There are a lot of site-specific issues you need to investigate before deciding what the land is worth to you.

The landlord should be named on the tenant's insurance policy for additional protection and to assist with tracking compliance.

I've now used it twice.The program requires 10% down, must be a rental, no PMI, and has a very high standard of credit.Last I did it (Summer 2022), my rate landed in the low 5%.  

What you need to look for is a market that is growing in population and jobs and gas beneficial landlord laws. 

Quote from @Rushi Shah: Hi everyone, my partner and I are renting right now and looking to start our landlord journey.

Most of our buyers and investors are focusing on value add or land acquisition to build to experience cashflow and equity.

I can buy landlord insurance without coverage on roof (wind/named storm peril) but is it worth the premium?

Additionally, the price point is still cheap enough to find the 1% rule and positive cash flow and it's super landlord friendly (so you will never have to go through a 12 month eviction or anything close to that!).

@Emily Shin landlord experience is invaluable for a career in rental real estate.It's not something you may want to do long term, but the experience can help you select and manage PMCs.

In your case, changing the property from a rental to your primary residence constitutes a change in use.The depreciation recapture will be calculated based on the fair market value of the building at the time of conversion, not including the land value.Since you're tearing down the existing structure, the entire amount of depreciation taken over the past two years will likely be recaptured, as the building's value at conversion will effectively be zero.The recaptured amount will be taxed as ordinary income, up to a maximum rate of 25% for residential rental property (Section 1250 property).