Your policy may also cover soft costs like permit fees and legal expenses caused by delays.

It also says under the accessory uses section: "nonhabitable structure requiring a building permit." 

Some towns require a residential parking permit (sometimes on specific streets only within that same town) - you need to know what those requirements are and how feasible it will be.

Make sure any renovations comply with local regulations and obtain the necessary permits if plumbing changes are involved.

Similar areas that have legal under utilized permitted space convert to max studios that you can fit.  

I know for myself and other investors they have had situations where someone in the building department says something verbally but then when you go to get the permits or approval things have changed.

They blamed Ocala govt for delay on permits. 

We got a bit delayed in the permitting process...We had to get a geotechnical report done due to a slope on the back side of the property, but are now back in process again.

Quote from @Devin James: Quote from @Dominic Mazzarella: Quote from @Devin James: Everything went wrong with this investment:   - Took 4 months longer than expected   - Cost $10K more to build than we anticipated   - Sold for $20K less than we anticipatedWe still profited with a 30% return on equityThis is why I love Real Estate InvestingWhen you do your diligence and stay conservative with your numbers, it takes something really bad to lose money.Here was the original post:My siblings and I are building a home in North Port, FL.Here are the numbers: - Finished Home Value: $412Kish - Land Cost: $19,750.39 - Construction & Permitting Costs: $304,897Additional costs: - Environmental Site Assessment - General Liability Insurance - Builders Risk Insurance - Construction FinancingWe will be listing the home this weekPhotos coming soon!! 

Happy to connect and educate some more whenever your schedule permits!