I did basically this same thing through my 20s, and I can tell you it has the potential to really make a big difference for you financially (versus continuing to rent or buying a house). You should familiarize yourself with the key rental metrics and run your numbers through there (there is a sticky thread in this section of the forum with some good books). I'd suggest calling your county and getting a property tax estimate, explaining that you will be an owner-occupant. Because the current owner doesn't live there, he likely pays more tax than you would as an owner-occupant. By living there, you'll also get a better interest rate on your mortgage. I'd also suggest getting an insurance quote. Again, explain you are an owner-occupant. Assuming the property has fairly recent electrical and the necessary safety items (smoke detector, fire extinguisher, etc), the insurance cost shouldn't be much more than a single-family home. Beyond that, maintenance / renovation will be your main costs. I would suggest really thinking critically about this. With 3 units, you can easily have a string of ovens, fridges, a/c units, etc, that eat up your money. However, that shouldn't happen every year :) Once you have the building optimized (updated to the point where you meaningfully maximize revenue), it can be a wonderful passive income stream. Though it has its downsides (tenants "stopping by" / you being "on site" all the time), it is very easy to step away from it in the future, while the income / equity continues to build. If you are willing to stay on top of the work and the numbers make sense, I would say go for it.