Quote from @Conte Cuttino: My advice is very basic: always hold a property unless you can sell and invest the money in something that provides a greater return or moves you closer to your goals.

U want your parents to talk to their CPA FIRST.. if they go the development route they are now ( depending on the amount of units) creating inventory.. which will be taxed at ordinary income rates ( very HIGH)if they just sell they can 1031  and move on to something else.. many times when you run the math consider the risks of a partnership.. the sale of the land is far better than thinking your going to make some profit.. 

(can't remodel until tenants move and they typically stay for several years)  Also have new signage coming.

Brad and Heather Panek, MOVE Realty

If the property owner is a "long time childhood friend", then she may be willing to cut you a deal where she pays for the closing costs and/or she may contribute to any repair/remodeling work that the property may need.Once you move in you could house hack and start saving money so that you can acquire more properties. 

What if people would just move a little further out....would we still have this alleged 'housing crisis' ?

Especially with me having serious buyers and feel as if I could move the property fast.

I moved from CA right next door to Reno, NV to house hack and invest. 

If you put anyone in a long-term lease, they should be adequately screened, all funds paid, the lease signed, and every other requirement met 100% before you hand them keys.People who pay cash and want to move in immediately are often the worst renters, usually desperate because they were just kicked out of their last place.

If there isn’t a “problem,” then as an “investor looking to do creative deals” you basically move on.