OK background. We purchased the lot with some friends and completed a CPR and now have 2 separate deeds. This is how we were able to get the large amount of equity. We purchased under a land loan with a 7 yr balloon at 5.95%; it is due 7/2025.
We have installed a permitted tiny house on the land, water meter. electric meter (that can accommodate a large house), and a 5 bedroom septic.
Our main issue is financing. We are low income so when we go to refinance we will probably need to do a construction loan and use projected rental income to cover the loan. We do qualify to refi without adding but we are then paying the mortgage out of pocket.
Our thoughts are to use the existing infrastructure to build out the 5 bedroom house, then house hack. So far what I'm finding for cost is 400-800 per sq ft to build.
Other investment ideas we have are a rental in Oregon near family or a second home here on Kauai.
