The true fraud would be buying as a primary today and not occupying for 9 months. 

And this is not the case for a true flip, as in Basit's #1.Mentioning #2 creates a dangerous incentive to ignore the rules applicable to flipping and rely on a flimsy declaration of "intent" to hold the property as a rental. 

What I like to pride myself on is the true boutique feel and the sense of trust with our clients.

You will end up losing the deal.You need about six months of networking and active deal flow to create a potential buyer's list and email distribution.However, if the deal is really good (very unlikely in New Jersey), it is true that you can find a buyer.

Is it true that the bank would use the lot as collateral for a new construction loan @Troy Sheets 

That is probably true, but who is going to pay for it?

I couldn’t give a true statement on what it would cost cause each area is different but I could give you my opinion on what things have cost me.

The strategies have no alignment, there is no true networking or operational advantages, and no sophisticated investor would ever expect returns in excess of the S&P from an approach like this. 

True, I never built anything more than a treehouse when I was eleven, but technically a treehouse is a house so…All I had to do was work with Honomobo to finalize the design, get architectural drawings, receive HOA approval, get a county building permit, get a driveway permit, clear trees for a build site, find a logging truck to take those trees to a lumber mill, find a mill, find someone to take the lumber from the mill to my house, dry the lumber, take a semester of woodworking to learn how to make furniture, engineer/permit/build a septic system, get a well permitted and drilled, install a well pump, learn what a pitless is, install a water line from the pump to the foundation, install a pressure tank, connect the house plumbing to the septic and pressure tank, get the the power company to permit and install a podium for power on site, run power to the foundation, connect the power to the house, engineer a foundation, excavate, get two different sized steel wet plates fabricated, pour said foundation with wet plates mounted all at the same elevation in twenty-five precise locations, hire a crane, hire rigger, hire a welder, build a retaining wall because the dropoff from house to ground level was higher than expected, insulate the crawl space on my own by watching a YouTube video to learn how to load .22 caliber cartridges into a ramstead gun and shoot two and a half inch nails through insulation board into my foundation, badger a supply company until they finally delivered the right insulation board, get them to take away the wrong insulation board they brought that was broken by the wind and scattered into pieces all over the property, find an illusive 3x3 foot crawlspace door, learn how to use a core drill to make a four and a half inch hole in my foundation to install a code required fan to vent the crawlspace that my engineer thought was a stupid requirement and failed to tell me about, figure out what the hell going on when the Honomobo project manager tells me the measurements you gave him of the now poured foundation are wrong, have a panic attack, review plans with engineer, realized the project manager was mistaken, scream into the void, get the last available short term rental license application that had a thirty-day expiration window to pass all inspections, coordinate all subcontractors needed on install day, check with the sheriff about parking semi-trucks on the road, rent a porta potty, rent a dumpster, have coffee and donuts for everyone, oversee the Honomobo install crew that didn’t need overseeing, pass a blower test, pass state inspection, pass septic inspection, build a wooden curb to cover protruding rebar for an unpoured patio, build a temporary front door landing that could theoretically be be permanent so as to pass final county inspection, get a certificate of occupancy, pass the county short term rental inspection on the very last day before it expired to get the very last available license so that I could rent the house to make money in order to no have immediately have to sell, pour the sidewalk and patio.

None of which is true.