There's no guarantee it's in the contract.

It's never a guarantee as there are many factors but yes, it would correlate highly with increased values so long as that public transportation is providing access to a major metropolitan area. 

I don't know much about how personal guarantees work though.Here's something worth considering.

I guarantee he felt regretful he wasn't living in a $750,000 house and driving one Audi.

Those kinds of loans, rent to own, owner finance, can be expensive, certainly more expensive than a federally guaranteed loan.

It is, in my opinion the most powerful financial tool in your toolbox.If you want to see how powerful it is, ask your bank to convert all your debt to lines of credit, and I guarantee they'll say, "Sorry, you have to have some amortized debt."

its hard for most builders to amass enough equity .. many end up doing it but it takes volume and years if your just doing a few at a time I flat will guarantee all profits go to life style and his personal over head.. not to savings.. some builders do not need outside capital others do..   

So even if a sponsor is a qualified operator they may not have the net worth required to get a loan to finance a deal - therefore they bring on a partner with a large enough net worth/balance sheet as a co-sponsor to guarantee the debt and then compensate them in some way.

The Rural Development multifamily  programs are a whole different animal than folks are discussing here, which is the single family guarantee or direct loan programs. 

So even after all that, nothing is guaranteed...After the Zoning is approved, you can then proceed with the rest of the Building Department review.