Then of course you have your actual construction costs.

Try construction mgmt?  

I bought and sold pre-construction condo's in downtown Chicago for many years.

I've seen several models, 1600sqft condo, 4000sqft home, a 5000sqft rented facility in a strip mall and a 10k+ sqft new construction catered primarily to a daycare facility.  

I have been in the construction since I was 17.  

@Robert Easter, that's why you will hear investors on here and podcast and books mention to use other peoples money. and @Gregory Hiban brings up the point of holding on to cash for emergencies, i agree with that totally. i was going to buy a fix and flip all cash and do all cash to fix, but decided against that because of the reason of having the money on hand, i have a student rental not rented for next year yet, i want to have that money just in case. i bought the house with money i still had in an equity loan and i am getting a construction loan to fix it. 

Tear-down across the street recently sold last summer for $565K and ~3500 sq ft, high-end, new constructions nearby are selling as soon as they hit the market for ~$1.5 million.  2.  

I have zero construction / rehab knowledge or experience, so I've read both of J.

Which they have cornered  that industry in construction and lending.

I have some landlord experience along with residential construction experience.