@Ian Ippolito - Thanks - I just went back to your site, where the guides and background reading are the clearest I've found on the web, and immensely helpful.  

RE sites I mention valuate the house at between $182K,, $187K and $187K.

I understood that if he couldn’t move it, it would not just be on him to lose the deposit, so I could understand keeping it in that case. 

I would sell the exchange property for $420K and buy the empty lot through the exchange for $200K and take out a building loan for $220K.If I own the property first I can make the first two months of improvements (site prep, utilities, permits, and foundation) before I sell it to myself through the exchange and make sure it is done by the end of the 180 day clock. 

Pick different potentials in the same investment market...run the numbers before and have a list of what you need to know or look at, then run the numbers after...depending on the property and intent use one of the calculators on this site for every one...work it as and then use the tool to calculate what it would need to be  --  if they are the same then it might be the right deal.Once you have this then you can move to other surrounding markets easier...just make sure you adjust your assumptions to align with that market.One final note and this depends on your area, here in FL you have to account for what your property taxes "will be" not what they are. 

Welcome to the site Todd.

Welcome to the site!

I am going to lose quite a few months' rent. 

I have been learning by listening to podcasts, watching youtube videos, and reading books and blog posts (the BiggerPockets web site has good specific recommendations).

Always great to see another South Carolinian on the site.