There is a mechanism.  

Do a comparison on your financing mechanism in both states.   

I was a maintenance mechanic for many years.  

Adjusting financing, taking out tax-free $ via a loan mechanism can have more benefits then simply the additional property it acquires.

I've seen furnace and mechanical closets undersized and, like I said, simply omitted. 

The door is glass but I've let them know this can be a basic $400 door but the contractor says he can't do it for that cheap and that I should hire a handyman but I'd have to keep an eye on him and that's part of why it's expensive.I've also done some research and while there are many windows that need to be replaced, the sliding glass doors may be able to be fixed by fixing the sliding mechanism since the biggest issue is the doors stick.

I either buy properties with brand new mechanicals and roofs or done a rehab to put in new mechanicals.

I'm not sure if I'm putting too much emphasis on school zone or not, but I've read that it's important when trying to find tenants. 

I'll use simple yet realistic numbers for those who are not familiar with the Bay Area real estate market, Example Business - Real Estate Developer LLCLot Price - $1,000,000House Size - 3,000 Sq FtConstruction cost per square foot - $500Construction Cost = #2,445,000Total cost to Build = $3,445,000Sell Price = $4,500,000 Average square foot per area (Palo Alto and Mountain View) - $1,500Construction Cost BreakdownConstruction Cost @ $500 a square foot$1,500,000Contractor Fee 10% of construction cost$150,000Civil, Mechanical, Electrical and Structural Engineering & Architect Fee 30% of construction cost$450,000Permit Cost 1% of Home total value$45,000Site Work & Landscape 10% of construction cost$150,000Contingency 10% of construction cost$150,000Land Purchase BreakdownDownpayment 20%$200,00018 Month Mortgage Payments$95,000I know the land purchase will require a 20% downpayment ($200,000) and the construction loan will also require a 20% downpayment ($489,000).

Mechanicals completely updated.