My own belief is in a tract area, where the homes are similar except for condition, the automated estimates are fairly close. 

The lot had a previously approved tentative tract map that expired a few years ago.

Poor or nonexistent drywall finishing in cheap, tract-built properties from 1950 on, damaged plaster from before that.For removal purposes, there are only two kinds of popcorn ceiling: the painted-over hard ones and the still-unpainted easy ones.

My wife and I eventually want to purchase a tract of land and build our "forever home" there and turn our current home into a rental property. 

I have a couple tracts of land that are relatively flat and have been trying to see what i can do to turn them into cash flowing assets.

@Leo Chun Thank you for your response :) We have talked with only one other neighbor so far, she said the angry guy has caused issues and nuisances for everyone in the tract.

After Andrew, the little 1950s concrete block terrazzo floored tract house my family had  near Homestead AFB had only the singles peeled off.

I have looked at doing smaller homes before and it is hard as a small builder to compete with the tract home builders. 

However, smaller mom & pop operations would willing look at a smaller tract especially if there is decent wood.

I've never seen good things in those slab tracts that where thrown up 2004-2008.