But for an OOS investor one consideration is access to support, first of all PM & contractors, and you have more choices in the much larger Milwaukee metro area than in a smaller submarket.

At the end of the day; you need more money to do something like this.MAX LTV on new builds is 80% LTC, Meaning if the build is $550,000 and Land is XAdd ($550,000 + x ) * .8 = LOAN AMOUNTYou would need to come in with MINIMUM 20% of the cost in addition to closing costs and reserves, $80,000 is not going to cut it for this project.

Costs before that (during remodeling) are added to the basis.2.

Trying to get a # from him about estimated remaining cost but got nothing.   

Thanks Joe, you helped really press some buttons of next level thoughts and considerations on this. 

The cleaning costs alone were over $9k.

The very tragic LA fires have generated a lot of discussion about insurance costs.

EDUCATE YOURSELF - yes, it will take time, but will lead to a selection that better meets your expectations & avoids potentially costly surprises!

Whether the seller was open to a buyer commission or not, I wouldn't put an additional cost into any personal purchase.  

I know that interest on the acquisition loan can be included in the cost basis since it’s inventory.