We recently closed a500ac REO for 10c/dollar (based off of inflated purchase price) and the buyer was able to get triple the acreage under budget. $1577/AC.

Rents not much more 20 years later and appreciation just keeping up with inflation.  

@Karen Margrave great read about rising from the ashes!  

As rents rise, the job market continues to strengthen, and builders respond with more affordable housing, homeownership becomes more appealing.

Raising interest rates does a couple of things:First thing you will see is salaries will rise.

Ok, lets say I have a piece of land in mind that I would like to develop a few mid rise apartments and condos on.

Can anyone say hyper-inflation?

I hope you are shocked.Now, calmly, on the other hand, if you are just speculating, that is, you are just happy with the general rise in the market, as long as all the old owners remain optimistic enough to keep on sitting tight so that there are few sellers, as long as enough high-tech jobs continue to pour into Portland (doesn't have to be many), as long as there is money in China looking for a way to not just disappear into thin air as in China it might (because at least here in Seattle that source seems responsible for most of the price-raising buying activity), then sure, maybe you are happy to pay 5.5% for the privilege of gaining that speculative increase in equity. 

Otherwise, get a huge non-refundable down payment, have the customizations spelled out in contract, and sell her the finished product at an inflated price. 

Not very desirable although price inflated because of large population demand.Palm Bay or Vero Beach/Sebastian would be a little cheaper, but you get what you pay for.