It is important to be able to analyze the trailing 12 month financial statement of a property and take a deeper look at the loss to lease by examining the rent roll.Ideally, you are lucky enough to have an excel version of the rent roll provided to you by the broker or the owner you are interacting with on your potential acquisition (or.. if you or someone you know is developing a character recognition software that is able to read a PDF version of a rent roll and convert it to a nice, clean excel version please let me know!).

@Eric James You see, when you develop relationship with an agent, you can do that.

If so, what size developments are you looking for 1-to-4, or something larger? 

Eventually they get it and move on. 

The home will eventually be listed for sale on the mls (realtor.com will display the listing) and by Fannie Mae on homepath.com , usually giving preference to owner buyers at first.

I know i will eventually screw up or something wrong will eventually happen but id like to make that as minimal as possible and get as much knowledge as possible please help me out guys id appreciate it.

I have found these smaller, regional banks can be more open to development and investment backing than the bigger names.If you're looking for individual contact names/#'s, PM me and I can send you some.

To explain my parents situation, they tried investing in rentals but soon, became the frustrated landlords that you always hear about on the podcast, making all the typical mistakes, to their eventual forbearance of their real estate investing goals. 

This will eventually have some cooling effect on the housing market.

So, lots of money (and Fremont has a lot) plus serious lack of new construction SFR plus still historically low interest rates mean something like this is a great deal for a developer, and actually not that risky a bet.