Subdivide the vacant parcel and sell before or after closing?

[Jason Hathcock]

Double closing vs. Single closing for a Sub-dividable property in the Outer Banks, NC ......

I am a beginner investor and I have an off market single family home under contract in a vacation resort area which has a long term tenant that would like to continue renting. The house is one block from the ocean and it sits on one half of a double lot. I have gained permission from the Town Planning Board and the sellers to subdivide the lot prior to closing. I have found a buyer that will purchase the vacant lot at my asking price which will allow me to purchase the SFH with a significant amount of equity in it. This is my first situation like this, and I am wondering what is the best way to take this deal down. Should I attempt to qualify for the entire purchase price and then double close on the property? Then use the proceeds of the sale of the vacant parcel to repay my down-payment and pay down the loan amount? Or, should I have my attorney write an addendum to the contract to allow the buyer of the vacant lot to close on the vacant lot during the same closing of the SFH? It seems that both situations have their challenges, risks, tax consequences, and costs associated with them. I have an assignment clause in the contract to allow an assignment, but the purchase contract is for both lots and the house. Would I need to amend the contract to describe the subdivided parcels in order to do a single closing? Does anyone have any experience in situations like this?

Not actual numbers but this will give you an idea of what I am looking at.  

Total purchase price:  $250k

Sales price of vacant lot $100k

Value of SFH one a single lot $225k

Due to the low long term rental income numbers in this area, the house will not cash flow at the full purchase price.  It will cash flow after the sale of the vacant lot.   Our goal is to purchase this house and rent long term for the next 20+ years. Credit scores are excellent and we have sufficient funds for down-payment for either scenario, however we would rather not tie up our cash in down-payments so we can continue to make more purchases. 

Any suggestions on how to structure this and take it down successfully?

Thanks.

-Jason Hathcock