It's great to see that you've found BP because it's been an integral component of my RE investing education!

Smoking inside a property is very detrimental to it's value.  

I think instead I'd try to break it down into the separate components.

I'm not sure if you'll see this as it's been this long since you posted this question but in response to you and anyone else that may be wondering yes, I joined their program and for me it was a truly detrimental decision.

IRRs like this are very suspect and are likely not imputing the labor component of the poster.  

I've gotten the pitch before and the tax-free component of taking loans on your own life insurance policy cash value without those loans showing up on our tax return is a BIG part of the Infinite Banking pitch.A Roth IRA and a Roth 401(k) solves this as you can contribute $25,500 per year between both Roth accounts.

But lumber prices are keeping new construction down, which keeps inventory down, which keeps prices up. lumber is one component.. land prices and land use policies and entitlements are more of an impediment to new construction than lumber prices.. at least from my point of view as someone who has built over 250 new homes the last 7 years and has a 90 home subdivision going right now.. ya its a pain when lumber goes up.. but its not a deal killer and we are selling all our homes basically before completion.. so fingers crossed it keeps going that way.now this is also market specific.. 

The components of getting a deal together include finding the deal, finding funding for it, and then managing the deal...contractors and realtors for flipping, property management for buy and hold, etc.

Most lenders require that the buyer purchasing the home as an owner occupant actually move into the property within 60 days, which further limits your buying pool.Obviously anything that limits your buying pool is typically detrimental to competition and in turn, your offer action.

The equity position is the most critical component.