Used what I know from wholesaling to come up with the estimations The numbers is used are based on a these assumptions:- Cost to build* (2024) = 150/sqft National average, 141/sqft Tennessee Average (Source: Houzeo  https://www.houzeo.com/blog/how-much-does-it-cost-to-build-a-house-tennessee/#:~:text=The%20average%20cost%20per%20square,idea%20of%20the%20construction%20costs.)- All in Cost = Cost to build * Square foot  - Sales Price = All in Cost + (All in cost * 20%)* Covers contractor and soft cost on either fee based or cost+- Profit = (Sales price - (Sales Price * 7%))* - All in Cost   accounts for agent fees and closing cost- Initial List Price = Sales price + 10%      A buffer to test market absorption- Break Even being All in cost, point where everyone is paid except me. - List price is to test the market absorption at "x" price. 250k land + build.

I'm an asset-based (hard money) lender from Atlanta with an extensive 15-yr background in residential and commercial real estate looking to learn more from the BP community and how I can help those that need investment financing. 

Quote from @Gefter Chongong: Hello,My name is Jeff, and I am based in the Washington, DC, Maryland, and Virginia area.

pool and theme based will help to differentiate your listing

Guillermo - What is the cash flow based on the new loan?

Interesting point about houses not really penciling out at the moment, I was coming to the same conclusion so I’m glad to hear I’m onto something.

I have been with certain investors that deemed a place horrible and violent based on nothing but the people they see. 

In the end, it would have made more sense to hire a couple handymen for a week or two than me spending 3 weeks installing flooring, base and case.

Your second point of most of the price appreciation is gone, I think is just off base. 

Earnest Money DepositAnd if you want to cover all your bases, you can also consider saving for an earnest money deposit (EMD).