Hey @Dalton Foote - I highly suggest  using a renovation loan and house hacking a multi-family if that is possible with your current life circumstances.The 203k and homestyle renovation loans are just amazing products and drastically help you reduce your risk, in my opinion, because you are able to leverage the cost of the entire renovation with such a low down payment loan.We work with a lot of clients who use these products in Chicago, and no matter what, in the long term, they gain great equity.If you aren't able to house hack - the process is essentially the same, but just with more money down with hard money or conventional construction loan.

We're looking to gather info about likely cost, pitfalls, time required, considerations when obtaining financing, etc. 

The real prohibitive costs come from the legal, compliance, and reporting requirements of registering a security.

We are considering building and holding townhomes but need to determine the costs.  

I agree with John, we are seeing renovation costs of $150k- $200k for a basement unit and $250k + for a coach house. 

I’ve been working with real estate financials for a while, and I keep seeing one mistake that costs investors thousands: poor bookkeeping leading to missed tax deductions.🚨 Common issues I see:❌ Not properly tracking repairs vs. capital improvements❌ Missing out on cost segregation & depreciation write-offs❌ Scrambling at tax time instead of planning proactivelyI’d love to hear from the group—what’s been your biggest tax headache as an investor?

10k Course, Sub 2 an inner city boarding house, Cost Seg, Cook Islands Trust  Naa, you forgot a step: after the sub2 and before the cost seg you need a G6

Initially the numbers were 40k for rehab cost Lessons learned?

the value added versus cost to add, especially in single family zoned areas, typically results in a large negative initial position.  

It will likely be cheaper than the cost of financing.