I'd recommend having enough to close on the deal + rehab + $5k in reserve as a minimum. 

Just wondering how many folks would really use this that are like I said not really educated on how title and escrow works and I find East coast folks to be highly reliant on closing attornies and have very little knowledge of title and escrow functions..

If you would of closed at 255K Im assuming the liens would of been cleared.

Any follow up? 

I think it was for down payment and closing costs.

The two existing LTR units (on my family’s property) were built 5–8 years ago at a cost of about $80,000 per unit, so I’m estimating a 20% increase in costs for the new builds.My plan is to use the equity in the land as the down payment for the construction loan, which I expect will make closing costs the primary upfront expense.

I'm following it closely. 

If you end up in Cleveland you'll want to read The Ultimate Guide to Grading Cleveland Neighborhoods to give yourself an in depth idea of the market.

Apparently the US government will pay for the rent of enlisted men if the property is close to a military base.

@Tanya Maslach I highly recommend that you look up/connect with Nobel Crawford, he focuses on corporate placements and teaches clients how to do the same