Definitely try to unload the property first with a wholesaler or agent prior to going this route.

Lumber prices throwing things off at the moment, but by the time you build, i expect them to return to something close to normal.  

I am now unloading all of my C class properties for those very reasons and I will probably never take on any others.  

@James Back, we prefer McCabe Lumber in Loveland.  

If you put out your lifeline out into the world during this time, I guarantee someone will reach out for it.Banks, businesses, and financial institutions want their problems off their books by the end of the year.Those REO's that have been an issue because the banks are waiting for the right offer, may be a little more pressing to be unloaded during this end stretch and this may be the difference between an accepted offer or a missed deal.I'm light of this information, it's easy to see how this imbalance between the increased deal potential and the decrease in competition can create the perfect storm for profit to the savvy investor that is willing to go the extra mile and not check out through the holidays.

I lined up buyers as another contingency/ exit plan, incase the lending doesn't work out, or some unforeseen issue , where I need to unload the lots.  

Taxes and insurance have gone way up and, with the rates so high, it's driving me to just unload one of the houses and pay off my primary mortgage.

Tell me about it Mike... its nuts lately.I have many qualified borrowers Im working with that have a hard time right now.I've been adjusting pre-approval letters on each offer with RE agents to submit and still no acceptance.The sellers just have a lot of choices to pick the cream of the crop.The good thing about the market is it allows sellers to unload (as an investor) their properties at a top tier price.For the buyer/borrower it sucks since its frustrating offer after another.As a banker its frustrating because sometimes we enter escrow then we fall out because of entering escrow at a price too high to appraise for and then we're back to offer after offer to try to get back into escrow.With each challenge there is opportunity though.

I'm pretty happy with the product, especially after shopping at Lumber Liquidators and other spots and seeing that they don't offer similar quality at that price range. 

@Andrew Michael - I'm currently working at 84 Lumber.