@Chirag Mehta For construction costs, you should be around +/- $100 PSF which would include all sitework, utilities, and going vertical with modern finishes.  

At the current price, adding the additional lots would make them about $30,000 per lot, depending on the price of the additional utilities that need to be added. 

There were challenging grading issues and limited access from the street to bring in utilities.

That means if you could get $6,250/mo, have zero repairs, zero maintenance, zero capex, zero vacancy, provide zero lawn/snow/landscaping, pay zero utilities, and pay zero management.

Everyone on here is saying that you can do it, but it's definitely not possible if you don't have a lease in place on the unit you are currently living in or can show you are living somewhere else with a utility bill or rental lease  to demonstrate that you are not intending to live in the subject property.

I understand the first parts where creating a win-win deal is key, I just can't seem to find what happens  When it comes to closing real estate transactions, there are basically three ways to do it: (1) do it yourself (2) utilize real estate attorney or (3) utilize title co.  

Quote from @Zachary Deal: A lot of investors utilize the BRRRR strategy in those markets as there is relatively high rents compared to the value of the properties!  

Neither outcome is good for you.I give some approximations of each expense category in The Hands-Off Investor, but the best way to nail down operating costs is to look at the property's historical performance.For example, Contract Services and Utilities. 

If you can live for free and only pay utilities AND buy an investment property, that would be ideal in terms of savings and cash flow.If you can't stay and your parents want to make some money on that property, then yes, house hacking would be your best option especially since you don't want the best place in the multi.

Separately metered with tenants paying all utilities.