subdividing and flipping with investor help?

[Jason Braddock]

I have been trying to figure out what to do in my current situation to get the most return on my current house if I decide to sell it. In my neighborhood the lots are decent sized and developers have started coming in and tearing down older homes and subdividing into 2 properties then building 2-3 story "tall and skinnies." My current house that was built in the 1950's in current condition would get around $575k; if we put some money into rehabbing the house we could get around 700k; but these tall and skinnies are selling for 1.2M to 1.5M each meaning potentially $2-3M in revenue. So my question is this: would approaching a developer be an option for a better selling outcome? With a HELOC and savings I potentially have around $300k to access for funds going into a deal.

[Jay Hinrichs]

Talk to tax man  if you sell individual houses you will lose your 121 tax free and have to pay the highest rates.. many times for a little extra money the risk and work is not worth it unless this is going to be an on going thing.

I wonder if whats happening there is builder/developers are just replatting or confirming underlying lots that were consolidated years ago.. thats a huge deal out west ..And I helped a BP member find that hidden gold on a project she did in Nashville.