I am a general contractor with 20 years of experience building new homes and renovating existing homes.

However, it's prudent to acknowledge the existence of a "loan-to-own" mindset in certain circles.

Maybe some specialty programs exist for prefab homes or a custom ADU builder might have his own lender partner they could refer you to... but unless you yourself are an experienced home builder with a track record in ground-up construction, you're basically looking at a hard money or a HELOC.

This policy will provide additional coverage above what your existing policy covers.

I considered one exit strategy if this doesn’t work after a couple years, which would involve selling fractional shares of the unit while keeping half of them myself in hopes, the sale of the fractional shares would offset the existing mortgage and maybe put us in a winning position.

si=rYPoMqzL8hZ8lGPR This project involves renovating and revitalizing the existing property to transform it into a modern, functional, and aesthetically appealing single-family home.

It also matters what budget tier you exist within a market - like the $ - $$$$ for restaurants, we intuitively understand the general experience and price point based on those dollar signs.

Ideally, you work on a smaller project first, but if that is not an option go to an existing job and talk to those existing clients.BE VERY PARTICULAR AND NOSEY

A few existing homes in the community are $70k annual. 

Essentially my idea would be to sell 1/2 my interest, pay off the existing loan, and be "partners" with this person as long as there is a defined exit strategy.