Start by leveraging your skills to identify undervalued properties, perform cost-efficient renovations, and build sweat equity.

Adding additional bathrooms (like a master ensuite) can be a game-changer.3.

You divide that $20k by .075 and you get a boost of $260k to the valuation.Allowing you to take the property back to the bank, get a new loan with $208k of additional debt on the property, pay yourself back that investment and now you have enough cash to buy a $1M deal and use that strategy over and over while scaling exponentially.

Additional Info —Key Details:Location: Outside Santa Fe, NMProperty Size: 20 acres (valued at $80,000)Project: Two new STR unitsExisting Experience: Family has two fully-occupied LTRs nearby, generating $2,000/monthConstruction Approach: Self-contracted with licensed trades for electrical/plumbingCost Assumption: $80,000 per unit, plus ~20% for inflation (based on 5–8-year-old build costs)Financing: Using land equity as down payment on construction loan (expecting closing costs to be major expense)Request: Looking for feedback, potential pitfalls, and general guidance

I have a large lump sum saved in an investment account for down-payment and any additional costs.

In trying to be more helpful, I came up with two additional ideas:1.

Most likely a "discount listing" Owner pays realtor a small amount upfront to add it to the MLS.

FHA now allows us to count rental income from an ADU (additional dwelling unit) to help borrowers qualify.

Just be sure to clarify that she isn’t a leaseholder but is authorized to reside in the unit.If you’re concerned about liability or want more peace of mind, you could ask the primary applicant for additional security, such as a higher deposit, depending on what’s allowed under Colorado law. 

Additionally, do you all generally use a smaller income criteria if the rent is inclusive of utilities?