Scrape and build a duplex? Sell? Austin Texas in Opportunity zone

[Donna Pattani]

Not sure what to do, selling would be easiest but don't want to waste an opportunity, if there is one.

Rental house in 78744, close to downtown on .24 acre.

Tenants leaving soon. Living room floor is sagging, pier and bean foundation needs 38k to make the house up to code, there are many other issues also, it's old and weird.

Rent is 1500, I owe 120k on it.

I was thinking of getting a construction loan, scraping it and building a 2000sqft duplex, it's zoned for that and there are no tree issues.

Arv of new build would be around 430k

Construction @ $150sqft = $350k + 120k land = $470k

Maybe I answered my own question, hmmmmm...