I cant really give out the address quite yet, but it's on the NE side of town, 860sf, 2 bed 1 bath.

Any new construction is about high 100's to low 200's minimum these days because cost to acquire land, entitle it, labor, and construction materials have all gone up.If you are buying 150k below type stuff it can be very tough as existing properties you have home buyers, local buy and hold investors, flippers, out of town all cash CA type buyers who will take less yield to get into a market, etc.

I am exploring my next real estate move, and open to all types of asset classes (multi-family, commercial, farmland etc) and abroad. 

I found some Residential General property that has been Zoned by the local town for 5 two story town homes. 

almost every nice home is above market value in our town. reason being is our sewage pond is to small for the growth we have encountered so there is no building permits for the next year and half roughly. the only option is to buy an already built home or have your own septic system which there isn't a lot of land for sale either. so the market here is very crazy. our realtor also hasnt sold in our town. so im very confused on our situation. thank you for the reply.

Are you buying in Chattanooga proper or finding your deals in the smaller towns outside the city?

I've come across a 2 unit town home, upper/lower units that was marketed at $195k.

Don't know if there is a possibility in your town, but that could boost your ROI.Erwin

The Property is right on the edege of town on 5 acres, but only 3 miles from excellent schools. 

If you had any interest in exploring that, please send me a direct message.