Achieving a 4098% IRR in just 58 days is nothing short of remarkable.I’m curious about a few aspects of this deal:Entitlement Process: Can you elaborate on the land entitlement process?

However, the majority of A/B properties purchases with 20% down would be cash flow negative currently.

A smaller down payment might lead to a break-even situation or even negative cash flow.

Only asking since most newcomers to wholesaling get caught up in the aspect of having "all their ducks in a row" that they forget to focus on what actually matters: deals. 

Also, focus on 2 years of job/income stability.Class D Properties:Cashflow vs Appreciation: Typically, all cashflow with little, maybe even negative, relative rent & value appreciationVacancy Est: 20%+ should be used to cover nonpayment, evictions & damages.Tenant Pool: majority will have FICO scores under 560 (almost 30% probability of default), little to no good tradelines, lots of collections & chargeoffs, recent evictions.

All of a sudden he was making very high LTV loans on negative cash flowing assets that everyone else in the industry was turning down.  

There aren’t too many options that I see; this could tip over into an ongoing negative situation.  

Should I hold on to the house, despite the potential negative cash flow, with the hope of refinancing and future appreciation?

If they are any less than 100% happy you will get a negative review anyways.

Hopefully someone with a stronger intellect with spreadsheets will comment on that aspect.