Your homeowner policy may cover minor repair work but probably not a large construction project. 

And both types take into consideration projected income but the residential loans go against my DTI.

This is the structure we were looking at which is more of a subsidiary structure and this applies to raw land development: 📌 Structuring Plan1️⃣ Set up a QOF to raise capital from investors.2️⃣ Create a QOZB to handle hotel & parking development (each separate land parcels).3️⃣ QOF owns the land & funds QOZB for development.4️⃣ Raise capital through QOF equity, bank loans, or JV partners.5️⃣ Develop the projects & operate for 10+ years for tax-free gains.

@Krissi Miramontes sounds like it was a nice project.

@Jermaine Wesley thanks for sharing, as a retired Navy veteran I am stoked to see that you Mr deployment savings were supercharged by this project!

We invest locally and enjoy being involved in the projects.

A common pitfall is treating each deal as a standalone transaction instead of connecting acquisitions, financing, and project management as part of one cohesive process.

Once you feel you've built a strong team with your first property and have solid systems in place, I would then start buying more aggressively and taking on bigger projects.

I can provide support of checking in on contractors, staging rental properties, walk potential leads to give you an idea of the property in person or what the area is like, meeting with agents, and drafting scope of work for projects. 

Here are a few high level thoughts for you as a beginner:-Don't lend in second position-Don't do deals with new investors-Don't experiment with new strategies, even with experiences investors- ie, don't jump in to a first development project with someone just because they've flipped 20 houses.