This rental property will be designed with a keen focus on generating a healthy cash flow.Project Blueprint:Budget: Allocated at $200,000, covering construction and all related expenses.Focus: To merge energy efficiency, durability, and tenant comfort with cost-effective construction strategies, making the rentals both affordable and sustainable.Location: Currently scouting – I'm open to suggestions and insights on ideal locations supporting this vision.Strategic Planning:Efficient Design & Planning: I'm considering compact, multi-functional layouts to optimize space usage and incorporate cost-saving construction methods without compromising quality.Sustainability & Efficiency: The plan includes investing in top-notch insulation, air sealing, energy-efficient systems, and sustainable materials to reduce the building's carbon footprint and operational costs.Budget Management & Cost-Saving Initiatives: Careful budgeting and exploring value engineering options are crucial, alongside seeking out grants or incentives for energy-efficient building projects.Community & Sustainability Goals: To create shared amenities to foster a community feel and implement systems encouraging tenants to monitor and reduce their energy consumption.Seeking Community Insights on:Cost-Effective Building Strategies: How can I ensure the project remains within budget while achieving high sustainability and efficiency standards?

There's nothing wrong a slab foundation in fact they are more energy efficient typically. 

A good way to forecast rental demand is to also look at economic data from FRED - population growth over the past few years, median housing income, job growth, crime rate, schools, ethnicity mix, etc.

Commercial real estate values, particularly in sector like self-storage is less prone to economic volatility, offering a more secure investment option.In fact, certain real estate classes like self-storage outperformed during the Great Recession.

Short Term Rentals take a lot of time and energy.

My recommendation is to choose cities in safe and economically diversified areas with above-average income and population growth.

I do believe it's probably a question of 'when', not 'if', but at the moment, I don't see how that prototype saves any money, considering running wiring & plumbing with solid concrete walls (you'd likely furr over them with conventional stud framing, and would be building 2 walls instead of 1), meeting energy codes in different climates, envelope tightness, and satisfying aesthetic preferences. 

Instead of trying to guess the future, let's talk smart moves:First,chat with a lender, get pre-approved, and figure out your budget with today's rates.Stay in the loop with market trends and economic news, but don't let them stress you out.Think about different loan options – it's not just about the lowest rate.And seriously, don't wait for the "perfect" market.

That said, this route is likely to be time and energy consuming as well as stressful.)Just my thoughts.

According to my research a capital asset is:The IRS indicates what constitutes a real property capital improvement as follows:Fixing a defect or design flawCreating an addition, physical enlargement or expansionCreating an increase in capacity, productivity or efficiencyRebuilding property after the end of its economic useful lifeReplacing a major component or structural part of the propertyAdapting property to a new or different useA repair is as follows:Improvements that "keep" property in efficient operating conditionRestores the property to its previous conditionProtects the underlying property through routine maintenanceIncidental Repair to propertyReference is http://www.dbbllc.com/newsletters/focus/mar2012/irs-clarifies-capital-improvement-vs-repair-expenseNext time I will rent a small excavator, dig my own hole, and put on a Fernco.