Building on Existing Lot

[Jeff Zimmerman]

Hey BP nation. This is my first post here! Thanks for all the great info so far. I came across a SF for sale in my town, Fresno, that is situated on the north side of a large lot. There is plenty of room for another home of similar size (approx 1600 sq ft) if the city allows me to split the lots. Has anyone had experience in building a simple, quality home to hold and rent? What is the ratio I should aim for as far as cost to build to overall worth of the home when finished? What questions do I need to be asking? Thanks in advance!