New Construction Investments in Palm Coast Florida

[Shain Ismailovski]

I bought an empty lot of the land in Florida during the recession for $7000 market value now is around $26,000. I am considering building on the land. Estimated costs to build are around $160k. I want to turn around and sell it once it is done for 190K-200K. Is this reasonable or am I better off selling the empty lot and pocketing the difference? Or possibly even renting?

[Will Barnard]

Between the dirt and the construction, you are in at $167k. With a Best sales price of $200k and resale costs of approx. $15k, you are looking at only $18k of profit and that does not consider any holding costs you may have. Thus, selling the dirt would be the better play based on the small amount of info you provided. That said, perhaps you can find a means to build it cheaper or if there are possibilities of increasing the margin via the exit price.