But yes, that requires learning a lot and taking initiative.

Most lenders will say no upfront, but some can do cabins if they meet certain requirements.

You can also hold money for maintenance, capex, taxes, insurance, or other projected expenses.

The structural evaluation that is now required (should have been common sense) is being done for the first time in fifty years in some cases.  

If the balanced is refinanced into a conventional loan there would need to be enough value in the property to meet the lenders CLTV (combined loan to value) underwriting requirements. 

This will allow you to learn the ropes and minimize your risk as you gain experience.Monitor your investments: Continuously track your investments' performance, including rental income, expenses, and property value.

The first plat has the house (recently appraised at 154k) which requires more work than we'd like to put into it.

I was wondering if anyone here has managed to do a new construction BRRRR in the more expensive states.

I wouldn't necessarily give the tenants all that detail and copies of receipts, but you will need to have it if your assessment is disputed.FWIW, for severe damage, many landlords will stop at the maximum allowed by small claims court, because going to a different court becomes expensive.

You are just trying to balance your revenue with the increased expenses of operating this business.