@Caleb Childs there are a lot of rules when receiving cash out with a conventional loan in the first 6 months of ownership. 

We've done subdivision work in different states and the rules are different everywhere. 

I am working on a mock real estate development project submission, and I am looking for some general rules of thumb on how best to estimate the following:1.  

Don't rule out opportunities.

I am not an accountant or attorney, but to be able to deduct on your taxes you need to follow that rule. 

A lot of people use a 1% or 2% rule of thumb, meaning the rent income should equal 1 - 2% of the purchase price. 1% would be $2,700 a month income and you're projecting closer to .7% which is not a good deal.You could also evaluate the property using the 50% rule and see that it's not producing enough income for you.

That doesn't even break the 1% rule, and in the Little Rock area, I routinely get above 2%.

For Fannie Mae, regardless if the loan is in the name of the LLC, if you own 25% or more of the LLC, it counts in Fannie Mae's 10 financed property rule. 

I think we should look at it as a general rule of thumb.

Start by looking at the 70% rule.