Bronson Hill created at fund of funds and invested through Dave Zook at the RealAsset Investor.  

I’m about to launch a fund and start building new builds.

Lastly, if I was able to get this home at that price below market, are there loan options that require little to know money down, since it is at/below the 85% LTV?

@Collin Luckett  Just adding, if you have the ability to fund with your HELOC, it would be far cheaper than PML or Hard money. 

FHA gets a bad rap because sellers and many agents think it's only for people who don't have the money so if I had 20 percent, but wanted to use FHA, I would present a proof of funds with my offer showing I have more money, but am using the FHA as a financial option so I can get an investment property as well somewhere else.

You can use your own funds, use a HELOC or do a cash out refinance to cover the costs.

Then you'll have to figure out how you fund the project (land purchase + build costs).

Take the proceeds and invest in a highly trusted Syndication or fund and enjoy the passive income.

I also advocate using the 95% LTV versus the more restrictive 96.5% FHA LTV.

Some banks will do 80% LTV but only on a 20 year amortization schedule or 75% LTV on a 25 year AM.