Some hard money lenders lend soft - hard money, use credit scores, cash flow coverage, etc.

After that, it becomes driven by what can be done within the budget, bass-acwards, but you'll get there with experience.

If the drywall is soft, definitely replace.

In my most recent remodel I used:- off-white for bathroom- different off-white for ceiling- white trim- soft yellow/tan for master bedroom- gray for bedroom- lighter gray for darker middle bedroom- gray/green for living room, kitchen and hallwayThe net effect is that the house "pops."

From that, subtract any improvement/building costs, subtract soft costs and subtract equity/profit that a developer would expect, and you can get an idea of what the land is worth.Sorry to be so vague, but it's unlikely anyone here can offer more detail without more information.

In my opinion, the soft costs (except mortgage) are embedded in the 70% figure.Have a blessed day.Bill

He asserted that the prices asked were a "solid 8.5% cap," but a quick glance at the numbers reveal that all of the soft costs - capex, maintenance, vacancy and property management - were disregarded.

Yeah, they're soft about the weather here for sure....but not on their deals, lol.

@Mark Updegraff - What you are referring to is the Soft Second Mortgage program available through the city of New Orleans.

What would you soft costs be?