Let them multiply your efforts, rather than you trying to compete with them.

Return On Investment or ROI in real estate is calculated very simply: ($ X 12) / Total Investment, where $ is the monthly rent multiplied by 12 months and all divided by the total amount spent on the investment.

So from my research I have done and the information I have gathered from a few brokers whom specialize in this area, the comps are averaging about $1,440/sqft.Property price: $2,900,000Development cost: $1,950,000 (estimate of $250/sqft multiplied by 7800 sqft home)Total estimated investment: $4,850,000 Estimated sale price of: $7,900,000 ($1,440/average sale multiplied by 5500 sqft living space)$7,900,000 Estimated Sale Price$4,850,000 Estimated total investment$3,050,000 projected gross profitafter paying interest on borrowed money, taxes, commission to broker and other surprise expense, estimated projected Net profit of 1MM- 1.5MM My question now is I have close to 30% of 5MM for the down payment for this development, what would be the best way or any way if there is one at all to raise the other 70-75% to do this project.

There is still nothing that lets them know that there is $75k (or whatever amount) of value out in the ether working and multiplying...

So you would calculate how much rent is per day in your rental, and multiply by how many days the unit is not available and reduce the rent by that much for this month. 

Multiply the sale price by 1% gives you the rent you might get which should be figured by comps in that area.Another thing to consider is the ability to make the tenant responsible for those utilities because those could vary widely and be your regret on taking that responsibility. 

I like (and invest in) Champaign, but only if you're local and can find a great deal or use some other profit-multiplier method (like BRRRR or house hacking).

Time weight on multiplier of capital invested.

It will generate a PDF with all the Comps you selected, photos, and will provide a breakdown of key metrics, including, but not limited to, an estimated ARV based upon the Average Sale Price/SqFt, which is multiplied by the square footage of your subject property.Two other recommendations: I'd recommend reviewing the market analysis of the neighborhood/zip code, including the sales trends.

Its a lot of work, but I couldn't agree more abut the cash flow multiplier.