At the end of the day; you need more money to do something like this.MAX LTV on new builds is 80% LTC, Meaning if the build is $550,000 and Land is XAdd ($550,000 + x ) * .8 = LOAN AMOUNTYou would need to come in with MINIMUM 20% of the cost in addition to closing costs and reserves, $80,000 is not going to cut it for this project.

De nada 😎I don't know that market at all (FYI, I don't see this is other Midwest markets where my CFO clients buy properties), but I suspect it's related to perhaps the international investors that agent may work with...they are often cash buyers as it's very difficult to borrow here if you're not a U.S. citizen.

The current rents are really low because the tenants are responsible for doing any and all repairs on their buildings (which in my opinion contributes to the poor condition of the buildings). 

Quote from @Kyle Hess: I'm building a list of tools you could have handy while touring a potential fix-and-flip. 

When the whole covid shutdown occurred, I dropped out of college to help my father's service business maintaining and remodeling residential and commercial buildings.

Just want to mention that sometimes it works out better to raze an existing property down to like 2 studs and rebuild around it so that it still is classified as a remodel versus a complete new build. 

I am excited to start building my portfolio and learning all I can.

@Chanel Snerling not sure why you are so focused on building?

It makes sense for your new build but you'll have leverage something (fixed rate) to get out of that loan. 

Pre-construction homes, which could build $50-60K in equity within a year or two.I can afford a 20% down payment, but I’m torn between focusing on equity (pre-con) or cash flow (resale).