The industry term for this is “dealer property” there is a great deal of case law on the issue as to what you should be considering in performing this analysis.If the property is treated as inventory, the gain is ordinary income, not capital gain.A conservative approach is to hold the property 2-years post completion to treat it as a capital asset.You should speak to your tax advisor on this issue as it is a complex analysis.

Interested in learning more about the BRRR approach you guys are speaking on. 

It seems (in my limited experience) that every time one approaches a 'realtor...' they either consider an REI a "competitor?"

Cap Imp vs Repair Expense IRSI'm in the middle of doing some 2017 tax crunching last minute so of course I am on Bigger Pockets forum instead of finishing up my taxes :-)Anyways here's a useful tip on Cap Improvement vs Repair ExpensesMy strategy has always been to increase regular maintenance, repairs (Repair Costs) and spread out costs over time instead of the hands off approach to defer maintenance into larger Capital Improvement expenses. 

I agree that a more personalized approach should yield better results.  

Another approach is I could cash out on the farm and just buy a different property in the area. 

Brought a buyer quickly. 

I think the best approach to this situation is when dealing with (beginner) investors who are referencing properties they have seen on Zillow, show them the margins of those properties compared to properties you are have available.

I won't pretend they don't like to spend, but they all know it's important to Save, and more importantly to Invest.I think it important to present a consistent overall approach but that drilling daily/weekly about the importance of specifics might be overkill. 

The house is not on the market and I need to approach my landlord about my interest in purchasing the house.