqualified for a standard mortgage, which would weed out a lot of competition and push the price lower.
To maximize my cashflow and gain landlording experience, I'd do STR and MTR in the other units, as well as the other bedrooms in my unit. Since most cities won't allow basement rental units, I'd consider finishing the basement, just well enough for me to live down there (cities don't care if owner chooses to live in basement), so I could rent out ALL the units.
I'd save all my cash and look to refi the property in 1-2 years out of the FHA mortgage, so I could use it again if necessary. Depending on how close I was to having 20% equity in the property and being able to avoid PMI, I'd consider using some of my cash to pay down the mortgage when I refinanced. Otherwise, I'd save my cash for the next acquisition.
I’d also be posting on every social media platform and telling everyone I knew that I was looking for more real estate deals. I’d aim for low downpayment land contracts and lease options.
After refinancing out of the FHA mortgage, I'd evaluate if I wanted to repeat the 2-4 unit FHA 203(k) process again or if I had the 20% down to target 5+ units.
Good luck with whatever you decide to do!
Logical Property Management4.9451 Reviews - 5moNicholas L.Pro MemberFlipper/Rehabber · Pittsburgh · Member since 2018 · 6k+ posts · 5k+ votes
those are all very different options so, as a random person on the Internet, I would not dare to advise another random person on the Internet on such a major life choice without knowing more.
i'd certainly stay local or close to local for any of those.
if you're in Dallas invest in or around Dallas. If you're in Wisconsin invest in or around Wisconsin.
and wherever you are, go to all the meetups and talk to all the other investors.
that's as far as I can go based on what you posted.
hope this helps
@Ira Frank jr - 5moEvan HoppleBusiness MemberReal Estate Agent · Columbus Cleveland Dayton, OH · Member since 2023 · 284 posts · 420 votes
Quote from @Ira Frank jr:
Hey everyone, My wife and I are 24 years old and we are trying to make a smart move into our next real estate deal-but we feel stuck between a few different directions and would really value some insight.
-no consumer debt
-currently have one cash flowing LTR in WI
-goal is to scale 20-30k/month cash flow long term
what we are debating:
Another LTR(single family)
STR purchase
MTR
Duplex/Triplex
Value-add/fix and rent
what were struggling with:
with interest rates where they are, were unsure if we should prioritize cash flow vs appreciation vs scalabilityWe don't want to complicate things early but also don't want to play too small
My main question: if you were 24 again with capital and one rental already-what would you do next and why?
I would appreciate any advice, especially from those who have tried many strategies and can speak on what actually scales and what just looks good online.
Thanks in advance
The fastest way to scale is through value-add deals. Stretch your capital across more doors now and build future cash flow with the equity you create today. Just know it's not passive, it requires time and effort to execute well. The bigger the deal the better in order to scale quick, but starting out keep it simple with a single family or duplex and work your way up. If you have the time to self-manage, local STR and MTR are worth adding in once you have a few doors under your belt.
Reafco Real Estate - Investor · Hendersonville, NC · Member since 2016 · 498 posts · 285 votes4mo
Quote from @Ira Frank jr:
Hey everyone, My wife and I are 24 years old and we are trying to make a smart move into our next real estate deal-but we feel stuck between a few different directions and would really value some insight.
-no consumer debt
-currently have one cash flowing LTR in WI
-goal is to scale 20-30k/month cash flow long term
what we are debating:
Another LTR(single family)
STR purchase
MTR
Duplex/Triplex
Value-add/fix and rent
what were struggling with:
with interest rates where they are, were unsure if we should prioritize cash flow vs appreciation vs scalabilityWe don't want to complicate things early but also don't want to play too small
My main question: if you were 24 again with capital and one rental already-what would you do next and why?
I would appreciate any advice, especially from those who have tried many strategies and can speak on what actually scales and what just looks good online.
Thanks in advance
At 24, focusing on something that scales without tying up all your capital is key. I've found duplexes and quadplexes strike a good balance between cash flow and appreciation. Single-family homes can appreciate but often don’t scale well because you’re buying one asset at a time. With current rates, cash flow becomes more important because appreciation alone won’t save you if expenses eat your profits. Multi-unit properties also help spread risk between tenants. That said, keep an eye on markets with solid rental demand.
Prioritize deals where the numbers make sense today, not just potential appreciation.
- 4moVijay FriedmanBusiness MemberMiami, FL · Member since 2026 · 766 posts · 122 votes
Quote from @Ira Frank jr:
Hey everyone, My wife and I are 24 years old and we are trying to make a smart move into our next real estate deal-but we feel stuck between a few different directions and would really value some insight.
-no consumer debt
-currently have one cash flowing LTR in WI
-goal is to scale 20-30k/month cash flow long term
what we are debating:
Another LTR(single family)
STR purchase
MTR
Duplex/Triplex
Value-add/fix and rent
what were struggling with:
with interest rates where they are, were unsure if we should prioritize cash flow vs appreciation vs scalabilityWe don't want to complicate things early but also don't want to play too small
My main question: if you were 24 again with capital and one rental already-what would you do next and why?
I would appreciate any advice, especially from those who have tried many strategies and can speak on what actually scales and what just looks good online.
Thanks in advance
You’re asking the right question early, most people don’t think about scalability until they’re already stuck.
Based on what you shared, I'd avoid spreading into too many strategies right now. STR, MTR, flips, they all look great online, but they add complexity and inconsistency, especially in today's rate environment.
If your goal is $20–30k/month, I’d focus on repeatable and financeable assets:
-Small multifamily (duplex–4plex) or value-add LTRs
-Something you can refinance and recycle capital fromReason:
Easier to scale with DSCR financing
More predictable cash flow vs STR/MTR
Lenders are more comfortable → better leverage optionsRight now, the biggest mistake I see is people chasing higher returns but killing their ability to scale.
You don’t need the best deal, you need a deal you can repeat 10–20 times.
If you want, I can run numbers on a few scenarios (LTR vs STR vs 2–4 unit) and show you what actually gets you to $20k/month faster based on current lending terms.
- Real Estate Broker · New York, NY · Member since 2020 · 2k+ posts · 1k+ votes4mo
I’d personally be looking at a value-add duplex or small multifamily.
With rates where they are right now, the deals that tend to make the most sense are the ones where you’re creating equity through improvements, not just hoping appreciation or rate cuts bail you out later. That way you’re building value on day one instead of waiting on the market.
You also get a nice middle ground with small multifamily. Better cash flow than a single family, but you’re not jumping straight into the complexity of larger buildings either. It’s a good way to start building the systems and portfolio structure you’ll eventually need if the goal is $20K–$30K a month long term.
STRs can look really attractive on paper, but in practice they come with a lot more moving parts than people expect, plus increasing regulatory uncertainty in a lot of markets. That doesn’t mean they don’t work, just that they’re a bit trickier as a second or early deal.
MTRs are interesting too, especially if you want something a bit more flexible than STRs but still stronger cash flow than traditional long-term rentals. It really comes down to how hands-on you want to be with management and tenant turnover.
- 4moWale LawalBusiness MemberReal Estate Broker · Houston | Dallas | Austin, TX · Member since 2018 · 5k+ posts · 2k+ votes
I built my business around two property types which I planned to maintain through long-term ownership. The online presentation of STR and MTR properties appears attractive, but their early operational phases prove more difficult to manage. First establish your business through fundamental cash generating projects which you will repeat, afterwards you should implement advanced business methods.
Good luck!
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