<prompt> Human: I recently bought a multi family home last year for 240k. Its quite a unique set-up. Its three separate bungalows on one piece of land. Each was fully renovated with new floors, walls, pipes, etc. I had all homes inspected thoroughly before purchasing. Each home stands alone, and has its own waterelectricity etc. My wife and I live in the main house up front, and rent the other two in the back. We bought this home with an FHA loan, and put 3.5 down with an interest rate of 4. The current mortgage is 1800.00. We rent our two homes out for 900 800 respectively. We use this money to pay our mortgage. The home that were currently living in up front can probably fetch about 1200-1300 in rent if we decide to rent it out. We would like to purchase another home in the area. The home is about 350k. Would it be wise to purchase this home, and use additional the rental income from the home we are currently living in to pay the mortgage for the new house? Stats:I make 50kWife makes 40kUtilities: 300 Food: 200Car payments 300 and 350Insurance: 240 both cars full coverage CC debt: 3k We dont have that many bills since the mortgage is pretty much covered by our rental homes. We would like to purchase another home soon. Thanks  <response>: Once you have saved up about 110k, sure.I reckon you should have 70k for a 20 downpayment on the next house, and 40k for an emergency fund large enough to cover both properties and closing costs.If you buy the next house without cash, you are very exposed. A void or double void on your rental properties could blow you out of the water very quickly.Good luck. 