The same argument has been advanced by developers who take raw land through entitlements and then sell and 1031 to an almost related entity acting as builder rather than begin infrastructure development and risk the intent argument.That is why scenario 2 has become popular among our developer clients.  

Federal law, Dodd-Frank has requirements and restrictions with properties that have had new construction performed, 3. you'll need to find a mortgage broker to originate loans in compliance, not so easy.Not something to ignore as there can be very stiff penalties, up to $100,000 in fines and/or 10 years in a federal prison!

It's walking distance to downtown so it's popular with young professionals and upper-middle class families.

However, one popular solution to this problem is through the use of “portfolio” lenders.In this free, live real estate workshop, I'm going to share with you my top tips for finding portfolio lenders and using them to fund your deals.

You don't want to do any long term installment contract without an attorney, if you can find one to do one.The DOS and FHA regulations are anchored in federal law, not administrative "discipline" and administrative rulings carry the weight of federal law. 

If it goes over $1mm, or has one out of state investor it becomes federal, and different laws apply.  

Per the IRS: Attach Form 3115 to the filer’s timely filed (including extensions) federal income tax return for the year of change.This means if the year of the change was 2015, you would file Form 3115 with your 2015 returns with the deadline of Oct. 15th, 2016.I will say that you shouldn't prepare this form yourself, unless of course you are a licensed tax professional or CPA.

While white trim and/or gray tones are very popular I think the oak look will work decent for WI and especially my market.

Totally agreed that the market has gone quite nuts in terms of bids in popular areas. 

You can find links to all the laws, both your state's and federal, here...