My question is does it make sense to hold a single family in a market that the rentals are low compared to the sell price and focus on the long term value increasing or should I sell and have a clean start in a new state?

These are all single unit cottages a total of 8 on the property.

Looking for advice on finding the best way to finance this project and how. I have a 4.75 + 5 points for construction loan right now with a local bank.

A lot of the numbers were added together to treat the entire deal like a single property. 

I have a lot in Menomonee Falls which is surrounded by single family homes, but is within a zone that the long-term plan for the Village identifies as being designated for multi-family housing.

Multi-family, Retail (ranging from gross leases to NNN leases, strip malls to single tenant) industrial, office, and mixed-use properties.

@Neri Bermas There is no single answer to your question, as it can depend on where you live, and what you are looking to do more precisely. 

I would agree with most of what you said but there is a difference between a single family and multifamily in terms of rental rates and turnover.

If I were single, I'd be doing it right now.

Current tenant has been there 2 years, is now a single mom and has a good job as a nurse, but is constantly late on rent.