Private Money or Hard Money LoanHow it works: Short-term loans from private or hard money lenders to purchase the lot and finance the construction.Benefits: Easier approval and faster processing, focusing on the property value rather than your income.Downside: Higher interest rates and shorter loan terms (typically 6-18 months).

No 1.75% funding fee so conventional loans typically have less closing costs.

What I see is typically in the $3k - $6k range for those types of properties.

Quote from @Melanie Baldridge: Why I like investing in real estate more than 401(k)s.Both offer tax deferrals, but here's the difference:If you're making pre-tax contributions to your 401(k), then withdrawals = ordinary income tax.With real estate gains, you're paying capital gains tax (which is typically lower).Plus, RE investors get:1.

Legal Protection – It's important to have a solid contract in place, typically a promissory note and a security agreement that outlines the loan terms, interest rates, repayment schedules, and collateral (often the property being financed).

This would typically include legal fees, the receiver's fees and costs, and the repair costs. 

You typically want the LLC where you'll be operating.

Typically this means they will take longer to close, may not have all the information for the companies they work with, and most hard money brokers get their money by taking an existing product and adding extra points to pay their fee.What is your investor success rate?

Typically you cannot 1031 out of a syndication as the partnership (ownership enttiy) must be the one to do it, not an individual investor.2.

Both these 2 are not easy to do, and typically take expertise, experience and or capital.