New construction at that is a plus.I've been digging for a similar deal myself for the past year in California, but it seems that there's nothing out there that will lead me to break even on a monthly basis unless I do at least 15% down.

Passive investors need to dig deeper to cut through this.

Obviously the closer you get the to coast lines and to resort areas the higher the price points get.If I had 80k and I was digging into my HELOC to get it, the most capital I'd want to tie up in one deal, the first deal is 30k - 40k max. 

They are clearly trying to scam you and if they file a false police report they are just digging a hole for themselves.

You essentially would be digging deep into your own pocket when these costs arise.

@Robert ColdwellI try to make the vanguard, dpi and sometimes the Dig (little far) each month.

So the follow up question is, does it make sense to keep a property for that long and not dig into its equity for 21 years?

Quote from @Robert Herrick: If your other flip is successful, you could use the cash from that sale to dig yourself out of the hole on this one.

I have been digging through the guidance and am wondering if anyone has ever taken advantage of the following clause regarding 203k improvement types from the HUD SFH Handbook 4000.1, pg 374:- "reconstructing a Structure that has been or will be demolished, provided the complete existing foundation system is not affected and will still be used;"- "repairing, reconstructing or elevating an existing foundation where the Structure will not be demolished;"Guidance link: https://www.hud.gov/sites/dfiles/OCHCO/documents/4000.1hsgh.pdfHas anyone ever built a new home on top of an existing foundation using a 203k loan?

Really, really dig.