I feel the time is good since theirs fear and people are hesitant because of rates not dropping, thus giving me a opportunity to make this move. 

You can also check Turno to see what the going rates are. 

However, my loan was an ARM, and is currently at 5.5%, but will be resetting within the next year to market rate.

Worse case you will be dropping on average $10,000 to replace the line.

I'm a little nervous too because the asking price is a little high for the amount of repairs that are needed, but I'm trying not to scare the owner with a low ball offer because I'm focused on getting him to finance the deal so I can get a low interest rate or no interest at all.

Okay, if you don't have $1,000,000 to drop in the Detroit market and build your own construction team, now what? 

I may have stumbled upon a great deal but as I am not a professional or seasoned expert like most of you, I thought I would drop the numbers and plans here and see if I’m outside of my depth hereNear Clanton, Alabama I found a 4 acre lot for $100k.

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Check past home values and rental rates using sites like Zillow and Realtor.com or local house market reports.

I am not sure what to do, since I cannot create new companies for insurance options, and do not expect those prices or interest rates to go down anytime soon.