Plan out how much you'd like to spend & borrow, and speak to a lender to determine how much income you need to qualify.Amend your 2012 taxes and claim the amount of income you need, plus a little cushion.

That takes major determination and persistence!

In general, if you can own the property you're better off than just having an option contract (it was pointed out that traditional financing is easier with ownership).However, the property information that you have supplied is insufficient to determine if the deal is a viable investment opportunity.

The next steps are as follows: - Run the numbers to determine how much you can offer.

Hey Guys,Could you explain how you determine what grade a neighborhood is from A - D?

There's a calculator at this website which is useful to determine how quickly a principal balance will be reduced by making lump-sum payments.http://www.bankrate.com/calculators/mortgages/mortgage-calculator.aspx

You determine what ratios and calculations to use based on your goals.

Typically we have a ball park idea, the buyer is on board up front and adjust his purchase price down accordingly, then the buyer agrees, or doesn't agree, by addendum later once a final "additional contribution" is determined.

Anyway, I believe it will go towards your costs basis when determining depreciation.

So likely payment would happen just before start of construction.I have recruited a builder friend of mine to partner with, but Seattle is not his primary building area and SFH are more his specialty but he has done multiple townhome projects and a few apartments.I have found two private lenders willing to cover 100% costs of the following two options:Build 12000 square feet worth of town homes (seattle uses this floor to area ratio to determine building size , for townhomes the conversion is 1.2 build-able feet per lot square foot.