I’m all about less is more, it allows me to put more focus on higher priority items. 

Wholesalers use the “option” clause, inspection clause, or a specific “weasel” clause to terminate the purchase contract if they are unable to contract with an end buyer at a higher price.  

The cheap homes may look great on paper, but the costs are always higher and tenants more problematic.Selling one property to buy two can make sense when you have equity built up and room to borrow more money. 

Compare those owners with younger owners who have higher incomes and more desire to build large reserves for the future with the older folks who won't see the future and you can see the problem.

From my experiences, I would not take on low end rentals and all the risk and work they entail if I had the budget for a solid middle to higher end option.And finally, as you do start looking more seriously at actual properties, bring your questions here and weigh the various answers you will get.

Expect very low LTVs (we're talking like 40-60% down minimum), much higher rates, and very long close times for out of country financing. 

The higher you go in price, the ratios get too hard to make it work without leaving as much money in the deal as you would a standard down payment.

Do I draft the contract price for higher than the actual build price that would include our estimated profit (sell price) or would a separate agreement between the lot owner be sufficient enough that outlines the deal since we don't know the actual sell price until it goes to market?

Thus, you will have a higher profit margin.You will have added closing and holding costs when paying with Hard Money.

Rates are typically higher than a traditional cash out refinance, however at least you are not getting the full loan amount + you have the flexibility to draw/tap in the money whenever needed.