You'll have to find an answer based on zoning, demand, and your ability to control the appearance of the additional improvements - you don't want to create a junk yard behind your triplex!

@John Balzowski what no ones mentioning is an investor should understand Property Classes.The numbers you've done in TX, appear to be for Class B properties.

This happened over a year ago and appears to be happening again.

Appears to be a well oiled machine in terms of the construction and sale process-cookie cutter 1200 sq ft properties.

Since you already own the land, you appear to be in good shape.

Bottom line is ON THE SURFACE there doesn’t appear as if there’s enough “ meat on the bone” to make this one worth it.

I suppose we would see granite workbenches and stainless steel table saws appear on the market so you could sit one next to your living room and feel good about it.

Based on our coverage, it appears that we are protected.My question is, what does title insurance typically cover in this situation?

I'd recommend a minimum fee like 10% and you charge interest and points that are equivalent to market conditions, you also get the first guaranteed 20% profit as the only capital partner. make sure to take title in a single purpose entity and dissolve it after you build.

Quote from @Alecia Loveless: I had made a few basic improvements to the lot so my tenants could park there and the developer who controls the ROW is making me get rid of the parking “as it detracts from the appearance of the entrance to his subdivision”.Unless this is some different kind of ROW than I have seen before, the developer doesn't get to tell you what you can do with it appearance wise.