To get started you need an additional strategy that helps you build cash.  

Also a non-starter is your hyperbolae; "toxic waste lot's"......

Until you can scale, it's likely that you can execute flips quicker than new builds, thus you can turn around profits quicker to reinvest. 

It is like building a business, there is a tactic(s) to get those leads. 

I'm looking to build my network of investors and contractors and all the other in-between specialties.

Hey Bigger Pockets Community,As real estate investors, we focus on building wealth, creating passive income, and securing financial freedom.

Quote from @Jimmy Sont: I'm looking to build around 700 sq ft 2 bed / 2 bath guest house primarily used for short to mid term rentals.

I'm not sure what your specific market is but especially on a new build their is some kind of TIA budgeted by the ownership.wast that negotiated as part of your lease by your tenant rep? 

There is definitely many builders that will build below $550K.

I want to take this opportunity by qualifying for REP status.I have also been meaning to build 2 units in my backyard and put them on rent.