The people are nice, competent, but the cost-value equation is no longer justifiable. 

Most equate forming an entity to asset protection, but completely ignore the action items  that should be done on a daily basis that actually protects against the claims from arising.

Being able to absorb the vacancy is also a necessary part of the equation.2.

But as I think about a fix and flip, beyond just swagging an ARV minus your purchase price and minus the rehab budget, I know that there is so much more to the equation to understand a true return, especially as it relates to putting your own cash into the deal.Thanks in advance!           

Focus on arv...asking price doesn't matter in this equation when evaluating a good deal.

But it becomes a simple math equation:  $$/month income to replace divided by the average dollars per month per unit owned will equal the number of units you need to own to replace that income and get toward FIRE.  

Im focused mostly on the permanent financing part of the equation and dont currently offer hard money/ABL lending products, but I'm more than happy to connect you with everyone.

The changes in the market we've see don't equate to the difference in appraisals you received over the stated time period.

While @Jay Hinrichs has laid out the economic issues on the building part of the equation you aren't going to get the acceptability to buyers for smaller houses.

Not to mention you will present yourself far more professionally to prospective business partners, lenders etc. who will be necessary for your growth.The next mistake you appear to be making is equating number of doors to growth.