I am building houses on these lots and wish to sell to people who have capital gains so that they can benefit from the tax breaks.  

My mother-in-law is managing the state and doing some projects to get the house in better shape before going to the market.My husband and I would like to purchase the home as an investment property (rental); my mother-in-law stated that she would "discount" her part of the purchase, which means we would only pay 66% of the original price.I am trying to think of alternatives to borrowing the money.

Great for tax purposes. 

I'd definitely pay off consumer debt first since you're that close. 

Either that resident agent service went out of business or the company owner stopped paying them to be the resident agent.

Real estate attorney, my tax advisor who truly understands creative financing - Paul Dion.

Or he pays you less (or maybe nothing) and builds you a house on your smaller lot.How sure are you that this lot is able to be divided as you plan? 

If they don't, the landlord is next in line to be sued.If you require renters insurance the insurance companies can fight about who pays if something bad happens. 

You could still do that if the money you invest by taking cash out generates higher returns than you are paying.2.

Use loans or other ways to pay for many projects at once.