The house recently appraised for $550,000 and we received an unsolicited offer in the $600k range a few weeks back.

There is typically a little more regulation with what can and can't be done in certain town homes.

Tenants that do this sort of thing typically have done it many times in the past.

More often that not, the PHA section 8 voucher can get you rents that exceed the typical market rental amount in the area.

While I’d prefer a long term renewal, I wondered how you typically determine a month-to-month rate if the tenant decides to go that route? 

I would also talk with a flex-space builder/GC to understand their typical costs?  

And help or suggestions would be appreciated. thanks Typically a local investor will have a neighborhood grade map they use and will share with you.

I've always self funded so I'm not familiar with how these deals are typically structured. 

CCIM and SIOR are good options, but they require a level of portfolio requirements to receive the designations that you won't have until you get immersed in the business yourself.Ultimately, what you need more than knowledge to succeed in this this business, is the willingness to have hundreds of conversations weekly with people you don't already know, and to do that every week for the rest of your career.

This method not only ensures efficient funding during construction but also minimizes interest payments, given that construction loans typically extend over 12-18 months with interest-only payments.After the first year, my expenditures are as follows:Land: $200,000Construction: $600,000Interest: $60,000Total Investment: $880,000Here's where it gets interesting.