I look for cashflow to service the debt, repairs, cap ex, taxes, and insurance while the equity grows, my taxes are decreased, and rents are increased to make more cashflow. 

Quote from @Devin James: Quote from @Dominic Mazzarella: Quote from @Devin James: Everything went wrong with this investment:   - Took 4 months longer than expected   - Cost $10K more to build than we anticipated   - Sold for $20K less than we anticipatedWe still profited with a 30% return on equityThis is why I love Real Estate InvestingWhen you do your diligence and stay conservative with your numbers, it takes something really bad to lose money.Here was the original post:My siblings and I are building a home in North Port, FL.Here are the numbers: - Finished Home Value: $412Kish - Land Cost: $19,750.39 - Construction & Permitting Costs: $304,897Additional costs: - Environmental Site Assessment - General Liability Insurance - Builders Risk Insurance - Construction FinancingWe will be listing the home this weekPhotos coming soon!! 

. - some strategies I've seen California investors use to lessen negative cash flow: house hacking, mid-term rentals (people temporarily displaced from home renovation or insurance reasons like fire), rent by the room, Short Term Rentals. - The ultimate house hack, live in the small ADU unit and rent out the two levels of the main house on AirBnb in San Francisco (I would have thought STRs are oversaturated in S.F. but it worked for them and they stay fully booked).

This is also accounting for my increase in insurance costs due to adding insurance to the ADU. 

This should include potential rental income, expenses (including property taxes, insurance, maintenance, and potential vacancy), and your expected return on investment. 

How much is insurance of these properties?

Insurance companies are taking a close look at building materials, quality, and updates. 

If you're not sure about your contractual rights and obligations, seek legal counsel.  

I began to see through everything, but because of my kind nature (that has since been changed) I felt obligated to continue trusting him, that it was a mistake.. that it would get better.

The solar system adds no value to my property for rental purposes, and I may even be ripping up the roof & replacing it in the new year.Beyond sending a nasty letter through my attorney via certified mail, demanding the company come pick up their equipment, am I required to take any further action or fulfill any obligations regarding these contracts?