Maybe approach it backwards......ask them how much more rent they'd be willing to pay for an extra bath?

If were to approach a developer to build a multifamily property and the cost would be $2million, how do I determine what the post construction value (for cash out refinance) would be once its filled with tenants.

If were to approach a developer to build a multifamily property and the cost would be $2million, how do I determine what the post construction value (for cash out refinance) would be once its filled with tenants.

How do people typically approach buying a second home like this if they want to keep the first one and rent it out.

You may want to call a lender or two and understand how they would estimate the value as you may get a different value based on the approach.

This approach also allows you to benefit if prices continue to accelerate over the next few years.

@Bruce Lynn looking for a consultation on establishing LLC and how to approach JVs contracts to flip houses.

Best of luck to him and his approach, I do not recommend it.

Ok, so I had an extremely motivated seller approach me about buying their property.

This is not technically correct, but the most practical approach is ATM.