Underlying economic forces lead the continuing rise in home prices: Demand exceeds supply in most cities, especially for entry-level housing.

I would say you could find a decent asset with a $50K budget, keep at least $5K in reserve for servicing fees, force placed insurance, property tax maintenance and possible foreclosure expenses should the borrower not be able or willing to resume their payment performance.

Plus it gives me a greater opportunity to force equity appreciation.Just remember when you make your offer that you must consider what your all-in costs will be.  

They owe, make them pay.In the mean time rebook a inspection and force them to let you and the inspector to enter.

They can't force you to stay beyond the end of your lease term or charge you a penalty if you leave when your lease is up.

No forced air/ductwork in this house.

Since Im mainly involved on the financing end I would look at the after repair value (ARV) of the construction, permits/softcosts, holding costs, land acquisition costs, and etc to make sure you have sufficient margin or safety for profit if you need to sell or equity if you need to refinance or take out that construction loan so you can hold.I would always recommend multiple exit strategies prepared in advance so you arent forced to take any specific route.Generally Land acquisition costs are 10-20% of project cost but in areas where the ARV is 300-400 persqft or higher you can pay a higher cost for land and still make your intended equity creation (if you intend to refi) or profit margin (if you intend to sell). 

Most members i've seen and worked with were forced to fill out a budget plan with their command as well as getting provided an interest free loan.

I agree that is mostly true, but even if I'm forced to sell the property in 5-7 years, hopefully the tenant will have paid off at least enough principal for me to exit without writing a check.

My hands were tied and forced a foreclosure on me.