Our ultimate goal is to get into real estate development along with buying rental properties.

He will own 1/2 of about 4M in real estate after 2 years and is already under contract on 2 more developable projects.

There are Class A industrial projects underway and the development of a large retailer.

When it comes to analyzing properties, I’ve developed a specific checklist to make sure the home fits both resident needs and operational goals:Square Footage: Ideally, at least 2,000 sq. ft. to ensure enough living space for residents and staff.No Stairs or Pools: It reduces liability and keeps the home accessible for everyone (this is just my preference).Corner Lots: I love corner lots because they often provide extra parking and outdoor space—both of which are critical for families and visitors.

The seller has the two lots legally separated, but due to deed restriction imposed by the subdivision development, found that building a house on the “tennis court” lot was not allowable. 

(FYI - this was an SB9 "two unit development, not an SB9 lot split). 

More like  2X to 5X the cash out.. these are done with builder developers on their deals So put out 300k get 300k back in profit plus the interest rate. most small builders/ developers need to have a equity partner so you just do both you lend the money and are the equity partner.. pretty clean..

@Todd Fullerlove Love that you're looking to develop relationships with local, community banks in Knoxville.

This reduces exit options and affects the value. 10) Small number of small units is the most expensive residential development there is.

You could also look into regional banks or credit unions with experience in real estate development for middle-ground options.If I were you, I’d spend some time shopping around for the best rate/terms.