They usually are high on estimated ARV and low on estimated upgrade costs.San Diego RE investing returns come from: appreciation, value adds, equity paydown.Value adds:Rehab: Standard BRRRRADU: have become popular in last 2 years due to changing CA ADU regulations. 

Regarding building the proprety for $700K, that is a challenge for sure.

@Michael Challenger I scraped all the cash I could find and borrowed from family.

One of the things I love most about this community is that people are not afraid to challenge the status quo (ie. the smart thing to do is contribute to your 401k).

Whenever I face challenges, I tap into my inner Goggins, reminding myself that if he can conquer the impossible, so can I.And let's not forget Think and Grow Rich, a timeless classic.

I think I would recommend people start class b but I recognize the challenges to get the numbers to work.  

But if your goal is to cashflow positive from the Day 1, you may find it very challenging due to current day interest rates, high cost of construction and the fact you won't have the efficiencies of a seasoned developer building at scale.

Covid was challenging for my rentals that historically had college kids as tenants.

That said, I do this with a a few investors on rentals since I'm a Realtor and Property Manager where I am boots on the ground for purchase, rehab and lease-up, however we had a strong professional experience/life together before partnering.Lending will also be a consideration as most lenders are hesitant to lend to non-citizens given the foreclosure challenges it can pose.

Challenges and Opportunities Unique to IndianapolisSeasonality: Tenant interest tends to slow in winter, so try to avoid vacancies during those months.Diverse Neighborhoods: Indianapolis has varied sub-markets.