@Alecia Loveless  We plow AND salt , we dont give the customer an option . 

I have 2 options:- finance the construction pre-selling the apt, and take my profits (expected to be around 700K pre-tax); or- finance the construction with a 6-7%/year loan (collateral = my house), keep the 10 units, and once the building is completed in 24 months, rent them for circa 180K/ year gross.

Below is a list of data that I've used in my market research and real estate underwriting, along with some other sources that people might find helpful.

Are you looking for "value add" options or turn-key?

The original post leaves the door open for a challenge by the IRS, so the safe harbor of holding it for investment for two full years is the safer option.  

Your specialist must find a reliable source for the estimated cost and clearly document the source within the case study.

If you had no knowledge and they broke the lease I'd issue a notice of non renewal, but give them the option to remove the cats.

What you want to avoid is a lengthy contract with extension options.

The best option is to respond quickly and professionally in hopes that they move out.I would give the tenant two options: 1. vacate the rental in one week, leaving it in the same condition as when they moved in, and I will refund their deposit within 72 hours; or2.

Just make sure the town is ok with the land being zoned for multi-units, and look into construction costs, financing options, and permits ahead of time.