That said, we're currently investing in a new syndicated fund (new build apartments) and are optimistic it will perform as expected. new construction is great, DLP has a few, origin, arixa. they are debt funds not equity funds but great idea. they co develop with builders and developers like us to push higher returns to the funds. 

Whether or not the city would follow-up on that is an open question.However, if the work is substantially done by a contractor under the owner-builder permit, the restriction does not apply.Also, some cities will try to tell you that you can't pull certain permits as owner-builder, but it is written into the FL statues.

There is of course taking into account the area and if it is getting some life pumped back into it, sure you might have a builder or buyer wanting to put a house on it.I would love to hear from anyone with experience on holding on to an empty lot and just taking the hit on the taxes until you can sell for a large price. 

Builders have sometimes had more "stress" than resale properties because developers HAVE to sell, no matter the market conditions. 

Also, I think it will be difficult to not have the buyers try to turn me into a custom home builder if they're securing the loan.

The median existing-home sales price increased 4.8%, reaching $393,500—the highest price ever recorded for March, NAR reports.Meanwhile, builders pressed the brakes on new-home construction, sensing buyer hesitancy from rising mortgage rates.

The builders website has indication that they have down affordable housing with the state before so that is hopefully good news from a code front. 

John,The policy you should be looking for is normally a Renovation Builders Risk policy. 

30 year fixed, low interest rate DSCR BLANKET loans (put multiple 1-4 unit properties under one loan for cash out or for purchase).Ground Up Construction loans for aspiring developers with NO Experience100% Financing on Fix and Flips (just pay closing costs and prepaid taxes/insurance)Fix and Flip financing that requires no appraisalHELOCS on investment propertiesBuilder's Forwards (for medium to larger developers who want to hedge interest rates on their properties they plan to sell so they can offer "low builders rates").DSCR loans for long term AND short term rentals (I think this is becoming more and more common, but some people have still never heard of this).And so much more!  

@Alexandra Coryell this is going to be highly dependent on your lender and your builder.