It’s a structural one.Why it’s happeningBuilders have tools individual sellers do not:• They can buy down mortgage rates into the 3’s-mid-5s while resales are stuck at 6.5%+• They can offer closing cost credits without triggering appraisal issues• They adjust pricing based on absorption rates, not emotions• Inventory carries measurable costs for them, so they act fasterMeanwhile, resale sellers are slow to reprice and anchored to peak-era expectations.That creates a pricing gap investors aren’t used to seeing.The investor angleFor most of the 2010s, investors avoided new construction because it was more expensive, taxed higher, and offered no rent premium.

Muck soil from the pond will let set and dry where dumped.

In the event of default, only the property itself is at risk, but this comes with stricter requirements and would likely trigger Unrelated Business Income Tax (UBIT). 

Keep + tap some equity (HELCO) to buy a better-yielding asset elsewhere → improves portfolio ROE without triggering tax.C.

Get the answer to what the properties produce income wise then you'll have your answer on pulling the trigger.  

I’m not asking for your life story — just one good reason I shouldn’t pull the trigger on the next deal.

If I subdivided the site into 26 parcels I would have triggered dimensional refusals for 26 applications.

If the numbers still hold after that, proceed; if not, pass and keep your powder dry.

After every big storm on Long Island, I see the same issue—homes that look dry but aren’t.

I'm living off of cash reserves and burning through it - there is a well dry date looming on the horizon.