There are numerous factors that are making new construction costs higher than they have ever been in many markets.Materials, labor, and regulations have all inflated.  

i see two options here 1) you can go back to dad and break it down as hey i cant close on the house until it's vacant and see if he can help in getting them out, 2) offer some moving expense if the lot is really that desirable to you I know not what you want to hear as the investor but it has worked on numerous occasions, 3) you will have to take it to the courts as final resolution so the sheriff can remove them.

They met with numerous others including PM companies.

I'm very hesitant to get rid of the house for numerous reasons that I stated in my last reply but also that rate. 

I have been analyzing deals and see numerous examples where it does not make since to move forward on purchases, but somehow people are still making excessive offers.

My banker knows the guys and knows that he has received numerous offers over the last few years to buy the building.

There are numerous foreigners, but they all seem to be from China, Hong Kong and Thailand.  

What wasn't mentioned is there are several cities in the state like San Marcos which requires a general contractor to pass the national ICC's contractor exam which can be taken at numerous testing facilities and is similar to the licensing requirement in a lot of other states.

(Numerous exceptions exist, this is just general rule).

I believe that I’ll be able to leverage numerous advantages since I will be living next-door such as lawncare (I already do it..), Wi-Fi, and obviously convince if I need to clean or fix anything in the unit.