Hello @Fulati,With that budget, I would look for houses in East Memphis, Cordova, or Bartlett.

We are not currently under any sort of contract and we just found this thread through a google search on Lendbase.We are currently working on a construction loan to develop some residential lots, assumed the Mortgage Broker would be on the up and up... had some sales-ey call with a guy out of Utah. 

Take a house that sold at a low price twice in the past.  

This is very useful.You could build a deck or gazebo to house a hot tub.

Be skeptical of the developer's claims, as your property's value likely won't see substantial growth until the entire development is completed and sold, which could take several years.

I knew I wanted to develop an empire, scale my business, and achieve 100,000 units.

The housing market never ceases to surprise us. December marked a big moment: for the first time since mid-2022, home prices increased year-over-year in all 50 of the largest U.S. metro areas. Yep, every single one.
...

As others have said, the best thing your son can do is run far from this deal, buckle down, save his pennies (he probably already is doing this), house-hack, and improve a property with sweat, hard work, developing a DIY skillset, and self-managing tenants. 

I have owned houses in 'floodzones' that would never flood except in a once in a lifetime situation.

After 20 years as an investor, broker, and lender, I can tell you that house hacking is one of the smartest ways to start.