Also, if it is a larger deal where multiple lots could be created, you may want t consider having the Seller carry until your entitlements are completed.

@Charles Graham, There aren''t any of the normal tax deductions that come with fix n flips because they are treated as ordinary income and are taxed as such.

So, again, it's generally not a good idea to use a credit line for long-term commitments.

Before committing, demo a couple and make sure their reporting and bookkeeping play well with your CPA or accounting system.

Once consultants are engaged or capital is committed, optionality drops fast.Curious how others here are evaluating entitlement risk early—especially on smaller infill sites scaled for paired or townhomes.I work with land and infill projects across the Front Range and see this come up often.

I got a study appraised (I haven't committed to the appraisal yet) that claims they can write off anywhere from $76,000 - $117,000.

And before you commit to any kind of website like Apartments.com who promise the world, ask to see their analytics for the area and ask yourself if that lines up with what people are telling you about where they found housing.I've noticed that larger cities tend to lean more towards online advertising and cutting through the many inquiries can be a challenge.

You can learn a lot through free or low-cost resources (forums, REIA groups, podcasts, and analyzing deals on your own) before committing big money.

The implied cap rate for the property is 4.5%, which is ~10bps below the current 10 T-Bond rate.

From what I’m learning so far, one big takeaway people mention is that short-term capital moves fast, so the deal really has to be solid way before you commit.