This gave me some creative ideas about how to configure the units and make it more appealing to a wider market with some variability/flexibility for the owner. 

There is no guarantee rates will go down and stay down and with a HELOC your rate is variable.

The idea is that the variable interest rate will remain lower than if it was based on prime rate.

A lot of variables with this, but a JV agreement and/or operating agreement to start.

Just a lot of variables and am relatively new to the industry. 

There are always going to be some variability in performance. 

Liam,How much per Lead before the discount, and is it variable based on any valuation of the property?

There is a lot of risk and variables to navigate and sort through and I'd much rather learn on-the-job with my own capital than risk others.

Having trouble analyzing this deal as there are so many variables and I do not have the experiencing analyzing deals to make me feel comfortable taking the risk.Purchase price of the land would be $250,000 not including closing cost or fees, and construction for a new 3/2 home with an attached 1/1 ADU is estimated to cost around $300,000 - $400,000 finished.

The reason for this, is the variable work, to put it simply is, A LOT OF WORK.