Hi Eddie, One strategy we've used on land deals is opening contact on the dirt subject to building approvals.

Would like to add some value for “subject to improvement” appraisal to pull equity.  

They of course lose us as a buyer now and subject themselves to what the market will be at that time, which we cannot predict.I understand the rentback scenario.

There are thousands of (nauseating) posts (ads) on this subject.

The transaction was a little complicated because the buyer was a group formed by an investor owning a 40% interest in the subject property (my partner and I were the managing partners of the current owner entity and 60% owners.

Assuming a 15% average negotiated discount, the $607,143 would secure a diversified portfolio of 37.15 acres, or $16,343 per acre.Attached are some screenshots of the "tool" and a "pre-screen" polygon of areas that I have subjectively deemed promising.

Knowledge of property values both in the geographical area in question as well as the subject property type3.

I am assuming the Subject property is not currently zoned commercial and cannot legally have 5 units, except for the adu laws?

On the flip side, income can be less predictable due to seasonal fluctuations, they require more intensive management, and are subject to varying regulations.Key Considerations:Financial "Rip Cord": Determine your financial threshold for continuing to float the property without a tenant.

The opportunity to buy from the seller might be doing a Subject-To deal where you take over paying the existing loan.