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so no one else can add anything to this?

Jeff - i am using a construction loan to do everything. Tear it down, and build the new house...I am in Texas.

most of the people in this neighborhood are buying the old homes and tareing them down and building new homes for themselves. However, they have to hire a buidler to do this. I am trying to find out what a typical builder's markup is on new homes when he builds it for someone to live in.

My friend is offering to build me a house at a 10% markup...and he says I can still sell the house for a profit because that is much lower than the typical builder's markup. I am hoping somone can weigh-in on this....meaning, what is the typical markup? 15%? 25%? 35%?

Thanks for your reply Pam. I appreciate your input. To demolish the old house (which includes them taking away all teh debris) the cost is pretty small. Considering we are wanting to build a $350k house the $10k to demolish it is not a huge expense.

I am looking at buying 575 acres near a site where an airport will be going in. Any opinions on how this airport will affect this land? Airports usually will cause nearby houses to depreciate in value, but this is raw/untouched land. Is this a wise investment? Should I buy this land and develop it for commercial use? Or buy it and sit on it?

Any thoughts?

and build a brand new home in it's place. I am doing this in an area of town where this is very popular so my new house won't stand out or appear odd.

I would like to tear the old house down and build a brand new house in it's place. I am not a builder, however one of my very good friends is a builder and he told me that he would build me the new house at cost plus a 10% markup. He says that I can then sell the new house and still make money by marking it up higher than the 10%.

Does anyone have any opinions on this model? Can I really make money doing this?

Thank you! I am new to this board and I am excited to hear from you!

and I would like to build a brand new house on the lot. I am looking in an area that this has been very popular. So my new house will not stand out or appear odd.

I am not a builder. However, I have a good friend who is a builder. He told me that he can build me a brand new house at cost plus 10% markup and I can sell the house and still make pretty good money. Does anyone have an opinion on this? Can I still make money using this model?

Thank you! I am new to this board and I am pumped to be a part of it.

In Katy, TX, $250k would get you a brand new 3500 to 4000 sq. foot house in a brand new development. Property taxes will run you roughly $6k per year. And you will have a nice little drive to work if you work in Houston. but many people think it's totally worth it.