Harbor Custom Development (HCDPQ) 10-K/A 2 May 22 2021 FY Annual report (amended) Financial data

Cover

Cover - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2021	Mar. 21, 2022	Jun. 30, 2021
Document Type	10-K/A
Amendment Flag	true
Amendment Description	Throughout this Report, references to the “Company,” “HCDI,” “we,” “us,” and “our” refer to Harbor Custom Development, Inc. and its consolidated subsidiaries, unless the context requires otherwise.
Document Annual Report	true
Document Transition Report	false
Document Period End Date	Dec. 31, 2021
Document Fiscal Period Focus	FY
Document Fiscal Year Focus	2021
Current Fiscal Year End Date	--12-31
Entity File Number	001-39266
Entity Registrant Name	Harbor Custom Development, Inc.
Entity Central Index Key	0001784567
Entity Tax Identification Number	46-4827436
Entity Incorporation, State or Country Code	WA
Entity Address, Address Line One	11505 Burnham Dr.
Entity Address, Address Line Two	Suite 301
Entity Address, City or Town	Gig Harbor
Entity Address, State or Province	WA
Entity Address, Postal Zip Code	98332
City Area Code	(253)
Local Phone Number	649-0636
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Elected Not To Use the Extended Transition Period	false
Entity Shell Company	false
Entity Public Float			$ 39.8
Entity Common Stock, Shares Outstanding		13,206,165
Documents Incorporated by Reference	None
Auditor Name	Rosenberg Rich Baker Berman P.A
Auditor Firm ID	89
Auditor Location	Somerset, New Jersey
Common Stock [Member]
Title of 12(b) Security	Common Stock
Trading Symbol	HCDI
Security Exchange Name	NASDAQ
Series A Cumulative Convertible Preferred Stock [Member]
Title of 12(b) Security	Series A Cumulative Convertible Preferred Stock
Trading Symbol	HCDIP
Security Exchange Name	NASDAQ
Warrants [Member]
Title of 12(b) Security	Warrants
Trading Symbol	HCDIW
Security Exchange Name	NASDAQ
Warrant One [Member]
Title of 12(b) Security	Warrants
Trading Symbol	HCDIZ
Security Exchange Name	NASDAQ

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($)	Dec. 31, 2021	Dec. 31, 2020
ASSETS
Cash	$ 25,629,200	$ 2,396,500
Restricted Cash	597,600
Accounts Receivable, net	1,113,500	78,200
Contract Assets, net	2,167,200
Notes Receivable	2,000,000
Prepaid Expense	2,778,100	1,658,000
Real Estate	122,136,100	20,370,300
Property, Plant and Equipment, net	9,199,700	8,176,000
Right of Use Assets	3,429,700	873,800
Deferred Tax Assets	649,000
Deferred Offering Costs		65,100
TOTAL ASSETS	169,700,100	33,617,900
LIABILITIES
Accounts Payable and Accrued Expenses	10,662,800	2,700,000
Dividends Payable	670,900
Deferred Revenue	44,800	896,300
Equipment Loans	5,268,500	5,595,500
Note Payable D&O Insurance	903,800	741,200
Note Payable PPP		19,300
Finance Leases	543,400	999,400
Construction Loans, net of Debt Discount of $4.4 million and $0.5 million respectively	34,957,100	9,590,100
Construction Loans - Related Parties, net of Debt Discount of $1.1 million and $0.7 million respectively	13,426,600	5,819,700
Right of Use Liabilities	3,484,400	841,700
TOTAL LIABILITIES	69,962,300	27,203,200
COMMITMENTS AND CONTINGENCIES - SEE NOTE 14
STOCKHOLDERS’ EQUITY
Preferred Stock, No Par 10,000,000 shares authorized and 4,016,955 issued and outstanding at December 31, 2021 and 0 issued and outstanding at December 31, 2020	66,507,500
Common Stock, No Par 50,000,000 shares authorized and 13,155,342 issued and outstanding at December 31, 2021 and 5,636,548 issued and outstanding at December 31, 2020	32,122,700	11,956,900
Additional Paid In Capital	752,700	234,800
Retained Earnings (Accumulated Deficit)	1,646,500	(4,487,100)
Total Stockholders’ Equity	101,029,400	7,704,600
Non-Controlling Interest	(1,291,600)	(1,289,900)
TOTAL STOCKHOLDERS’ EQUITY	99,737,800	6,414,700
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$ 169,700,100	$ 33,617,900

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions	Dec. 31, 2021	Dec. 31, 2020
Statement of Financial Position [Abstract]
Construction Loans, net of Debt Discount	$ 4.4	$ 0.5
Construction Loans - Related Parties, net of Debt Discount	$ 1.1	$ 0.7
Preferred stock, no par value	$ 0	$ 0
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred stock, shares issued	4,016,955	0
Preferred stock, shares outstanding	4,016,955	0
Common stock, no par value	$ 0	$ 0
Common stock, shares authorized	50,000,000	50,000,000
Common stock, shares issued	13,155,342	5,636,548
Common stock, shares outstanding	13,155,342	5,636,548

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Income Statement [Abstract]
Sales	$ 72,352,700	$ 50,397,000
Cost of Sales	50,419,400	48,393,800
Gross Profit	21,933,300	2,003,200
Operating Expenses	11,151,600	5,493,900
Operating Income (Loss)	10,781,700	(3,490,700)
Other Income (Expense)
Loss on Sale of Equipment	(35,900)	(267,700)
Forgiveness of Debt PPP Loan	10,000	562,300
Other Income	146,000	4,000
Other Expense	(28,800)	(70,300)
Interest Expense	(249,300)	(382,900)
Total Other Income (Expense)	(158,000)	(154,600)
Income (Loss) Before Income Tax	10,623,700	(3,645,300)
Income Tax Expense	1,766,900	116,800
Net Income (Loss)	8,856,800	(3,762,100)
Net Loss Attributable to Non-controlling interests	(1,700)	(229,300)
Preferred Dividends	(2,724,900)
Net Income (Loss) Attributable to Common Stockholders	$ 6,133,600	$ (3,532,800)
Earnings (Loss) Per Share - Basic	$ 0.43	$ (0.84)
Earnings (Loss) Per Share - Diluted	$ 0.41	$ (0.84)
Weighted Average Common Shares Outstanding - Basic	14,336,748	4,214,418
Weighted Average Common Shares Outstanding - Diluted	21,793,582	4,214,418

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
CASH FLOWS FROM OPERATING ACTIVITIES
Net Income (Loss)	$ 8,856,800	$ (3,762,100)
Adjustments to reconcile net income (loss) to net cash from operating activities:
Depreciation	1,084,200	619,800
Amortization of right of use assets	387,900	258,900
Forgiveness on PPP loan	(10,000)	(562,300)
Loss on sale of equipment	35,900	267,700
Stock compensation	499,900	115,700
Net change in assets and liabilities:
Accounts receivable	(1,035,300)	(66,400)
Contract assets	(2,167,200)
Prepaid expenses	290,300	(314,900)
Real estate	(98,527,500)	6,755,900
Deferred revenue	(851,500)	823,100
Deferred income tax	(649,000)	171,600
Note receivable	(2,000,000)
Payments on right of use liability	(301,100)	(273,800)
Accounts payable and accrued expenses	7,962,800	(1,015,400)
NET CASH (USED IN) PROVIDED BY OPERATING ACTIVITIES	(86,423,800)	3,017,800
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of property and equipment	(745,600)	(408,000)
Proceeds on the sale of equipment	69,500	987,200
NET CASH (USED IN) PROVIDED BY INVESTING ACTIVITIES	(676,100)	579,200
CASH FLOWS FROM FINANCING ACTIVITIES
Construction loans	53,366,600	21,722,100
Payments on construction loans	(24,069,200)	(21,277,300)
Financing fees construction loans	(5,574,900)	(1,048,700)
Construction loans related parties	19,789,600	19,758,300
Payments on construction loans related parties	(11,793,800)	(28,203,400)
Financing fees related party construction loans	(1,982,900)	(1,421,200)
Payments on financing leases	(356,900)	(564,400)
Proceeds from note payable PPP loan		582,800
Payments on PPP loan	(9,300)	(1,200)
Due to related party		(8,100)
Repayments on note payable D&O insurance	(1,247,700)	(484,300)
Net proceeds from issuance of common stock	25,101,000	10,789,000
Net proceeds from issuance of preferred stock	66,572,300
Dividends	(2,054,000)
Repurchase of common stock	(5,000,000)
Repayment on equipment loans	(1,893,700)	(1,409,000)
Proceeds from exercise of stock options	18,000
Deferred offering cost	65,100	(65,100)
NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES	110,930,200	(1,630,500)
NET INCREASE IN CASH AND RESTRICTED CASH	23,830,300	1,966,500
CASH AT BEGINNING OF PERIOD	2,396,500	430,000
CASH AND RESTRICTED CASH AT END OF PERIOD	26,226,800	2,396,500
SUPPLEMENTAL CASH FLOW INFORMATION
Interest paid	4,190,200	1,266,300
SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES
Financing of assets additions	1,566,800	4,570,800
Dividends declared but not paid	670,900
Amortization of debt discount capitalized	3,238,300	2,299,500
Stock issued for conversion of related party interest and principal		497,000
Cancellation of finance leases	99,100
New right of use obligations	2,943,800
Financing of D&O insurance	1,410,400	1,225,500
Conversion of preferred to common stock	$ 64,800

Consolidated Statements of Chan

Consolidated Statements of Changes in Stockholders' Equity (deficit) - USD ($)	Common Stock [Member]	Preferred Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Parent [Member]	Noncontrolling Interest [Member]	Total
Beginning balance, value at Dec. 31, 2019	$ 670,900		$ 119,100	$ (954,300)	$ (164,300)	$ (1,060,600)	$ (1,224,900)
Beginning balance, shares at Dec. 31, 2019	3,513,517
Net proceeds from issuance of common stock	$ 10,789,000				10,789,000		10,789,000
Net proceeds from issuance of common stock, shares	2,031,705
Conversion of Common and Preferred stock	$ 497,000				497,000		497,000
Conversion of common stock and preferred stock (in shares)	82,826
Stock Compensation Expense			115,700		115,700		115,700
Stock Compensation Expense, shares	8,500
Net Income (Loss)				(3,532,800)	(3,532,800)	(229,300)	$ (3,762,100)
Exercise of stock options, shares
Ending balance, value at Dec. 31, 2020	$ 11,956,900		234,800	(4,487,100)	7,704,600	(1,289,900)	$ 6,414,700
Ending balance, shares at Dec. 31, 2020	5,636,548
Net proceeds from issuance of common stock	$ 25,101,000				25,101,000		25,101,000
Net proceeds from issuance of common stock, shares	9,200,000
Conversion of Common and Preferred stock	$ 64,800	$ (64,800)
Conversion of common stock and preferred stock (in shares)	20,000	(3,600)
Stock Compensation Expense			499,900		499,900		499,900
Stock Compensation Expense, shares	60,500
Net Income (Loss)				8,858,500	8,858,500	(1,700)	8,856,800
Exercise of stock options			18,000		18,000		$ 18,000
Exercise of stock options, shares	45,046						45,046
Net proceeds from issuance of Preferred Stock		$ 66,572,300			66,572,300		$ 66,572,300
Net proceeds issuance of preferred stock, shares		4,020,555
Preferred Stock Dividends				(2,724,900)	(2,724,900)		(2,724,900)
Repurchase of Stock	$ (5,000,000)				(5,000,000)		(5,000,000)
Repurchase of Stock (in shares)	(1,806,752)
Ending balance, value at Dec. 31, 2021	$ 32,122,700	$ 66,507,500	$ 752,700	$ 1,646,500	$ 101,029,400	$ (1,291,600)	$ 99,737,800
Ending balance, shares at Dec. 31, 2021	13,155,342	4,016,955

RESTATEMENT

RESTATEMENT	12 Months Ended
	Dec. 31, 2021
Accounting Changes and Error Corrections [Abstract]
RESTATEMENT	1. RESTATEMENT The Company restated the earnings per share for the periods presented in the consolidated statement of operations and earnings per share reconciliation table in Note 2. The following table provides the summary of restated numbers. SCHEDULE OF ERROR CORRECTIONS AND PRIOR PERIOD ADJUSTMENTS As Previously Reported Restated Net Effect Year Ended December 31, 2021 As Previously Reported Restated Net Effect CONSOLIDATED STATEMENT OF OPERATIONS Net Income (Loss) Per Share - Diluted $ 0.24 $ 0.41 $ 0.17 Weighted Average Common Shares Outstanding - Basic 14,336,789 14,336,748 (41 ) Weighted Average Common Shares Outstanding - Diluted 36,915,491 21,793,582 (15,121,909 ) NOTE 2 Earnings (Loss) Per Share Denominator: Weighted average common shares outstanding - basic 14,336,789 14,336,748 (41 ) Options 19,482 147,441 127,959 Warrants 144,456 19,426 (125,030 ) Restricted Stock Awards 29,890 1,789 (28,101 ) Convertible Preferred Stock 22,384,874 7,288,178 (15,096,696 ) Weighted average common shares outstanding and assumed conversion - diluted 36,915,491 21,793,582 (15,121,909 ) Diluted net income (loss) per common share $ 0.24 $ 0.41 $ 0.17 (a) – Outstanding shares of anti-dilutive securities excluded: Common stock securities 18,901,282 18,779,335 (121,947 ) Convertible preferred stock securities* - 12,000 12,000 * Preferred stock is convertible into common shares on a 5.556 to 1 ratio

NATURE OF OPERATIONS AND SUMMAR

NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	Dec. 31, 2021
Accounting Policies [Abstract]
NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	2. NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Operations The Company’s principal business activity involves acquiring raw land and developed lots for the purpose of building and selling single family and multi-family dwellings in Washington, California, Texas, and Florida. It utilizes its heavy equipment resources to develop an inventory of developed lots and provide development infrastructure construction, on a contract basis, for other home builders. Single family construction and infrastructure construction contracts vary but are typically less than one year. On August 1, 2019, the Company changed its name from Harbor Custom Homes, Inc. to Harbor Custom Development, Inc. The Company became an effective filer with the SEC and started trading on The Nasdaq Stock Market LLC (“Nasdaq”) on August 28, 2020. Principles of Consolidation The consolidated financial statements include the following subsidiaries of Harbor Custom Development, Inc. as of the reporting period ending dates as follows (all entities are formed as Washington LLC’s): SCHEDULE OF STATEMENT OF SUBSIDIARIES Names Dates of Formation Attributable Interest December 31, 2021 December 31, 2020 Saylor View Estates, LLC March 30, 2014 51 % 51 % Harbor Materials, LLC* July 5, 2018 N/A 100 % Belfair Apartments, LLC December 3, 2019 100 % 100 % Pacific Ridge CMS, LLC May 24, 2021 100 % N/A Tanglewilde, LLC June 25, 2021 100 % N/A HCDI FL CONDO LLC August 3, 2021 100 % N/A HCDI Mira, LLC August 30, 2021 100 % N/A HCDI Bridgeview LLC October 28, 2021 100 % N/A HCDI Wyndstone, LLC September 15, 2021 100 % N/A HCDI Semiahmoo, LLC December 17, 2021 100 % N/A * Harbor Materials, LLC was voluntarily dissolved with the State of Washington as of January 29, 2021. As of December 31, 2021 and December 31, 2020, the aggregate non-controlling interest was $( 1.3 1.3 Basis of Presentation The accompanying consolidated financial statements include the accounts of Harbor Custom Development, Inc and, its wholly owned subsidiaries, and are presented using the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). All intercompany accounts and transactions have been eliminated in consolidation. References to the “ASC” hereafter refer to the Accounting Standards Codification established by the Financial Accounting Standards Board (“FASB”) as the source of authoritative U.S. GAAP. The Company’s Board of Directors and stockholders approved a 1-for-2.22 All numbers in these financial statements are rounded to the nearest $100. Reclassification Certain prior year amounts have been reclassified for consistency with the current year presentation. These reclassifications had no effect on the reported results of operations. Use of Estimates Management uses estimates and assumptions in preparing these financial statements in accordance with generally accepted accounting principles. Those estimates and assumptions affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues and expenses. Actual results could vary from the estimates that were used. Stock-Based Compensation Effective as of November 19, 2018, the Company’s Board of Directors and stockholders approved and adopted the 2018 Incentive and Non-Statutory Stock Option Plan (the “2018 Plan”). The 2018 Plan allows the Administrator (as defined in the 2018 Plan), currently the Board of Directors, to determine the issuance of incentive stock options and non-qualified stock options to eligible employees and outside directors and consultants of the Company. The Company reserved 675,676 Effective as of December 3, 2020, the Company’s Board of Directors and stockholders approved and adopted the 2020 Restricted Stock Plan (the “2020 Plan”). The 2020 Plan allows the Administrator (currently the Compensation Committee) to determine the issuance of restricted stock to eligible officers, directors, and key employees. The Company reserved 700,000 The Company accounts for stock-based compensation in accordance with ASC Topic 718, “ Compensation – Stock Compensation” The Company recognizes all forms of share-based payments, including stock option grants, warrants and restricted stock grants, at their fair value on the grant date, which is based on the estimated number of awards that are ultimately expected to vest. Options and warrants are valued using a Black-Scholes option pricing model, with the exception of the preferred warrants which were valued using an 8 Stock-based compensation expenses are included in operating expenses in the consolidated statement of operations. For the years ended December 31, 2021 and 2020 when computing fair value of share-based payments, the Company has considered the following variables: SCHEDULE OF FAIR VALUE ASSUMPTIONS OF SHARE-BASED PAYMENTS December 31, 2021 December 31, 2020 Risk-free interest rate 0.17 0.84 0.14 1.46 Exercise price $ 2.76 5.00 $ 2.22 6.50 Expected life of grants 2.50 6.50 2.86 6.00 Expected volatility of underlying stock 42.30 56.00 32.39 51.94 Dividends 0 0 The expected term is computed using the “simplified” method as permitted under the provisions of ASC 718-10-S99. The Company uses the simplified method to calculate the expected term of share options and similar instruments as the Company does not have sufficient historical exercise data to provide a reasonable basis upon which to estimate the expected term. The share price as of the grant date was determined by an independent third party 409(a) valuation until the Company’s stock became publicly traded. Now the share price is the public trading price at the time of grant. Expected volatility is based on the historical stock price volatility of comparable companies’ common stock, as the stock does not have sufficient historical trading activity. Risk free interest rates were obtained from U.S. Treasury rates for the applicable periods. Earnings (Loss) Per Share Earnings (Loss) per share (“EPS”) is the amount of earnings attributable to each share of common stock. For convenience, the term is used to refer to either earnings or loss per share. EPS is computed pursuant to Section 260-10-45 of the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”). Pursuant to ASC Paragraphs 260-10-45-10 through 260-10-45-16, basic EPS shall be computed by dividing income available to common stockholders (the numerator) by the weighted-average number of common shares outstanding (the denominator) during the period. Income available to common stockholders shall be computed by deducting both the dividends declared in the period on preferred stock (whether or not paid) and the dividends accumulated for the period on cumulative preferred stock (whether or not earned) from income from continuing operations (if that amount appears in the income statement) and also from net income. The computation of diluted EPS is similar to the computation of basic EPS except that the denominator is increased to include the number of additional common shares that would have been outstanding if the dilutive potential common shares had been issued during the period to reflect the potential dilution that could occur from common shares issuable through contingent shares issuance arrangement, stock options, warrants, or RSUs. The following table provides a reconciliation of the numerator and denominator used in computing basic and diluted net income (loss) attributable to common stockholders per common share for the years ended December 31, 2021 and 2020. SCHEDULE OF NET INCOME (LOSS) PER SHARE Year Ended December 31, 2021 Year Ended December 31, 2020 Numerator: Net income (loss) attributable to common stockholders $ 6,133,600 $ (3,532,800 ) Effect of dilutive securities: 2,724,900 — Diluted net income (loss) $ 8,858,500 $ (3,532,800 ) Denominator: Weighted average common shares outstanding - basic 14,336,748 4,214,418 Dilutive securities (a): Options 147,441 — Warrants 19,426 — Restricted Stock Awards 1,789 — Convertible Preferred Stock 7,288,178 — Weighted average common shares outstanding and assumed conversion – diluted 21,793,582 4,214,418 Weighted average common shares outstanding and assumed conversion – diluted 21,793,582 4,214,418 Basic net income (loss) per common share $ 0.43 $ (0.84 ) Diluted net income (loss) per common share $ 0.41 $ (0.84 ) (a) – Outstanding shares of anti-dilutive securities excluded: Common stock securities 18,779,335 241,609 Convertible preferred stock securities * 12,000 — * Preferred stock is convertible into common shares on a 5.556 to 1 ratio Fair Value of Financial Instruments For purpose of this disclosure, the fair value of a financial instrument is the amount at which the instrument could be exchanged in a current transaction between willing parties, other than in a forced sale or liquidation. The carrying amount of the Company’s short-term financial instruments approximates fair value due to the relatively short period to maturity for these instruments. Cash and Cash Equivalents For purposes of the statement of cash flows, the Company considers all short-term debt securities purchased with a maturity of three months or less to be cash equivalents. There were no Restricted Cash On August 10, 2021, the Company entered a Letter of Credit (“LOC”) agreement with WaFd bank in the amount of $0.6 million. The Company signed a lease on October 5, 2021 for a new office space. The landlord of the property, University Street Properties I, LLC, is the beneficiary of the LOC. The amount of funds that cover this LOC were moved by the WaFd bank to a controlled account on August 13, 2021. (See Note 10. Letter of Credit). Accounts Receivable Accounts receivables are reported at the amount the Company expects to collect from outstanding balances. The Company provides an allowance for doubtful accounts based upon a review of the outstanding accounts receivable, historical collection information and existing economic conditions. The Company determines if receivables are past due based on days outstanding, and amounts are written off when determined to be uncollectible by management. The allowance for doubtful accounts was $ 0 Property and Equipment and Depreciation Property and equipment are recorded at cost. Expenditures for major additions and betterments are capitalized. Maintenance and repair charges are expensed as incurred. Depreciation is computed by the straight-line method (after considering their respective estimated residual values) over the estimated useful lives: SCHEDULE OF PROPERTY AND EQUIPMENT ESTIMATED USEFUL LIVES Construction Equipment 5 10 Leasehold Improvements The lesser of 10 years or the remaining life of the lease Furniture and Fixtures 5 Computers 3 Vehicles 10 Real Estate Assets Real estate assets are recorded at cost, except when real estate assets are acquired that meet the definition of a business combination in accordance with FASB ASC 805, “Business Combinations,” where acquired assets are recorded at fair value. Interest, property taxes, insurance, and other incremental costs (including salaries) directly related to a project are capitalized during the construction period of major facilities and land improvements. The capitalization period begins when activities to develop the parcel commence and ends when the asset constructed is completed. The capitalized costs are recorded as part of the asset to which they relate and are expensed when the underlying asset is sold. The Company capitalized interest from related party borrowings of $ 1.0 1.0 2.4 2.4 A property is classified as “held for sale” when all the following criteria for a plan of sale have been met: (1) Management, having the authority to approve the action, commits to a plan to sell the property; (2) The property is available for immediate sale in its present condition, subject only to terms that are usual and customary; (3) An active program to locate a buyer and other actions required to complete the plan to sell, have been initiated; (4) The sale of the property is probable and is expected to be completed within one year of the contract date; (5) The property is being actively marketed for sale at a price that is reasonable in relation to its current fair value; and (6) Actions necessary to complete the plan of sale indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. When all these criteria have been met, the property is classified as “held for sale.” In addition to the annual assessment of potential triggering events in accordance with ASC 360, the Company applies a fair value-based impairment test to the net book value of assets on an annual basis and on an interim basis if certain events or circumstances indicate that an impairment loss may have occurred. As of December 31, 2021 and December 31, 2020, the Company did not have any projects that qualified for an impairment charge. Revenue and Cost Recognition ASC 606, Revenue from Contracts with Customers (“ASC 606”), establishes principles for reporting information about the nature, amount, timing and uncertainty of revenue and cash flows arising from the entity’s contract to provide goods or services to customers. In accordance with ASC 606, revenue is recognized when a customer obtains control of the promised good or service. The amount of revenue recognized reflects the consideration to which the Company expects to be entitled to receive in exchange for these goods or services. The provision of ASC 606 includes a five-step process by which the Company determines revenue recognition, depicting the transfer of goods or services to customers in amounts reflecting the payment to which the Company expects to be entitled in exchange for those goods or services. ASC 606 requires the Company to apply the following steps: (1) identify the contract with the customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to the performance obligations in the contract; and (5) recognize revenue when, or as, performance obligations are satisfied. A detailed breakdown of the five-step process for the revenue recognition of Entitled Land Revenue is as follows: 1. Identify the contract with a customer. The Company signs an agreement with a buyer to purchase the parcel of entitled land. 2. Identify the performance obligations in the contract. Performance obligations of the Company include delivering entitled land to the customer, which are required to meet certain specifications outlined in the contract. 3. Determine the transaction price. The transaction price is fixed and specified in the contract. Any subsequent change orders or price changes are required to be approved by both parties. 4. Allocation of the transaction price to performance obligations in the contract. The parcel is a separate performance obligation for which the specific price is in the contract. 5. Recognize revenue when (or as) the entity satisfies a performance obligation. The Company recognizes revenue when title is transferred. The Company does not have any further performance obligations once title is transferred. A detailed breakdown of the five-step process for the revenue recognition of Developed Lots Revenue is as follows: 1. Identify the contract with a customer. The Company signs an agreement with the buyer to purchase lots that have completed infrastructure. 2. Identify the performance obligations in the contract. Performance obligations of the Company include delivering developed lots to the customer, which are required to meet certain specifications that are outlined in the contract. 3. Determine the transaction price. The transaction price is fixed and specified in the contract. Any subsequent change orders or price changes are required to be approved by both parties. 4. Allocation of the transaction price to performance obligations in the contract. All lots are a single performance obligation for the specific price in the contract. 5. Recognize revenue when (or as) the entity satisfies a performance obligation. The Company recognizes revenue when title is transferred. The Company does not have any further performance obligations once title is transferred. A detailed breakdown of the five-step process for the revenue recognition of Fee Build Revenue is as follows: 1. Identify the contract with a customer. The Company signs an agreement with a customer to construct the required infrastructure so that houses can be developed on the lots. 2. Identify the performance obligations in the contract. Performance obligations of the Company include delivering developed lots which are required to meet certain specifications that are outlined in the contract. 3. Determine the transaction price. The transaction price is fixed and specified in the contract. Any subsequent change orders or price changes are required to be approved by both parties. 4. Allocation of the transaction price to performance obligations in the contract. The nature of the industry involves a number of uncertainties that can affect the current state of the contract. Variable considerations are the estimates made due to a contract modification in the contractual service. Change orders, claims, extras, or back charges are common in contractual services activity as a form of variable consideration. If there is going to be a contract modification, judgment by management will need to be made to determine if the variable consideration is enforceable. The following factors are considered in determining if the variable consideration is enforceable: 1. The customer’s written approval of the scope of the change order; 2. Current contract language that indicates clear and enforceable entitlement relating to the change order; 3. Separate documentation for the change order costs that are identifiable and reasonable; and 4. The Company’s experience in negotiating change orders, especially as it relates to the specific type of contract and change order being evaluated. Once the Company receives a contract, it generates a budget of projected costs for the contract based on the contract price. If the scope of the contract during the contractual period needs to be modified, the Company files a change order. The Company does not continue to perform services until the change modification is agreed upon with documentation by both the Company and the customer. There are few times that claims, extras, or back charges are included in the contract. If there are multiple performance obligations to the contract, the costs must be allocated appropriately and consistently to each performance obligation. In the Company’s experience, usually only one performance obligation is stated per contract. If there are multiple services provided for one customer, the Company has a policy of splitting out the services over multiple contracts. 5. Recognize revenue when (or as) the entity satisfies a performance obligation. The Company uses the total costs incurred on the project relative to the total expected costs to satisfy the performance obligation. The input method involves measuring the resources consumed, labor hours expended, costs incurred, time lapsed, or machine hours used relative to the total expected inputs to the satisfaction of the performance obligation. Costs incurred prior to actual contract (i.e., design, engineering, procurement of material, etc.) should not be recognized as the Company does not have control of the good/service provided. When the estimate on a contract indicates a loss or claims against costs incurred reduce the likelihood of recoverability of such costs, the Company records the entire estimated loss in the period the loss becomes known. Project contracts typically provide for a schedule of billings or invoices to the customer based on the Company’s job to date percentage of completion of specific tasks inherent in the fulfillment of its performance obligation(s). The schedules for such billings usually do not precisely match the schedule on which costs are incurred. As a result, contract revenue recognized in the statement of operations can and usually does differ from amounts that can be billed or invoiced to the customer at any point during the contract. Amounts by which cumulative contract revenue recognized on a contract as of a given date exceed cumulative billings and unbilled receivables to the customer under the contract are reflected as a current asset in the Company’s balance sheet under the caption “Contract Asset, net” which is further disclosed in Note 20. Amounts by which cumulative billings to the customer under a contract as of a given date exceed cumulative contract revenue recognized on the contract would be reflected as a current liability in the Company’s balance sheet. A detailed breakdown of the five-step process for the revenue recognition of Home Revenue is as follows: 1. Identify the contract with a customer. The Company signs an agreement with a homebuyer to purchase a lot with a completed house. 2. Identify the performance obligations in the contract. Performance obligations of the Company include delivering a developed lot with a completed house to the customer, which is required to meet certain specifications that are outlined in the contract. 3. Determine the transaction price. The transaction price is fixed and specified in the contract. Any subsequent change orders or price changes are required to be approved by both parties. 4. Allocation of the transaction price to performance obligations in the contract. Each lot with a completed house is a separate performance obligation, for which the specific price in the contract is allocated. 5. Recognize revenue when (or as) the entity satisfies a performance obligation. The Company recognizes revenue when title is transferred. The Company does not have any further performance obligations once title is transferred. A detailed breakdown of the five-step process for the revenue recognition of Construction Materials sold to or received from contractors is as follows: 1. Identify the contract with a customer. There are no signed contracts. Each transaction is verbally agreed to with the customer. 2. Identify the performance obligations in the contract. The Company delivers or receives materials from customers based on the verbal agreement reached. 3. Determine the transaction price. The Company has a set price list for receiving approved fill materials to recycle or provides customers with a combination of said materials. 4. Allocation of the transaction price to performance obligations in the contract. There is only one performance obligation, which is to pick up or deliver the materials. The entire transaction price is therefore allocated to the performance obligation. 5. Recognize revenue when (or as) the entity satisfies a performance obligation. The performance obligation is fulfilled, and revenue is recognized when the materials have been received or delivered by the Company. Revenues from contracts with customers are summarized by category as follows for the years ended December 31: SCHEDULE OF REVENUES FROM CONTRACTS WITH CUSTOMERS Year Ended Year Ended December 31, 2021 December 31, 2020 Entitled Land $ 20,625,000 $ — Developed Lots 26,825,500 12,538,000 Fee Build 6,802,900 — Homes 17,654,600 37,276,400 Construction Materials 444,700 582,600 Total Revenue $ 72,352,700 $ 50,397,000 Disaggregation of Revenue from Contracts with Customers The following table disaggregates the Company’s revenue based on the type of sale or service and the timing of satisfaction of performance obligations for the years ended December 31, 2021 and 2020: DISAGGREGATION OF REVENUE FROM CONTRACTS WITH CUSTOMERS Year Ended Year Ended December 31, 2021 December 31, 2020 Performance obligations satisfied at a point in time $ 65,549,800 $ 50,397,000 Performance obligations satisfied over time 6,802,900 — Total Revenue $ 72,352,700 $ 50,397,000 Cost of Sales Land acquisition costs are allocated to each lot based on the size of the lot in relation to the size of the total project. Development costs and capitalized interest are allocated to lots sold based on the same criteria. Costs relating to the handling of recycled construction materials and converting items into usable construction materials for resale are charged to cost of sales as incurred. Advertising Advertising expense for the years ended December 31, 2021 and 2020 was $ 0.1 0.04 Leases The Company adopted ASC Topic 842, Leases, as amended, on January 1, 2019. We elected the package of practical expedients permitted under the transition guidance within the new standard, which among other things, allowed the Company to not separate non-lease components from lease components and instead to account for each separate lease component and the non-lease components associated with that lease component as a single lease. The Company’s leases consist of leaseholds on office space, machinery, and equipment. The Company determines if an arrangement contains a lease at inception as defined by ASC 842. In order to meet the definition of a lease under ASC 842, the contractual arrangement must convey to us the right to control the use of an identifiable asset for a period of time in exchange for consideration. ROU assets represent the right to use an underlying asset for the lease term and lease liabilities represent the obligation to make lease payments arising from the lease. ROU assets and liabilities are recognized at the lease commencement date based on the estimated present value of lease payments over the lease term. Income Taxes Deferred income tax assets and liabilities are determined based on the estimated future tax effects of net operating loss, credit carryforwards and temporary differences between the tax basis of assets and liabilities and their respective financial reporting amounts measured at the current enacted tax rates. Management applies the criteria established under FASB Accounting for Income taxes (Topic 740) (the Update) to determine if any valuation allowances are needed each year. The Company recognizes a tax benefit for an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by taxing authorities, based on the technical merits of the position. There are no uncertain tax positions as of December 31, 2021 and December 31, 2020. Recent Accounting Pronouncements On December 18, 2019, the FASB released Accounting Standards Update No. 2019-12, Income taxes (Topic 740) (the Update). The Board issued this update as part of its initiative to reduce complexity in accounting standards. The company has adopted this standard; there were no material impacts to the balance sheet, income statement, statement of cash flows, or tax footnote. In August 2020, the FASB issued Accounting Standards Update 2020-06, Debt — Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging — Contracts in Entity’s Own Equity (Subtopic 815-40) (“ASU 2020-06”) to simplify accounting for certain financial instruments. ASU 2020-06 eliminates the current models that require separation of beneficial conversion and cash conversion features from convertible instruments and simplifies the derivative scope exception guidance pertaining to equity classification of contracts in an entity’s own equity. The new standard also introduces additional disclosures for convertible debt and freestanding instruments that are indexed to and settled in an entity’s own equity. ASU 2020-06 amends the diluted earnings per share guidance, including the requirement to use the if-converted method for all convertible instruments. ASU 2020-06 is effective January 1, 2022 and should be applied on a full or modified retrospective basis, with early adoption permitted beginning on January 1, 2021. The Company adopted ASU 2020-06 on January 1, 2021. The ASU 2020-06 had an impact on the Company’s preferred stock disclosures and EPS as well as eliminating the accounting for beneficial conversion features. On May 3, 2021, the FASB released Accounting Standards Update No. 2021-04, Compensation – Earning Per Share (Topic 260), Debt - Modifications and Extinguishments (subtopic 470-50), Compensation - Stock compensation (Topic 718), Contracts in Entity’s Own Equity (Subtopic 815-40) Issuer’s Accounting for Certain Modifications or Exchanges of Freestanding Equity-Classified Written Call Options. FASB issued this update to clarify and reduce diversity in an issuer’s accounting for modifications or exchanges of freestanding equity-classified written call options (for example warrants) that remain equity classified after modification or exchange. The Standard is effective for fiscal years beginning after December 15, 2021. The Company does not believe the adoption will have a material impact on the Company. Impairment of Long-Lived Assets The Company reviews long-lived assets for impairment whenever events or circumstances indicate that the carrying value of such assets may not be fully recoverable. Impairment is present when the sum of estimated undiscounted future cash flow expected to result from use of the assets is less than carrying value. If impairment is present, the carrying value of the impaired asset is reduced to its fair value. Fair value is determined based on discounted cash flow or appraised values, depending on the nature of the assets. As of December 31, 2021 and December 31, 2020, there were no Offering Costs Associated with a Public Offering The Company complies with the requirements of FASB ASC 340-10-S99-1 and SEC Staff Accounting Bulletin (“SAB”) Topic 5A — “ Expenses of Offering.” On January 15 and 20, 2021, the Company closed on a follow-on public offering and over-allotment option, respectively, of common stock. During 2020, the Company incurred approximately $ 0.1

CONCENTRATION, RISKS, AND UNCER

CONCENTRATION, RISKS, AND UNCERTAINTIES	12 Months Ended
	Dec. 31, 2021
Risks and Uncertainties [Abstract]
CONCENTRATION, RISKS, AND UNCERTAINTIES	3. CONCENTRATION, RISKS, AND UNCERTAINTIES Cash Concentrations The Company maintains cash balances at various financial institutions. These balances are secured by the Federal Deposit Insurance Corporation. These balances generally exceed the federal insurance limits. Uninsured cash balances were $ 24.5 2.1 Revenue Concentrations Homes For the year ended December 31, 2021 and 2020, there were no Developed Lots For the year ended December 31, 2021 and 2020, Lennar Northwest, Inc. (“Lennar”) represented 26 100 23 18 14 14 Entitled Land For the year ended December 31, 2021 and 2020, Lennar represented 51 0 45 Fee Build For the years ended December 31, 2021 and 2020, Lennar represented 100 0 COVID-19 In March 2020, the World Health Organization declared the outbreak of a novel coronavirus (“ COVID-19 The COVID-19 Pandemic has had the following effect on the Company’s business: 1. Construction not related to safety, spoliation, or critical infrastructure was halted by Washington State Governor Inslee (the “Governor”) on March 23, 2020. Some operations could continue based on the aforementioned exceptions to the shutdown order, but the Company did experience a significant operational slowdown. 2. Soundview Estates (a large Harbor Custom Development, Inc. site) continued selective activities that yielded rock byproduct, considered an essential material, needed for critical infrastructure projects for an Amazon distribution center and a local hospital. 3. On April 24, 2020, the Governor approved the restart of most residential housing projects, deeming them essential, as long as they adhered to certain safety measures. Under this order, most existing permitted residential homes or projects were considered essential. The order allowed the Company to resume near full construction activities on all permitted lots. 4. On May 1, 2020, the Governor established a four-phase plan for Washington businesses to follow. All Harbor Custom Development, Inc. development sites were in Phase 3 of the plan where construction was able to continue, and new construction was allowed, as long as the Company created a safety plan adhering to certain safety practices, which the Company had done. 5. As of June 30, 2021, Washington State reopened the state under the Washington Ready plan. All industry sectors previously covered by the Roadmap to Recovery or the Safe Start Plan (which included all Harbor Custom Development, Inc. operational activities) returned to usual capacity and operations. The Company has not experienced any material cancellations of sales contract. The Company has experienced some supply-chain issues with both cabinetry and appliances related to COVID-19. As of the date of this report, the Company’s projects are on-schedule and operations are not being materially impacted by the COVID-19 pandemic. While there could ultimately be a material impact on operations and liquidity of the Company, at the time of issuance of this report, the ultimate impact could not be determined.

NOTES RECEIVABLE

NOTES RECEIVABLE	12 Months Ended
	Dec. 31, 2021
Receivables [Abstract]
NOTES RECEIVABLE	4. NOTES RECEIVABLE The total principal balance of the notes amounted to $ 2.0 $ 0.5 $ 1.5 8 9 $ 2.0 0

PROPERTY AND EQUIPMENT

PROPERTY AND EQUIPMENT	12 Months Ended
	Dec. 31, 2021
Property, Plant and Equipment [Abstract]
PROPERTY AND EQUIPMENT	5. PROPERTY AND EQUIPMENT Property and equipment stated at cost, less accumulated depreciation and amortization, consisted of the following: SCHEDULE OF PROPERTY AND EQUIPMENT December 31, 2021 December 31, 2020 Machinery and Equipment $ 10,577,600 $ 8,908,000 Vehicles 71,800 73,500 Furniture and Fixtures 420,300 136,300 Leasehold Improvements 81,200 7,000 Total Fixed Assets 11,150,900 9,124,800 Less Accumulated Depreciation (1,951,200 ) (948,800 ) Fixed Assets, Net $ 9,199,700 $ 8,176,000 Depreciation expense was $ 1.1 0.6

REAL ESTATE

REAL ESTATE	12 Months Ended
	Dec. 31, 2021
Real Estate [Abstract]
REAL ESTATE	6. REAL ESTATE Real Estate consisted of the following components: SCHEDULE OF REAL ESTATE December 31, 2021 December 31, 2020 Land Held for Development $ 73,524,400 $ 9,532,800 Construction in Progress 43,362,700 9,042,700 Held for Sale 5,249,000 1,794,800 Real estate $ 122,136,100 $ 20,370,300

ACCOUNTS PAYABLE AND ACCRUED EX

ACCOUNTS PAYABLE AND ACCRUED EXPENSES	12 Months Ended
	Dec. 31, 2021
Payables and Accruals [Abstract]
ACCOUNTS PAYABLE AND ACCRUED EXPENSES	7. ACCOUNTS PAYABLE AND ACCRUED EXPENSES Accounts payable and accrued liabilities consisted of the following: SCHEDULE OF ACCOUNTS PAYABLE AND ACCRUED LIABILITIES December 31, 2021 December 31, 2020 Trade Accounts Payable $ 5,558,400 $ 2,358,800 Income Tax Payable 2,415,900 — Accrued Compensation, Bonuses, and Benefits 1,071,700 108,900 Accrued Quarry Reclamation Costs 500,000 124,500 Retainage Payable 445,800 — Other Accruals 671,000 107,800 Accounts Payable and Accrued Expenses $ 10,662,800 $ 2,700,000

EQUIPMENT LOANS

EQUIPMENT LOANS	12 Months Ended
	Dec. 31, 2021
Debt Disclosure [Abstract]
EQUIPMENT LOANS	8. EQUIPMENT LOANS Equipment loans consists of the following: SCHEDULE OF EQUIPMENT LOANS December 31, 2021 December 31, 2020 Various notes payable to banks and financial institutions with interest rates varying from 0.00 13.89 400 11,600 $ 5,268,500 $ 5,595,500 Book value of collateralized equipment: $ 7,229,000 $ 6,475,600 Future equipment loan maturities are as follows: SCHEDULE OF FUTURE EQUIPMENT LOAN MATURITIES For the year ended December 31: 2021 2022 $ 1,887,800 2023 1,738,300 2024 1,491,700 2025 150,700 2026 — Equipment loan $ 5,268,500

CONSTRUCTION LOANS

CONSTRUCTION LOANS	12 Months Ended
	Dec. 31, 2021
Construction Loans
CONSTRUCTION LOANS	9. CONSTRUCTION LOANS The Company has various construction loans with private individuals and finance companies. The loans are collateralized by specific construction projects. All loans are generally on a one 5 39 39.4 10.1 122.1 20.4

LETTER OF CREDIT

LETTER OF CREDIT	12 Months Ended
	Dec. 31, 2021
Letter Of Credit
LETTER OF CREDIT	10. LETTER OF CREDIT The Company entered into a letter of credit agreement with WaFd bank of $ 0.6 February 1, 2032 1%

NOTE PAYABLE D&O INSURANCE

NOTE PAYABLE D&O INSURANCE	12 Months Ended
	Dec. 31, 2021
Note Payable Do Insurance
NOTE PAYABLE D&O INSURANCE	11. NOTE PAYABLE D&O INSURANCE The Company purchased D&O insurance on August 28, 2021 for $ 1.5 0.1 1.4 4.42 0.9 The Company purchased D&O insurance on August 28, 2020 for $ 1.5 0.3 1.2 4.74 0.7

NOTE PAYABLE PPP

NOTE PAYABLE PPP	12 Months Ended
	Dec. 31, 2021
Debt Disclosure [Abstract]
NOTE PAYABLE PPP	12. NOTE PAYABLE PPP On April 11, 2020, the Company entered into a term note with Timberland Bank, with a principal amount of $ 0.6 1.00 The PPP Term Note was unsecured and guaranteed by the United States Small Business Administration. The Company applied for forgiveness of the PPP Term Note, with the amount eligible for forgiveness equal to the sum of payroll costs, covered rent and mortgage obligations, and covered utility payments incurred by the Company during the applicable period beginning upon receipt of PPP Term Note funds, calculated in accordance with the terms of the CARES Act. On February 1, 2021 and November 9, 2020, the SBA forgave $ 0.01 0.6 As of December 31, 2021 and December 31, 2020, the balance of the PPP Loan was $ 0 0.02

DEFINED CONTRIBUTION PLAN

DEFINED CONTRIBUTION PLAN	12 Months Ended
	Dec. 31, 2021
Retirement Benefits [Abstract]
DEFINED CONTRIBUTION PLAN	13. DEFINED CONTRIBUTION PLAN Effective January 1, 2016, the Company established a 401(k) plan for qualifying employees; employee contributions are voluntary. Company contributions to the plan for the years ended December 31, 2021 and 2020 were $ 0.1 0.1

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	12 Months Ended
	Dec. 31, 2021
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	14. COMMITMENTS AND CONTINGENCIES From time to time the Company is subject to compliance audits by federal, state, and local authorities relating to a variety of regulations including wage and hour laws, taxes, and workers’ compensation. There are no significant or pending litigation or regulatory proceedings known at this time. On June 15, 2020, the Company entered into a purchase and sale agreement to acquire property for the construction of 33 town homes located in East Bremerton, Washington for $ 2.0 On September 17, 2020, the Company entered into a purchase and sale agreement for the acquisition of 9.6 1.5 On December 2, 2021, the Company entered into a purchase and sale agreement for the acquisition of 438 14.0 On December 15, 2021, the Company entered into a purchase and sale agreement for the acquisition of 66 town home units located in Poulsbo, Washington for $ 2.9 On December 22, 2021, the Company entered into a purchase and sale agreement to acquire property for the construction of 500 units located in Hudson, Florida for $ 7.4

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	12 Months Ended
	Dec. 31, 2021
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	15. RELATED PARTY TRANSACTIONS Notes Payable The Company entered into construction loans with Sound Equity, LLC of which Robb Kenyon, a former director and minority shareholder, is a partner. These loans were originated between April 2019 and June 2021; all of the loans have a one-year 7.99 12.00 0.6 0.4 0.2 0.2 1.4 0.7 0.9 0.5 14.5 6.4 The Company entered into a construction loan with Curb Funding, LLC of which Robb Kenyon a former director and minority shareholder, is 100 1 12 0 0.004 0 0.001 0 0.1 0 0.003 Robb Kenyon resigned as a director of the Company on July 8, 2021, at which point the above loans ceased to be related party transactions. On April 19, 2019, the Company entered into a construction loan with Olympic Views, LLC of which the Company’s Chief Executive Officer and President previously owned a 50% 0.4 12% April 19, 2020 0 0 0 0.02 0.1 6.00 82,826 Due to Related Party The Company utilizes a quarry to process waste materials from the completion of raw land into sellable/buildable lots. The quarry is located on land owned by SGRE, LLC which is 100 25 0.01 0 0.1 0.1 Richard Schmidtke, a Company director, provided accounting services in 2021 and 2020 to the Company. On December 31, 2021 and December 31, 2020, the fees payable to Mr. Schmidtke were $ 0 0.001 0.001 0.05 Land Purchase from a Related Party On September 2, 2020, the Company purchased 99 undeveloped lots for $ 3.4 50

LEASES

LEASES	12 Months Ended
	Dec. 31, 2021
Leases
LEASES	16. LEASES The Company determines if an arrangement contains a lease at inception. ROU assets represent the right to use an underlying asset for the lease term and lease liabilities represent the obligation to make lease payments arising from the lease. ROU assets and liabilities are recognized at the lease commencement date based on the estimated present value of lease payments over the lease term. The Company’s leases consist of leaseholds on office space, machinery, and equipment. The Company utilized a portfolio approach in determining the discount rate. The portfolio approach takes into consideration the range of the term, the range of the lease payments, the category of the underlying asset and the Company’s estimated incremental borrowing rate, which is derived from information available at the lease commencement date, in determining the present value of lease payments. The Company also considered its recent debt issuances as well as publicly available data for instruments with similar characteristics when calculating the incremental borrowing rates. The lease term includes options to extend the lease when it is reasonably certain that the Company will exercise that option. These operating leases contain renewal options for periods ranging from three five years Leases with a term of 12 months or less are not recorded on the balance sheet, per the election of the practical expedient noted above. The Company recognizes lease expense for these leases on a straight-line basis over the lease term. The Company recognizes variable lease payments in the period in which the obligation for those payments is incurred. Variable lease payments that depend on an index or a rate are initially measured using the index or rate at the commencement date, otherwise variable lease payments are recognized in the period incurred. The components of lease expense were as follows: SCHEDULE OF COMPONENTS OF LEASE EXPENSE Year Ended Year Ended December 31, 2021 December 31, 2020 Finance leases: Depreciation of assets $ 152,700 $ 88,000 Interest on lease liabilities 43,400 38,000 Operating lease expense 550,400 328,300 Total net lease cost $ 746,500 $ 454,300 Supplemental balance sheet information related to leases was as follows: SCHEDULE OF SUPPLEMENTAL BALANCE SHEET INFORMATION RELATED TO LEASES December 31, 2021 December 31, 2020 Operating leases: Operating lease ROU assets $ 3,429,700 $ 873,800 Total ROU Liabilities $ 3,484,400 $ 841,700 Finance leases: Property and equipment, at cost $ 1,365,500 $ 1,411,100 Less: Accumulated depreciation 293,100 140,400 Property and equipment, net $ 1,072,400 $ 1,270,700 Total Finance lease liabilities $ 543,400 $ 999,400 Supplemental cash flow and other information related to leases was as follows: SUPPLEMENTAL CASH FLOW AND OTHER INFORMATION RELATED TO LEASES Year Ended Year Ended December 31, 2021 December 31, 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ (301,100 ) $ (273,800 ) Financing cash flows from finance leases (356,900 ) (564,400 ) Assets obtained in exchange for lease liabilities: Operating leases $ 2,943,800 $ — Finance leases — 1,043,100 Weighted average remaining lease term (in years): Operating leases 8.6 3.2 Finance leases 2.7 3.1 Weighted average discount rate: Operating leases 4.7 % 9.9 % Finance leases 4.8 % 5.2 % The minimum lease payments under the terms of the leases are as follows for the years ended December 31: SCHEDULE OF MINIMUM LEASE PAYMENTS Operating Leases Finance Leases Total 2022 $ 611,700 $ 268,900 $ 880,600 2023 542,000 238,600 780,600 2024 433,300 74,900 508,200 2025 328,900 — 328,900 2026 338,800 — 338,800 Thereafter 1,952,600 — 1,952,600 Total lease payments $ 4,207,300 $ 582,400 $ 4,789,700 Less amount of discount/interest (722,900 ) (39,000 ) (761,900 ) $ 3,484,400 $ 543,400 $ 4,027,800

INCOME TAX

INCOME TAX	12 Months Ended
	Dec. 31, 2021
Income Tax Disclosure [Abstract]
INCOME TAX	17. INCOME TAX The components of net deferred tax assets and liabilities at December 31, 2021 and 2020 are set forth below: SCHEDULE OF COMPONENTS OF NET DEFERRED TAX ASSETS AND LIABILITIES December 31, 2021 December 31, 2020 Deferred tax assets: Federal NOL Carryforward $ 1,926,000 $ 1,794,200 UNICAP 598,400 193,000 Lease Liability 736,400 176,700 Stock Based compensation 54,900 9,200 Investments 7,000 57,100 Total assets $ 3,322,700 $ 2,230,200 Deferred tax liabilities: Property and equipment $ 1,948,900 $ 1,705,400 Right of use assets 724,800 183,500 Total liabilities $ 2,673,700 $ 1,888,900 Subtotal deferred tax assets 649,000 341,300 Valuation Allowance — (341,300 ) Net deferred tax assets $ 649,000 $ — In accordance with GAAP, management assesses whether it is more-likely-than-not that some portion or all of the deferred tax assets will not be realized, and if a valuation allowance is warranted. On December 31, 2021, management determined that it was more-likely-than-not that the Company’s deferred tax assets would be realized. Accordingly, on December 31, 2021, no valuation allowance was recorded against the Company’s federal net deferred tax assets. At December 31, 2020, management determined that it was more-likely-than-not that a valuation amount should be applied against the Company’s net deferred tax assets. The change in valuation allowance in the current year was a decrease of $ 0.3 The Company has approximately $ 9.2 The components of income tax expense and the effective tax rates for the years ended December 31, 2021 and 2020 are as follows: SCHEDULE OF COMPONENTS OF INCOME TAX EXPENSE Year Ended Year Ended December 31, 2021 December 31, 2020 Current: Federal $ 2,394,500 $ — State 21,400 — Total Current 2,415,900 — Deferred: Federal (649,000 ) (224,500 ) State — — Total Deferred (649,000 ) (224,500 ) Valuation Allowance — 341,300 Total Income Tax Expense $ 1,766,900 $ 116,800 The expected tax rate differs from the U.S. Federal statutory rate as follows: SCHEDULE OF EFFECTIVE INCOME TAX RATE RECONCILIATION 2021 2020 US Federal statutory rate 21.0 % 21.0 % Change in Federal Valuation Allowance (3.1 )% (9.4 )% Tax Credits (2.6 )% — % Incentive Stock Options 0.5 % — % Adjustment of Deferred Tax 0.2 % (16.3 )% State Taxes 0.2 % — % Change in Tax Rate 0.1 % — % PPP Loan forgiveness — % 3.2 % Non-controlling Interest — % (1.3 )% Other 0.1 % (0.4 )% Effective Tax Rate 16.4 % (3.2 )% On December 31, 2021, the Company has not recorded any uncertain tax positions for any tax year and treats accrued interest and penalties on income tax liabilities as income tax expense. The Company files an income tax return in the U.S. and is subject to examination by the IRS for the tax years 2018, 2019 and 2020.

STOCKHOLDERS_ EQUITY

STOCKHOLDERS’ EQUITY	12 Months Ended
	Dec. 31, 2021
Equity [Abstract]
STOCKHOLDERS’ EQUITY	18. STOCKHOLDERS’ EQUITY Common Stock The Company is authorized to issue 50,000,000 13,155,342 Each share of common stock has one vote per share for all purposes. Common stock does not provide any preemptive, subscription or conversion rights and there are no redemption or sinking fund provisions or rights. Common stockholders are not entitled to cumulative voting for purposes of electing members to the Board of Directors. Preferred Stock At December 31, 2021, the Company is authorized to issue 10,000,000 no 4,016,955 8 25.00 25.00 Conversion at Option of Holder 4.50 5.556 Dividends Preferred Stock 8 0.7 Common Stock. Public Offering and Conversion of Debt The registration statement for the Company’s initial public offering (the “Initial Public Offering”) became effective on August 28, 2020. On September 1, 2020, the Company closed on the Initial Public Offering of 2,031,705 6.00 265,005 12.2 10.8 In addition, upon closing of the Initial Public Offering, the Company issued to the underwriters warrants to purchase an aggregate of 88,335 7.50 four years 0.2 Also, upon closing of the Initial Public Offering, the Company issued to Olympic Views, LLC (“Olympic”), 82,826 0.4 0.1 6.00 2021 Common Stock Offering On January 15 and 20, 2021, the Company closed on an offering (the “Follow-On Offering”) of 9,200,000 3.00 1,200,000 27.6 25.1 In addition, upon closing of the Follow-On Offering, the Company issued to the underwriters, warrants to purchase an aggregate of 400,000 3.75 five years 0.5 Preferred Stock Offerings On June 11, 2021, the Company closed an offering (the “Preferred Stock Offering”) for 1,200,000 4,140,000 5.00 540,000 30.0 60,555 1.4 28.7 In addition, upon closing of the Preferred Stock Offering, the Company issued to the underwriters two warrants, including (i) warrants to purchase 12,000 36,000 5.00 The warrants issued to investors in the Preferred Stock Offering have an exercise price of $ 5.00 five years 3.7 On October 7, 2021, the Company closed an offering (the “Follow-On Preferred Stock Offering”) for 2,400,000 13,800,000 2.97 1,800,000 36.0 360,000 5.4 37.9 The warrants issued to investors in the Follow-On Preferred Stock Offering have an exercise price of $ 2.97 five years 6.0 Repurchase of Equity Securities On November 3, 2021, the Board of Directors approved a stock repurchase program authorizing the repurchase of up to $ 5.0 17 1,806,752 2.77 5.0 (A) Options The following is a summary of the Company’s option activity: SCHEDULE OF SHARE-BASED PAYMENT ARRANGEMENT, OPTION, ACTIVITY Options Weighted Average Exercise Price Outstanding – December 31, 2019 264,426 $ 0.41 Exercisable – December 31, 2019 117,218 $ 0.42 Granted 213,784 $ 4.79 Exercised — $ — Forfeited/Cancelled (36,038 ) $ 0.40 Outstanding – December 31, 2020 442,172 $ 2.53 Exercisable – December 31, 2020 219,085 $ 1.31 Granted 240,000 $ 3.23 Exercised (45,046 ) $ 0.40 Forfeited/Cancelled (173,875 ) $ 3.27 Outstanding – December 31, 2021 463,251 $ 2.82 Exercisable – December 31, 2021 343,724 $ 2.77 SCHEDULE OF SHARE-BASED PAYMENT ARRANGEMENT, OPTION, EXERCISE PRICE RANGE Options Outstanding Options Exercisable Exercise Price Number Outstanding Weighted Average Remaining Contractual Life (in years) Weighted Average Exercise Price Number Exercisable Weighted Average Exercise Price $ 0.40 6.50 463,251 6.23 $ 2.82 343,724 $ 2.77 During the year ended December 31, 2021, the Company issued 240,000 2.76 3.41 10 two three years 0.3 Stock-Based Compensation. During the year ended December 31, 2021, the Company had 45,046 0.40 0.02 The Company recognized share-based compensation net of forfeitures related to options of $ 0.3 0.1 On December 31, 2021, unrecognized share-based compensation was $ 0.1 The intrinsic value for outstanding and exercisable options as of December 31, 2021 was $ 0.4 0.3 1.0 0.7 (B) Warrants The following is a summary of the Company’s Common Stock Warrant activity: SCHEDULE OF WARRANTS ACTIVITY Warrants Weighted Average Exercise Price Outstanding – December 31, 2019 22,524 $ 0.40 Exercisable – December 31, 2019 22,524 $ 0.40 Granted 88,335 $ 7.5 Exercised — $ — Forfeited/Cancelled — $ — Outstanding – December 31, 2020 110,859 $ 6.06 Exercisable – December 31, 2020 22,524 $ 0.40 Granted 18,376,000 $ 3.45 Exercised — $ — Forfeited/Cancelled — $ — Outstanding – December 31, 2021 18,486,859 $ 3.46 Exercisable – December 31, 2021 18,486,859 $ 3.46 SCHEDULE OF WARRANTS OUTSTANDING AND EXERCISABLE Warrants Outstanding Warrants Exercisable Exercise Price Number Outstanding Weighted Average Remaining Contractual Life (in years) Weighted Average Exercise Price Number Exercisable Weighted Average Exercise Price $ 0.40 7.50 18,486,859 4.68 $ 3.46 18,486,859 $ 3.46 During the year ended December 31, 2021, the Company issued 18,376,000 2.97 5.00 5 0 6 9.9 The intrinsic value for outstanding and exercisable warrants as of December 31, 2021 and 2020 was $ 0.1 0.1 The following is a summary of the Company’s Preferred Stock Warrant activity: SCHEDULE OF WARRANTS ACTIVITY Warrants Weighted Average Exercise Price Outstanding – December 31, 2019 — $ — Exercisable – December 31, 2019 — $ — Granted — $ — Exercised — $ — Forfeited/Cancelled — $ — Outstanding – December 31, 2020 — $ — Exercisable – December 31, 2020 — $ — Granted 12,000 $ 24.97 Exercised — $ — Forfeited/Cancelled — $ — Outstanding – December 31, 2021 12,000 $ 24.97 Exercisable – December 31, 2021 12,000 $ 24.97 SCHEDULE OF WARRANTS OUTSTANDING AND EXERCISABLE Warrants Outstanding Warrants Exercisable Exercise Price Number Outstanding Weighted Average Remaining Contractual Life (in years) Weighted Average Exercise Price Number Exercisable Weighted Average Exercise Price $ 24.97 12,000 4.44 $ 24.97 12,000 $ 24.97 During the year ended December 31, 2021, the Company issued 12,000 24.97 5 6 0.1 The intrinsic value for outstanding and exercisable preferred warrants as of December 31, 2021 and 2020 was $ 0 (C) Restricted Stock Plan The following is a summary of the Company’s restricted stock activity: SCHEDULE OF RESTRICTED STOCK UNIT ACTIVITY Restricted Stock Weighted Average Exercise Price Non Vested Balance - December 31, 2019 — $ — Granted 34,000 $ 4.53 Vested 8,500 $ 4.53 Forfeited/Cancelled — $ — Non Vested Balance - December 31, 2020 25,500 $ 4.53 Granted 180,000 $ 2.58 Vested 60,500 $ 3.71 Forfeited/Cancelled — $ — Non Vested Balance - December 31, 2021 145,000 $ 2.45 The Company periodically grants restricted stock awards to the Board of Directors and certain employees pursuant to the 2020 Plan. These typically are awarded by the Compensation Committee at one time and from time to time, to vest in four equal installments quarterly, unless otherwise determined by the Compensation Committee. The Company recognized $ 0.2 0.04 0.5

SEGMENTS

SEGMENTS	12 Months Ended
	Dec. 31, 2021
Segment Reporting [Abstract]
SEGMENTS	19. SEGMENTS The Company’s business is organized into four 99% 1) Homes 2) Developed lots 3) Entitled land 4) Fee build The reporting segments follow the same accounting policies used in the preparation of the Company’s consolidated financial statements. The following represents selected information for the Company’s reportable segments for the years ended December 31, 2021 and 2020. Immaterial construction materials revenues and costs are included in the homes segment. SCHEDULE OF COMPANY’S REPORTABLE SEGMENT Year Ended December 31, 2021 Year Ended December 31, 2020 Revenue by segment Homes $ 17,654,600 $ 37,276,400 Developed lots 26,825,500 12,538,000 Entitled land 20,625,000 — Fee Build 6,802,900 — Other 444,700 582,600 Total Revenue $ 72,352,700 $ 50,397,000 Cost of goods sold by segment Homes $ 15,168,500 $ 35,140,000 Developed lots 15,885,300 13,253,800 Entitled land 11,689,100 — Fee Build 5,991,300 — Other 1,685,200 — Cost of goods sold by segment $ 50,419,400 $ 48,393,800 Gross profit (loss) by segment Homes $ 2,486,100 $ 2,136,400 Developed lots 10,940,200 (715,800 ) Entitled land 8,935,900 — Fee Build 811,600 — Other (1,240,500 ) 582,600 Gross profit (loss) by segment $ 21,933,300 $ 2,003,200

UNCOMPLETED CONTRACTS

UNCOMPLETED CONTRACTS	12 Months Ended
	Dec. 31, 2021
Revenue from Contract with Customer [Abstract]
UNCOMPLETED CONTRACTS	20. UNCOMPLETED CONTRACTS Costs, estimated earnings and billings on uncompleted contracts are summarized as follows at December 31, 2021 and December 31, 2020: SUMMARY OF COST, ESTIMATED EARNINGS AND BILLINGS ON UNCOMPLETED CONTRACTS December 31, 2021 December 31, 2020 Costs incurred on uncompleted contracts $ 5,991,300 $ — Estimated earnings 811,600 — Costs and estimated earnings on uncompleted contracts 6,802,900 — Billings to date 4,635,700 — Costs and estimated earnings in excess of billings on uncompleted contracts 2,167,200 — Billings in excess of costs and estimated earnings on uncompleted contracts — — Total earnings from completed and uncompleted contracts $ 2,167,200 $ — The contract asset of $ 2.2 0.8 1.4 1.0

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	12 Months Ended
	Dec. 31, 2021
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	21. SUBSEQUENT EVENTS On January 12, 2022, the board of directors of the Company declared a monthly cash dividend on the Company’s 8.0% 0.167 On January 26, 2022, the board of directors of the Company declared a monthly cash dividend on the Company’s 8.0% 0.167 On January 26, 2022, the Company entered into a preliminary commitment with Marquee Funding Group for a $ 15.7 75 On February 14, 2022, the Company entered into a preliminary commitment with Washington Federal Bank for a $ 29.7 177 On February 25, 2022, the Company entered into a purchase and sale agreement to sell land in Blaine, Washington for $ 4.5 On March 3, 2022, the Company entered into a purchase and sale agreement to purchase land in Tacoma, Washington for $ 6.7 On March 7, 2022, the Company entered into a senior secured revolving credit facility with BankUnited for $ 25.0 4.75% On March 14, 2022, the board of directors of the Company declared a monthly cash dividend on the Company’s 8.0% 0.167

NATURE OF OPERATIONS AND SUMM_2

NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	Dec. 31, 2021
Accounting Policies [Abstract]
Nature of Operations	Nature of Operations The Company’s principal business activity involves acquiring raw land and developed lots for the purpose of building and selling single family and multi-family dwellings in Washington, California, Texas, and Florida. It utilizes its heavy equipment resources to develop an inventory of developed lots and provide development infrastructure construction, on a contract basis, for other home builders. Single family construction and infrastructure construction contracts vary but are typically less than one year. On August 1, 2019, the Company changed its name from Harbor Custom Homes, Inc. to Harbor Custom Development, Inc. The Company became an effective filer with the SEC and started trading on The Nasdaq Stock Market LLC (“Nasdaq”) on August 28, 2020.
Principles of Consolidation	Principles of Consolidation The consolidated financial statements include the following subsidiaries of Harbor Custom Development, Inc. as of the reporting period ending dates as follows (all entities are formed as Washington LLC’s): SCHEDULE OF STATEMENT OF SUBSIDIARIES Names Dates of Formation Attributable Interest December 31, 2021 December 31, 2020 Saylor View Estates, LLC March 30, 2014 51 % 51 % Harbor Materials, LLC* July 5, 2018 N/A 100 % Belfair Apartments, LLC December 3, 2019 100 % 100 % Pacific Ridge CMS, LLC May 24, 2021 100 % N/A Tanglewilde, LLC June 25, 2021 100 % N/A HCDI FL CONDO LLC August 3, 2021 100 % N/A HCDI Mira, LLC August 30, 2021 100 % N/A HCDI Bridgeview LLC October 28, 2021 100 % N/A HCDI Wyndstone, LLC September 15, 2021 100 % N/A HCDI Semiahmoo, LLC December 17, 2021 100 % N/A * Harbor Materials, LLC was voluntarily dissolved with the State of Washington as of January 29, 2021. As of December 31, 2021 and December 31, 2020, the aggregate non-controlling interest was $( 1.3 1.3
Basis of Presentation	Basis of Presentation The accompanying consolidated financial statements include the accounts of Harbor Custom Development, Inc and, its wholly owned subsidiaries, and are presented using the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). All intercompany accounts and transactions have been eliminated in consolidation. References to the “ASC” hereafter refer to the Accounting Standards Codification established by the Financial Accounting Standards Board (“FASB”) as the source of authoritative U.S. GAAP. The Company’s Board of Directors and stockholders approved a 1-for-2.22 All numbers in these financial statements are rounded to the nearest $100.
Reclassification	Reclassification Certain prior year amounts have been reclassified for consistency with the current year presentation. These reclassifications had no effect on the reported results of operations.
Use of Estimates	Use of Estimates Management uses estimates and assumptions in preparing these financial statements in accordance with generally accepted accounting principles. Those estimates and assumptions affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues and expenses. Actual results could vary from the estimates that were used.
Stock-Based Compensation	Stock-Based Compensation Effective as of November 19, 2018, the Company’s Board of Directors and stockholders approved and adopted the 2018 Incentive and Non-Statutory Stock Option Plan (the “2018 Plan”). The 2018 Plan allows the Administrator (as defined in the 2018 Plan), currently the Board of Directors, to determine the issuance of incentive stock options and non-qualified stock options to eligible employees and outside directors and consultants of the Company. The Company reserved 675,676 Effective as of December 3, 2020, the Company’s Board of Directors and stockholders approved and adopted the 2020 Restricted Stock Plan (the “2020 Plan”). The 2020 Plan allows the Administrator (currently the Compensation Committee) to determine the issuance of restricted stock to eligible officers, directors, and key employees. The Company reserved 700,000 The Company accounts for stock-based compensation in accordance with ASC Topic 718, “ Compensation – Stock Compensation” The Company recognizes all forms of share-based payments, including stock option grants, warrants and restricted stock grants, at their fair value on the grant date, which is based on the estimated number of awards that are ultimately expected to vest. Options and warrants are valued using a Black-Scholes option pricing model, with the exception of the preferred warrants which were valued using an 8 Stock-based compensation expenses are included in operating expenses in the consolidated statement of operations. For the years ended December 31, 2021 and 2020 when computing fair value of share-based payments, the Company has considered the following variables: SCHEDULE OF FAIR VALUE ASSUMPTIONS OF SHARE-BASED PAYMENTS December 31, 2021 December 31, 2020 Risk-free interest rate 0.17 0.84 0.14 1.46 Exercise price $ 2.76 5.00 $ 2.22 6.50 Expected life of grants 2.50 6.50 2.86 6.00 Expected volatility of underlying stock 42.30 56.00 32.39 51.94 Dividends 0 0 The expected term is computed using the “simplified” method as permitted under the provisions of ASC 718-10-S99. The Company uses the simplified method to calculate the expected term of share options and similar instruments as the Company does not have sufficient historical exercise data to provide a reasonable basis upon which to estimate the expected term. The share price as of the grant date was determined by an independent third party 409(a) valuation until the Company’s stock became publicly traded. Now the share price is the public trading price at the time of grant. Expected volatility is based on the historical stock price volatility of comparable companies’ common stock, as the stock does not have sufficient historical trading activity. Risk free interest rates were obtained from U.S. Treasury rates for the applicable periods.
Earnings (Loss) Per Share	Earnings (Loss) Per Share Earnings (Loss) per share (“EPS”) is the amount of earnings attributable to each share of common stock. For convenience, the term is used to refer to either earnings or loss per share. EPS is computed pursuant to Section 260-10-45 of the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”). Pursuant to ASC Paragraphs 260-10-45-10 through 260-10-45-16, basic EPS shall be computed by dividing income available to common stockholders (the numerator) by the weighted-average number of common shares outstanding (the denominator) during the period. Income available to common stockholders shall be computed by deducting both the dividends declared in the period on preferred stock (whether or not paid) and the dividends accumulated for the period on cumulative preferred stock (whether or not earned) from income from continuing operations (if that amount appears in the income statement) and also from net income. The computation of diluted EPS is similar to the computation of basic EPS except that the denominator is increased to include the number of additional common shares that would have been outstanding if the dilutive potential common shares had been issued during the period to reflect the potential dilution that could occur from common shares issuable through contingent shares issuance arrangement, stock options, warrants, or RSUs. The following table provides a reconciliation of the numerator and denominator used in computing basic and diluted net income (loss) attributable to common stockholders per common share for the years ended December 31, 2021 and 2020. SCHEDULE OF NET INCOME (LOSS) PER SHARE Year Ended December 31, 2021 Year Ended December 31, 2020 Numerator: Net income (loss) attributable to common stockholders $ 6,133,600 $ (3,532,800 ) Effect of dilutive securities: 2,724,900 — Diluted net income (loss) $ 8,858,500 $ (3,532,800 ) Denominator: Weighted average common shares outstanding - basic 14,336,748 4,214,418 Dilutive securities (a): Options 147,441 — Warrants 19,426 — Restricted Stock Awards 1,789 — Convertible Preferred Stock 7,288,178 — Weighted average common shares outstanding and assumed conversion – diluted 21,793,582 4,214,418 Weighted average common shares outstanding and assumed conversion – diluted 21,793,582 4,214,418 Basic net income (loss) per common share $ 0.43 $ (0.84 ) Diluted net income (loss) per common share $ 0.41 $ (0.84 ) (a) – Outstanding shares of anti-dilutive securities excluded: Common stock securities 18,779,335 241,609 Convertible preferred stock securities * 12,000 — * Preferred stock is convertible into common shares on a 5.556 to 1 ratio
Fair Value of Financial Instruments	Fair Value of Financial Instruments For purpose of this disclosure, the fair value of a financial instrument is the amount at which the instrument could be exchanged in a current transaction between willing parties, other than in a forced sale or liquidation. The carrying amount of the Company’s short-term financial instruments approximates fair value due to the relatively short period to maturity for these instruments.
Cash and Cash Equivalents	Cash and Cash Equivalents For purposes of the statement of cash flows, the Company considers all short-term debt securities purchased with a maturity of three months or less to be cash equivalents. There were no
Restricted Cash	Restricted Cash On August 10, 2021, the Company entered a Letter of Credit (“LOC”) agreement with WaFd bank in the amount of $0.6 million. The Company signed a lease on October 5, 2021 for a new office space. The landlord of the property, University Street Properties I, LLC, is the beneficiary of the LOC. The amount of funds that cover this LOC were moved by the WaFd bank to a controlled account on August 13, 2021. (See Note 10. Letter of Credit).
Accounts Receivable	Accounts Receivable Accounts receivables are reported at the amount the Company expects to collect from outstanding balances. The Company provides an allowance for doubtful accounts based upon a review of the outstanding accounts receivable, historical collection information and existing economic conditions. The Company determines if receivables are past due based on days outstanding, and amounts are written off when determined to be uncollectible by management. The allowance for doubtful accounts was $ 0
Property and Equipment and Depreciation	Property and Equipment and Depreciation Property and equipment are recorded at cost. Expenditures for major additions and betterments are capitalized. Maintenance and repair charges are expensed as incurred. Depreciation is computed by the straight-line method (after considering their respective estimated residual values) over the estimated useful lives: SCHEDULE OF PROPERTY AND EQUIPMENT ESTIMATED USEFUL LIVES Construction Equipment 5 10 Leasehold Improvements The lesser of 10 years or the remaining life of the lease Furniture and Fixtures 5 Computers 3 Vehicles 10
Real Estate Assets	Real Estate Assets Real estate assets are recorded at cost, except when real estate assets are acquired that meet the definition of a business combination in accordance with FASB ASC 805, “Business Combinations,” where acquired assets are recorded at fair value. Interest, property taxes, insurance, and other incremental costs (including salaries) directly related to a project are capitalized during the construction period of major facilities and land improvements. The capitalization period begins when activities to develop the parcel commence and ends when the asset constructed is completed. The capitalized costs are recorded as part of the asset to which they relate and are expensed when the underlying asset is sold. The Company capitalized interest from related party borrowings of $ 1.0 1.0 2.4 2.4 A property is classified as “held for sale” when all the following criteria for a plan of sale have been met: (1) Management, having the authority to approve the action, commits to a plan to sell the property; (2) The property is available for immediate sale in its present condition, subject only to terms that are usual and customary; (3) An active program to locate a buyer and other actions required to complete the plan to sell, have been initiated; (4) The sale of the property is probable and is expected to be completed within one year of the contract date; (5) The property is being actively marketed for sale at a price that is reasonable in relation to its current fair value; and (6) Actions necessary to complete the plan of sale indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. When all these criteria have been met, the property is classified as “held for sale.” In addition to the annual assessment of potential triggering events in accordance with ASC 360, the Company applies a fair value-based impairment test to the net book value of assets on an annual basis and on an interim basis if certain events or circumstances indicate that an impairment loss may have occurred. As of December 31, 2021 and December 31, 2020, the Company did not have any projects that qualified for an impairment charge.
Revenue and Cost Recognition	Revenue and Cost Recognition ASC 606, Revenue from Contracts with Customers (“ASC 606”), establishes principles for reporting information about the nature, amount, timing and uncertainty of revenue and cash flows arising from the entity’s contract to provide goods or services to customers. In accordance with ASC 606, revenue is recognized when a customer obtains control of the promised good or service. The amount of revenue recognized reflects the consideration to which the Company expects to be entitled to receive in exchange for these goods or services. The provision of ASC 606 includes a five-step process by which the Company determines revenue recognition, depicting the transfer of goods or services to customers in amounts reflecting the payment to which the Company expects to be entitled in exchange for those goods or services. ASC 606 requires the Company to apply the following steps: (1) identify the contract with the customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to the performance obligations in the contract; and (5) recognize revenue when, or as, performance obligations are satisfied. A detailed breakdown of the five-step process for the revenue recognition of Entitled Land Revenue is as follows: 1. Identify the contract with a customer. The Company signs an agreement with a buyer to purchase the parcel of entitled land. 2. Identify the performance obligations in the contract. Performance obligations of the Company include delivering entitled land to the customer, which are required to meet certain specifications outlined in the contract. 3. Determine the transaction price. The transaction price is fixed and specified in the contract. Any subsequent change orders or price changes are required to be approved by both parties. 4. Allocation of the transaction price to performance obligations in the contract. The parcel is a separate performance obligation for which the specific price is in the contract. 5. Recognize revenue when (or as) the entity satisfies a performance obligation. The Company recognizes revenue when title is transferred. The Company does not have any further performance obligations once title is transferred. A detailed breakdown of the five-step process for the revenue recognition of Developed Lots Revenue is as follows: 1. Identify the contract with a customer. The Company signs an agreement with the buyer to purchase lots that have completed infrastructure. 2. Identify the performance obligations in the contract. Performance obligations of the Company include delivering developed lots to the customer, which are required to meet certain specifications that are outlined in the contract. 3. Determine the transaction price. The transaction price is fixed and specified in the contract. Any subsequent change orders or price changes are required to be approved by both parties. 4. Allocation of the transaction price to performance obligations in the contract. All lots are a single performance obligation for the specific price in the contract. 5. Recognize revenue when (or as) the entity satisfies a performance obligation. The Company recognizes revenue when title is transferred. The Company does not have any further performance obligations once title is transferred. A detailed breakdown of the five-step process for the revenue recognition of Fee Build Revenue is as follows: 1. Identify the contract with a customer. The Company signs an agreement with a customer to construct the required infrastructure so that houses can be developed on the lots. 2. Identify the performance obligations in the contract. Performance obligations of the Company include delivering developed lots which are required to meet certain specifications that are outlined in the contract. 3. Determine the transaction price. The transaction price is fixed and specified in the contract. Any subsequent change orders or price changes are required to be approved by both parties. 4. Allocation of the transaction price to performance obligations in the contract. The nature of the industry involves a number of uncertainties that can affect the current state of the contract. Variable considerations are the estimates made due to a contract modification in the contractual service. Change orders, claims, extras, or back charges are common in contractual services activity as a form of variable consideration. If there is going to be a contract modification, judgment by management will need to be made to determine if the variable consideration is enforceable. The following factors are considered in determining if the variable consideration is enforceable: 1. The customer’s written approval of the scope of the change order; 2. Current contract language that indicates clear and enforceable entitlement relating to the change order; 3. Separate documentation for the change order costs that are identifiable and reasonable; and 4. The Company’s experience in negotiating change orders, especially as it relates to the specific type of contract and change order being evaluated. Once the Company receives a contract, it generates a budget of projected costs for the contract based on the contract price. If the scope of the contract during the contractual period needs to be modified, the Company files a change order. The Company does not continue to perform services until the change modification is agreed upon with documentation by both the Company and the customer. There are few times that claims, extras, or back charges are included in the contract. If there are multiple performance obligations to the contract, the costs must be allocated appropriately and consistently to each performance obligation. In the Company’s experience, usually only one performance obligation is stated per contract. If there are multiple services provided for one customer, the Company has a policy of splitting out the services over multiple contracts. 5. Recognize revenue when (or as) the entity satisfies a performance obligation. The Company uses the total costs incurred on the project relative to the total expected costs to satisfy the performance obligation. The input method involves measuring the resources consumed, labor hours expended, costs incurred, time lapsed, or machine hours used relative to the total expected inputs to the satisfaction of the performance obligation. Costs incurred prior to actual contract (i.e., design, engineering, procurement of material, etc.) should not be recognized as the Company does not have control of the good/service provided. When the estimate on a contract indicates a loss or claims against costs incurred reduce the likelihood of recoverability of such costs, the Company records the entire estimated loss in the period the loss becomes known. Project contracts typically provide for a schedule of billings or invoices to the customer based on the Company’s job to date percentage of completion of specific tasks inherent in the fulfillment of its performance obligation(s). The schedules for such billings usually do not precisely match the schedule on which costs are incurred. As a result, contract revenue recognized in the statement of operations can and usually does differ from amounts that can be billed or invoiced to the customer at any point during the contract. Amounts by which cumulative contract revenue recognized on a contract as of a given date exceed cumulative billings and unbilled receivables to the customer under the contract are reflected as a current asset in the Company’s balance sheet under the caption “Contract Asset, net” which is further disclosed in Note 20. Amounts by which cumulative billings to the customer under a contract as of a given date exceed cumulative contract revenue recognized on the contract would be reflected as a current liability in the Company’s balance sheet. A detailed breakdown of the five-step process for the revenue recognition of Home Revenue is as follows: 1. Identify the contract with a customer. The Company signs an agreement with a homebuyer to purchase a lot with a completed house. 2. Identify the performance obligations in the contract. Performance obligations of the Company include delivering a developed lot with a completed house to the customer, which is required to meet certain specifications that are outlined in the contract. 3. Determine the transaction price. The transaction price is fixed and specified in the contract. Any subsequent change orders or price changes are required to be approved by both parties. 4. Allocation of the transaction price to performance obligations in the contract. Each lot with a completed house is a separate performance obligation, for which the specific price in the contract is allocated. 5. Recognize revenue when (or as) the entity satisfies a performance obligation. The Company recognizes revenue when title is transferred. The Company does not have any further performance obligations once title is transferred. A detailed breakdown of the five-step process for the revenue recognition of Construction Materials sold to or received from contractors is as follows: 1. Identify the contract with a customer. There are no signed contracts. Each transaction is verbally agreed to with the customer. 2. Identify the performance obligations in the contract. The Company delivers or receives materials from customers based on the verbal agreement reached. 3. Determine the transaction price. The Company has a set price list for receiving approved fill materials to recycle or provides customers with a combination of said materials. 4. Allocation of the transaction price to performance obligations in the contract. There is only one performance obligation, which is to pick up or deliver the materials. The entire transaction price is therefore allocated to the performance obligation. 5. Recognize revenue when (or as) the entity satisfies a performance obligation. The performance obligation is fulfilled, and revenue is recognized when the materials have been received or delivered by the Company. Revenues from contracts with customers are summarized by category as follows for the years ended December 31: SCHEDULE OF REVENUES FROM CONTRACTS WITH CUSTOMERS Year Ended Year Ended December 31, 2021 December 31, 2020 Entitled Land $ 20,625,000 $ — Developed Lots 26,825,500 12,538,000 Fee Build 6,802,900 — Homes 17,654,600 37,276,400 Construction Materials 444,700 582,600 Total Revenue $ 72,352,700 $ 50,397,000 Disaggregation of Revenue from Contracts with Customers The following table disaggregates the Company’s revenue based on the type of sale or service and the timing of satisfaction of performance obligations for the years ended December 31, 2021 and 2020: DISAGGREGATION OF REVENUE FROM CONTRACTS WITH CUSTOMERS Year Ended Year Ended December 31, 2021 December 31, 2020 Performance obligations satisfied at a point in time $ 65,549,800 $ 50,397,000 Performance obligations satisfied over time 6,802,900 — Total Revenue $ 72,352,700 $ 50,397,000
Cost of Sales	Cost of Sales Land acquisition costs are allocated to each lot based on the size of the lot in relation to the size of the total project. Development costs and capitalized interest are allocated to lots sold based on the same criteria. Costs relating to the handling of recycled construction materials and converting items into usable construction materials for resale are charged to cost of sales as incurred.
Advertising	Advertising Advertising expense for the years ended December 31, 2021 and 2020 was $ 0.1 0.04
Leases	Leases The Company adopted ASC Topic 842, Leases, as amended, on January 1, 2019. We elected the package of practical expedients permitted under the transition guidance within the new standard, which among other things, allowed the Company to not separate non-lease components from lease components and instead to account for each separate lease component and the non-lease components associated with that lease component as a single lease. The Company’s leases consist of leaseholds on office space, machinery, and equipment. The Company determines if an arrangement contains a lease at inception as defined by ASC 842. In order to meet the definition of a lease under ASC 842, the contractual arrangement must convey to us the right to control the use of an identifiable asset for a period of time in exchange for consideration. ROU assets represent the right to use an underlying asset for the lease term and lease liabilities represent the obligation to make lease payments arising from the lease. ROU assets and liabilities are recognized at the lease commencement date based on the estimated present value of lease payments over the lease term.
Income Taxes	Income Taxes Deferred income tax assets and liabilities are determined based on the estimated future tax effects of net operating loss, credit carryforwards and temporary differences between the tax basis of assets and liabilities and their respective financial reporting amounts measured at the current enacted tax rates. Management applies the criteria established under FASB Accounting for Income taxes (Topic 740) (the Update) to determine if any valuation allowances are needed each year. The Company recognizes a tax benefit for an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by taxing authorities, based on the technical merits of the position. There are no uncertain tax positions as of December 31, 2021 and December 31, 2020.
Recent Accounting Pronouncements	Recent Accounting Pronouncements On December 18, 2019, the FASB released Accounting Standards Update No. 2019-12, Income taxes (Topic 740) (the Update). The Board issued this update as part of its initiative to reduce complexity in accounting standards. The company has adopted this standard; there were no material impacts to the balance sheet, income statement, statement of cash flows, or tax footnote. In August 2020, the FASB issued Accounting Standards Update 2020-06, Debt — Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging — Contracts in Entity’s Own Equity (Subtopic 815-40) (“ASU 2020-06”) to simplify accounting for certain financial instruments. ASU 2020-06 eliminates the current models that require separation of beneficial conversion and cash conversion features from convertible instruments and simplifies the derivative scope exception guidance pertaining to equity classification of contracts in an entity’s own equity. The new standard also introduces additional disclosures for convertible debt and freestanding instruments that are indexed to and settled in an entity’s own equity. ASU 2020-06 amends the diluted earnings per share guidance, including the requirement to use the if-converted method for all convertible instruments. ASU 2020-06 is effective January 1, 2022 and should be applied on a full or modified retrospective basis, with early adoption permitted beginning on January 1, 2021. The Company adopted ASU 2020-06 on January 1, 2021. The ASU 2020-06 had an impact on the Company’s preferred stock disclosures and EPS as well as eliminating the accounting for beneficial conversion features. On May 3, 2021, the FASB released Accounting Standards Update No. 2021-04, Compensation – Earning Per Share (Topic 260), Debt - Modifications and Extinguishments (subtopic 470-50), Compensation - Stock compensation (Topic 718), Contracts in Entity’s Own Equity (Subtopic 815-40) Issuer’s Accounting for Certain Modifications or Exchanges of Freestanding Equity-Classified Written Call Options. FASB issued this update to clarify and reduce diversity in an issuer’s accounting for modifications or exchanges of freestanding equity-classified written call options (for example warrants) that remain equity classified after modification or exchange. The Standard is effective for fiscal years beginning after December 15, 2021. The Company does not believe the adoption will have a material impact on the Company.
Impairment of Long-Lived Assets	Impairment of Long-Lived Assets The Company reviews long-lived assets for impairment whenever events or circumstances indicate that the carrying value of such assets may not be fully recoverable. Impairment is present when the sum of estimated undiscounted future cash flow expected to result from use of the assets is less than carrying value. If impairment is present, the carrying value of the impaired asset is reduced to its fair value. Fair value is determined based on discounted cash flow or appraised values, depending on the nature of the assets. As of December 31, 2021 and December 31, 2020, there were no
Offering Costs Associated with a Public Offering	Offering Costs Associated with a Public Offering The Company complies with the requirements of FASB ASC 340-10-S99-1 and SEC Staff Accounting Bulletin (“SAB”) Topic 5A — “ Expenses of Offering.” On January 15 and 20, 2021, the Company closed on a follow-on public offering and over-allotment option, respectively, of common stock. During 2020, the Company incurred approximately $ 0.1

RESTATEMENT (Tables)

RESTATEMENT (Tables)	12 Months Ended
	Dec. 31, 2021
Accounting Changes and Error Corrections [Abstract]
SCHEDULE OF ERROR CORRECTIONS AND PRIOR PERIOD ADJUSTMENTS	The Company restated the earnings per share for the periods presented in the consolidated statement of operations and earnings per share reconciliation table in Note 2. The following table provides the summary of restated numbers. SCHEDULE OF ERROR CORRECTIONS AND PRIOR PERIOD ADJUSTMENTS As Previously Reported Restated Net Effect Year Ended December 31, 2021 As Previously Reported Restated Net Effect CONSOLIDATED STATEMENT OF OPERATIONS Net Income (Loss) Per Share - Diluted $ 0.24 $ 0.41 $ 0.17 Weighted Average Common Shares Outstanding - Basic 14,336,789 14,336,748 (41 ) Weighted Average Common Shares Outstanding - Diluted 36,915,491 21,793,582 (15,121,909 ) NOTE 2 Earnings (Loss) Per Share Denominator: Weighted average common shares outstanding - basic 14,336,789 14,336,748 (41 ) Options 19,482 147,441 127,959 Warrants 144,456 19,426 (125,030 ) Restricted Stock Awards 29,890 1,789 (28,101 ) Convertible Preferred Stock 22,384,874 7,288,178 (15,096,696 ) Weighted average common shares outstanding and assumed conversion - diluted 36,915,491 21,793,582 (15,121,909 ) Diluted net income (loss) per common share $ 0.24 $ 0.41 $ 0.17 (a) – Outstanding shares of anti-dilutive securities excluded: Common stock securities 18,901,282 18,779,335 (121,947 ) Convertible preferred stock securities* - 12,000 12,000 * Preferred stock is convertible into common shares on a 5.556 to 1 ratio

NATURE OF OPERATIONS AND SUMM_3

NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	12 Months Ended
	Dec. 31, 2021
Accounting Policies [Abstract]
SCHEDULE OF STATEMENT OF SUBSIDIARIES	The consolidated financial statements include the following subsidiaries of Harbor Custom Development, Inc. as of the reporting period ending dates as follows (all entities are formed as Washington LLC’s): SCHEDULE OF STATEMENT OF SUBSIDIARIES Names Dates of Formation Attributable Interest December 31, 2021 December 31, 2020 Saylor View Estates, LLC March 30, 2014 51 % 51 % Harbor Materials, LLC* July 5, 2018 N/A 100 % Belfair Apartments, LLC December 3, 2019 100 % 100 % Pacific Ridge CMS, LLC May 24, 2021 100 % N/A Tanglewilde, LLC June 25, 2021 100 % N/A HCDI FL CONDO LLC August 3, 2021 100 % N/A HCDI Mira, LLC August 30, 2021 100 % N/A HCDI Bridgeview LLC October 28, 2021 100 % N/A HCDI Wyndstone, LLC September 15, 2021 100 % N/A HCDI Semiahmoo, LLC December 17, 2021 100 % N/A * Harbor Materials, LLC was voluntarily dissolved with the State of Washington as of January 29, 2021.
SCHEDULE OF FAIR VALUE ASSUMPTIONS OF SHARE-BASED PAYMENTS	For the years ended December 31, 2021 and 2020 when computing fair value of share-based payments, the Company has considered the following variables: SCHEDULE OF FAIR VALUE ASSUMPTIONS OF SHARE-BASED PAYMENTS December 31, 2021 December 31, 2020 Risk-free interest rate 0.17 0.84 0.14 1.46 Exercise price $ 2.76 5.00 $ 2.22 6.50 Expected life of grants 2.50 6.50 2.86 6.00 Expected volatility of underlying stock 42.30 56.00 32.39 51.94 Dividends 0 0
SCHEDULE OF NET INCOME (LOSS) PER SHARE	The following table provides a reconciliation of the numerator and denominator used in computing basic and diluted net income (loss) attributable to common stockholders per common share for the years ended December 31, 2021 and 2020. SCHEDULE OF NET INCOME (LOSS) PER SHARE Year Ended December 31, 2021 Year Ended December 31, 2020 Numerator: Net income (loss) attributable to common stockholders $ 6,133,600 $ (3,532,800 ) Effect of dilutive securities: 2,724,900 — Diluted net income (loss) $ 8,858,500 $ (3,532,800 ) Denominator: Weighted average common shares outstanding - basic 14,336,748 4,214,418 Dilutive securities (a): Options 147,441 — Warrants 19,426 — Restricted Stock Awards 1,789 — Convertible Preferred Stock 7,288,178 — Weighted average common shares outstanding and assumed conversion – diluted 21,793,582 4,214,418 Weighted average common shares outstanding and assumed conversion – diluted 21,793,582 4,214,418 Basic net income (loss) per common share $ 0.43 $ (0.84 ) Diluted net income (loss) per common share $ 0.41 $ (0.84 ) (a) – Outstanding shares of anti-dilutive securities excluded: Common stock securities 18,779,335 241,609 Convertible preferred stock securities * 12,000 — * Preferred stock is convertible into common shares on a 5.556 to 1 ratio
SCHEDULE OF PROPERTY AND EQUIPMENT ESTIMATED USEFUL LIVES	SCHEDULE OF PROPERTY AND EQUIPMENT ESTIMATED USEFUL LIVES Construction Equipment 5 10 Leasehold Improvements The lesser of 10 years or the remaining life of the lease Furniture and Fixtures 5 Computers 3 Vehicles 10
SCHEDULE OF REVENUES FROM CONTRACTS WITH CUSTOMERS	Revenues from contracts with customers are summarized by category as follows for the years ended December 31: SCHEDULE OF REVENUES FROM CONTRACTS WITH CUSTOMERS Year Ended Year Ended December 31, 2021 December 31, 2020 Entitled Land $ 20,625,000 $ — Developed Lots 26,825,500 12,538,000 Fee Build 6,802,900 — Homes 17,654,600 37,276,400 Construction Materials 444,700 582,600 Total Revenue $ 72,352,700 $ 50,397,000
DISAGGREGATION OF REVENUE FROM CONTRACTS WITH CUSTOMERS	The following table disaggregates the Company’s revenue based on the type of sale or service and the timing of satisfaction of performance obligations for the years ended December 31, 2021 and 2020: DISAGGREGATION OF REVENUE FROM CONTRACTS WITH CUSTOMERS Year Ended Year Ended December 31, 2021 December 31, 2020 Performance obligations satisfied at a point in time $ 65,549,800 $ 50,397,000 Performance obligations satisfied over time 6,802,900 — Total Revenue $ 72,352,700 $ 50,397,000

PROPERTY AND EQUIPMENT (Tables)

PROPERTY AND EQUIPMENT (Tables)	12 Months Ended
	Dec. 31, 2021
Property, Plant and Equipment [Abstract]
SCHEDULE OF PROPERTY AND EQUIPMENT	Property and equipment stated at cost, less accumulated depreciation and amortization, consisted of the following: SCHEDULE OF PROPERTY AND EQUIPMENT December 31, 2021 December 31, 2020 Machinery and Equipment $ 10,577,600 $ 8,908,000 Vehicles 71,800 73,500 Furniture and Fixtures 420,300 136,300 Leasehold Improvements 81,200 7,000 Total Fixed Assets 11,150,900 9,124,800 Less Accumulated Depreciation (1,951,200 ) (948,800 ) Fixed Assets, Net $ 9,199,700 $ 8,176,000

REAL ESTATE (Tables)

REAL ESTATE (Tables)	12 Months Ended
	Dec. 31, 2021
Real Estate [Abstract]
SCHEDULE OF REAL ESTATE	Real Estate consisted of the following components: SCHEDULE OF REAL ESTATE December 31, 2021 December 31, 2020 Land Held for Development $ 73,524,400 $ 9,532,800 Construction in Progress 43,362,700 9,042,700 Held for Sale 5,249,000 1,794,800 Real estate $ 122,136,100 $ 20,370,300

ACCOUNTS PAYABLE AND ACCRUED _2

ACCOUNTS PAYABLE AND ACCRUED EXPENSES (Tables)	12 Months Ended
	Dec. 31, 2021
Payables and Accruals [Abstract]
SCHEDULE OF ACCOUNTS PAYABLE AND ACCRUED LIABILITIES	Accounts payable and accrued liabilities consisted of the following: SCHEDULE OF ACCOUNTS PAYABLE AND ACCRUED LIABILITIES December 31, 2021 December 31, 2020 Trade Accounts Payable $ 5,558,400 $ 2,358,800 Income Tax Payable 2,415,900 — Accrued Compensation, Bonuses, and Benefits 1,071,700 108,900 Accrued Quarry Reclamation Costs 500,000 124,500 Retainage Payable 445,800 — Other Accruals 671,000 107,800 Accounts Payable and Accrued Expenses $ 10,662,800 $ 2,700,000

EQUIPMENT LOANS (Tables)

EQUIPMENT LOANS (Tables)	12 Months Ended
	Dec. 31, 2021
Debt Disclosure [Abstract]
SCHEDULE OF EQUIPMENT LOANS	Equipment loans consists of the following: SCHEDULE OF EQUIPMENT LOANS December 31, 2021 December 31, 2020 Various notes payable to banks and financial institutions with interest rates varying from 0.00 13.89 400 11,600 $ 5,268,500 $ 5,595,500 Book value of collateralized equipment: $ 7,229,000 $ 6,475,600
SCHEDULE OF FUTURE EQUIPMENT LOAN MATURITIES	Future equipment loan maturities are as follows: SCHEDULE OF FUTURE EQUIPMENT LOAN MATURITIES For the year ended December 31: 2021 2022 $ 1,887,800 2023 1,738,300 2024 1,491,700 2025 150,700 2026 — Equipment loan $ 5,268,500

LEASES (Tables)

LEASES (Tables)	12 Months Ended
	Dec. 31, 2021
Leases
SCHEDULE OF COMPONENTS OF LEASE EXPENSE	The components of lease expense were as follows: SCHEDULE OF COMPONENTS OF LEASE EXPENSE Year Ended Year Ended December 31, 2021 December 31, 2020 Finance leases: Depreciation of assets $ 152,700 $ 88,000 Interest on lease liabilities 43,400 38,000 Operating lease expense 550,400 328,300 Total net lease cost $ 746,500 $ 454,300
SCHEDULE OF SUPPLEMENTAL BALANCE SHEET INFORMATION RELATED TO LEASES	Supplemental balance sheet information related to leases was as follows: SCHEDULE OF SUPPLEMENTAL BALANCE SHEET INFORMATION RELATED TO LEASES December 31, 2021 December 31, 2020 Operating leases: Operating lease ROU assets $ 3,429,700 $ 873,800 Total ROU Liabilities $ 3,484,400 $ 841,700 Finance leases: Property and equipment, at cost $ 1,365,500 $ 1,411,100 Less: Accumulated depreciation 293,100 140,400 Property and equipment, net $ 1,072,400 $ 1,270,700 Total Finance lease liabilities $ 543,400 $ 999,400
SUPPLEMENTAL CASH FLOW AND OTHER INFORMATION RELATED TO LEASES	Supplemental cash flow and other information related to leases was as follows: SUPPLEMENTAL CASH FLOW AND OTHER INFORMATION RELATED TO LEASES Year Ended Year Ended December 31, 2021 December 31, 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ (301,100 ) $ (273,800 ) Financing cash flows from finance leases (356,900 ) (564,400 ) Assets obtained in exchange for lease liabilities: Operating leases $ 2,943,800 $ — Finance leases — 1,043,100 Weighted average remaining lease term (in years): Operating leases 8.6 3.2 Finance leases 2.7 3.1 Weighted average discount rate: Operating leases 4.7 % 9.9 % Finance leases 4.8 % 5.2 %
SCHEDULE OF MINIMUM LEASE PAYMENTS	The minimum lease payments under the terms of the leases are as follows for the years ended December 31: SCHEDULE OF MINIMUM LEASE PAYMENTS Operating Leases Finance Leases Total 2022 $ 611,700 $ 268,900 $ 880,600 2023 542,000 238,600 780,600 2024 433,300 74,900 508,200 2025 328,900 — 328,900 2026 338,800 — 338,800 Thereafter 1,952,600 — 1,952,600 Total lease payments $ 4,207,300 $ 582,400 $ 4,789,700 Less amount of discount/interest (722,900 ) (39,000 ) (761,900 ) $ 3,484,400 $ 543,400 $ 4,027,800

INCOME TAX (Tables)

INCOME TAX (Tables)	12 Months Ended
	Dec. 31, 2021
Income Tax Disclosure [Abstract]
SCHEDULE OF COMPONENTS OF NET DEFERRED TAX ASSETS AND LIABILITIES	The components of net deferred tax assets and liabilities at December 31, 2021 and 2020 are set forth below: SCHEDULE OF COMPONENTS OF NET DEFERRED TAX ASSETS AND LIABILITIES December 31, 2021 December 31, 2020 Deferred tax assets: Federal NOL Carryforward $ 1,926,000 $ 1,794,200 UNICAP 598,400 193,000 Lease Liability 736,400 176,700 Stock Based compensation 54,900 9,200 Investments 7,000 57,100 Total assets $ 3,322,700 $ 2,230,200 Deferred tax liabilities: Property and equipment $ 1,948,900 $ 1,705,400 Right of use assets 724,800 183,500 Total liabilities $ 2,673,700 $ 1,888,900 Subtotal deferred tax assets 649,000 341,300 Valuation Allowance — (341,300 ) Net deferred tax assets $ 649,000 $ —
SCHEDULE OF COMPONENTS OF INCOME TAX EXPENSE	The components of income tax expense and the effective tax rates for the years ended December 31, 2021 and 2020 are as follows: SCHEDULE OF COMPONENTS OF INCOME TAX EXPENSE Year Ended Year Ended December 31, 2021 December 31, 2020 Current: Federal $ 2,394,500 $ — State 21,400 — Total Current 2,415,900 — Deferred: Federal (649,000 ) (224,500 ) State — — Total Deferred (649,000 ) (224,500 ) Valuation Allowance — 341,300 Total Income Tax Expense $ 1,766,900 $ 116,800
SCHEDULE OF EFFECTIVE INCOME TAX RATE RECONCILIATION	The expected tax rate differs from the U.S. Federal statutory rate as follows: SCHEDULE OF EFFECTIVE INCOME TAX RATE RECONCILIATION 2021 2020 US Federal statutory rate 21.0 % 21.0 % Change in Federal Valuation Allowance (3.1 )% (9.4 )% Tax Credits (2.6 )% — % Incentive Stock Options 0.5 % — % Adjustment of Deferred Tax 0.2 % (16.3 )% State Taxes 0.2 % — % Change in Tax Rate 0.1 % — % PPP Loan forgiveness — % 3.2 % Non-controlling Interest — % (1.3 )% Other 0.1 % (0.4 )% Effective Tax Rate 16.4 % (3.2 )%

STOCKHOLDERS_ EQUITY (Tables)

STOCKHOLDERS’ EQUITY (Tables)	12 Months Ended
	Dec. 31, 2021
Accumulated Other Comprehensive Income (Loss) [Line Items]
SCHEDULE OF SHARE-BASED PAYMENT ARRANGEMENT, OPTION, ACTIVITY	The following is a summary of the Company’s option activity: SCHEDULE OF SHARE-BASED PAYMENT ARRANGEMENT, OPTION, ACTIVITY Options Weighted Average Exercise Price Outstanding – December 31, 2019 264,426 $ 0.41 Exercisable – December 31, 2019 117,218 $ 0.42 Granted 213,784 $ 4.79 Exercised — $ — Forfeited/Cancelled (36,038 ) $ 0.40 Outstanding – December 31, 2020 442,172 $ 2.53 Exercisable – December 31, 2020 219,085 $ 1.31 Granted 240,000 $ 3.23 Exercised (45,046 ) $ 0.40 Forfeited/Cancelled (173,875 ) $ 3.27 Outstanding – December 31, 2021 463,251 $ 2.82 Exercisable – December 31, 2021 343,724 $ 2.77
SCHEDULE OF SHARE-BASED PAYMENT ARRANGEMENT, OPTION, EXERCISE PRICE RANGE	SCHEDULE OF SHARE-BASED PAYMENT ARRANGEMENT, OPTION, EXERCISE PRICE RANGE Options Outstanding Options Exercisable Exercise Price Number Outstanding Weighted Average Remaining Contractual Life (in years) Weighted Average Exercise Price Number Exercisable Weighted Average Exercise Price $ 0.40 6.50 463,251 6.23 $ 2.82 343,724 $ 2.77
SCHEDULE OF RESTRICTED STOCK UNIT ACTIVITY	The following is a summary of the Company’s restricted stock activity: SCHEDULE OF RESTRICTED STOCK UNIT ACTIVITY Restricted Stock Weighted Average Exercise Price Non Vested Balance - December 31, 2019 — $ — Granted 34,000 $ 4.53 Vested 8,500 $ 4.53 Forfeited/Cancelled — $ — Non Vested Balance - December 31, 2020 25,500 $ 4.53 Granted 180,000 $ 2.58 Vested 60,500 $ 3.71 Forfeited/Cancelled — $ — Non Vested Balance - December 31, 2021 145,000 $ 2.45
Common Stock Warrant [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
SCHEDULE OF WARRANTS ACTIVITY	The following is a summary of the Company’s Common Stock Warrant activity: SCHEDULE OF WARRANTS ACTIVITY Warrants Weighted Average Exercise Price Outstanding – December 31, 2019 22,524 $ 0.40 Exercisable – December 31, 2019 22,524 $ 0.40 Granted 88,335 $ 7.5 Exercised — $ — Forfeited/Cancelled — $ — Outstanding – December 31, 2020 110,859 $ 6.06 Exercisable – December 31, 2020 22,524 $ 0.40 Granted 18,376,000 $ 3.45 Exercised — $ — Forfeited/Cancelled — $ — Outstanding – December 31, 2021 18,486,859 $ 3.46 Exercisable – December 31, 2021 18,486,859 $ 3.46
SCHEDULE OF WARRANTS OUTSTANDING AND EXERCISABLE	SCHEDULE OF WARRANTS OUTSTANDING AND EXERCISABLE Warrants Outstanding Warrants Exercisable Exercise Price Number Outstanding Weighted Average Remaining Contractual Life (in years) Weighted Average Exercise Price Number Exercisable Weighted Average Exercise Price $ 0.40 7.50 18,486,859 4.68 $ 3.46 18,486,859 $ 3.46
Preferred Stock Warrant [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
SCHEDULE OF WARRANTS ACTIVITY	The following is a summary of the Company’s Preferred Stock Warrant activity: SCHEDULE OF WARRANTS ACTIVITY Warrants Weighted Average Exercise Price Outstanding – December 31, 2019 — $ — Exercisable – December 31, 2019 — $ — Granted — $ — Exercised — $ — Forfeited/Cancelled — $ — Outstanding – December 31, 2020 — $ — Exercisable – December 31, 2020 — $ — Granted 12,000 $ 24.97 Exercised — $ — Forfeited/Cancelled — $ — Outstanding – December 31, 2021 12,000 $ 24.97 Exercisable – December 31, 2021 12,000 $ 24.97
SCHEDULE OF WARRANTS OUTSTANDING AND EXERCISABLE	SCHEDULE OF WARRANTS OUTSTANDING AND EXERCISABLE Warrants Outstanding Warrants Exercisable Exercise Price Number Outstanding Weighted Average Remaining Contractual Life (in years) Weighted Average Exercise Price Number Exercisable Weighted Average Exercise Price $ 24.97 12,000 4.44 $ 24.97 12,000 $ 24.97

SEGMENTS (Tables)

SEGMENTS (Tables)	12 Months Ended
	Dec. 31, 2021
Segment Reporting [Abstract]
SCHEDULE OF COMPANY’S REPORTABLE SEGMENT	The reporting segments follow the same accounting policies used in the preparation of the Company’s consolidated financial statements. The following represents selected information for the Company’s reportable segments for the years ended December 31, 2021 and 2020. Immaterial construction materials revenues and costs are included in the homes segment. SCHEDULE OF COMPANY’S REPORTABLE SEGMENT Year Ended December 31, 2021 Year Ended December 31, 2020 Revenue by segment Homes $ 17,654,600 $ 37,276,400 Developed lots 26,825,500 12,538,000 Entitled land 20,625,000 — Fee Build 6,802,900 — Other 444,700 582,600 Total Revenue $ 72,352,700 $ 50,397,000 Cost of goods sold by segment Homes $ 15,168,500 $ 35,140,000 Developed lots 15,885,300 13,253,800 Entitled land 11,689,100 — Fee Build 5,991,300 — Other 1,685,200 — Cost of goods sold by segment $ 50,419,400 $ 48,393,800 Gross profit (loss) by segment Homes $ 2,486,100 $ 2,136,400 Developed lots 10,940,200 (715,800 ) Entitled land 8,935,900 — Fee Build 811,600 — Other (1,240,500 ) 582,600 Gross profit (loss) by segment $ 21,933,300 $ 2,003,200

UNCOMPLETED CONTRACTS (Tables)

UNCOMPLETED CONTRACTS (Tables)	12 Months Ended
	Dec. 31, 2021
Revenue from Contract with Customer [Abstract]
SUMMARY OF COST, ESTIMATED EARNINGS AND BILLINGS ON UNCOMPLETED CONTRACTS	Costs, estimated earnings and billings on uncompleted contracts are summarized as follows at December 31, 2021 and December 31, 2020: SUMMARY OF COST, ESTIMATED EARNINGS AND BILLINGS ON UNCOMPLETED CONTRACTS December 31, 2021 December 31, 2020 Costs incurred on uncompleted contracts $ 5,991,300 $ — Estimated earnings 811,600 — Costs and estimated earnings on uncompleted contracts 6,802,900 — Billings to date 4,635,700 — Costs and estimated earnings in excess of billings on uncompleted contracts 2,167,200 — Billings in excess of costs and estimated earnings on uncompleted contracts — — Total earnings from completed and uncompleted contracts $ 2,167,200 $ —

SCHEDULE OF ERROR CORRECTIONS A

SCHEDULE OF ERROR CORRECTIONS AND PRIOR PERIOD ADJUSTMENTS (Details) - $ / shares	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Diluted net income (loss) per common share	$ 0.41	$ (0.84)
Weighted average common shares outstanding - basic	14,336,748	4,214,418
Weighted average common shares outstanding and assumed conversion - diluted	21,793,582	4,214,418
Options	147,441
Warrants	19,426
Restricted Stock Awards	1,789
Convertible Preferred Stock	7,288,178
Common stock securities	18,779,335	241,609
Convertible preferred stock securities*	12,000
Previously Reported [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Diluted net income (loss) per common share	$ 0.24
Weighted average common shares outstanding - basic	14,336,789
Weighted average common shares outstanding and assumed conversion - diluted	36,915,491
Options	19,482
Warrants	144,456
Restricted Stock Awards	29,890
Convertible Preferred Stock	22,384,874
Common stock securities	18,901,282
Convertible preferred stock securities*
Revision of Prior Period, Adjustment [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Diluted net income (loss) per common share	$ 0.17
Weighted average common shares outstanding - basic	(41)
Weighted average common shares outstanding and assumed conversion - diluted	(15,121,909)
Options	127,959
Warrants	(125,030)
Restricted Stock Awards	(28,101)
Convertible Preferred Stock	(15,096,696)
Common stock securities	(121,947)
Convertible preferred stock securities*	12,000

SCHEDULE OF ERROR CORRECTIONS_2

SCHEDULE OF ERROR CORRECTIONS AND PRIOR PERIOD ADJUSTMENTS (Details) (Parenthetical)	12 Months Ended
	Dec. 31, 2021
Accounting Changes and Error Corrections [Abstract]
Preferred Stock, Convertible, Terms	5.556 to 1 ratio

SCHEDULE OF STATEMENT OF SUBSID

SCHEDULE OF STATEMENT OF SUBSIDIARIES (Details)		12 Months Ended
		Dec. 31, 2021	Dec. 31, 2020
Saylor View Estates, LLC [Member]
Dates of Formation		Mar. 30, 2014
Attributable Interest		51.00%	51.00%
Harbor Materials LLC [Member]
Dates of Formation	[1]	Jul. 5, 2018
Attributable Interest	[1]		100.00%
Belfair Apartments, LLC [Member]
Dates of Formation		Dec. 3, 2019
Attributable Interest		100.00%	100.00%
Pacific Ridge CMS LLC [Member]
Dates of Formation		May 24, 2021
Attributable Interest		100.00%
Tangle Wilde LLC [Member]
Dates of Formation		Jun. 25, 2021
Attributable Interest		100.00%
HCD IFL CONDO LLC [Member]
Dates of Formation		Aug. 3, 2021
Attributable Interest		100.00%
HCDI Mira LLC [Member]
Dates of Formation		Aug. 30, 2021
Attributable Interest		100.00%
HCDI Bridgeview LLC [Member]
Dates of Formation		Oct. 28, 2021
Attributable Interest		100.00%
HCDI Wyndstone LLC [Member]
Dates of Formation		Sep. 15, 2021
Attributable Interest		100.00%
HCDI Semiahmoo, LLC [Member]
Dates of Formation		Dec. 17, 2021
Attributable Interest		100.00%
[1]	Harbor Materials, LLC was voluntarily dissolved with the State of Washington as of January 29, 2021.

SCHEDULE OF FAIR VALUE ASSUMPTI

SCHEDULE OF FAIR VALUE ASSUMPTIONS OF SHARE-BASED PAYMENTS (Details) - $ / shares	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Property, Plant and Equipment [Line Items]
Dividends	0.00%	0.00%
Minimum [Member]
Property, Plant and Equipment [Line Items]
Risk-free interest rate	0.17%	0.14%
Exercise price	$ 2.76	$ 2.22
Expected life of grants	2 years 6 months	2 years 10 months 9 days
Expected volatility of underlying stock	42.30%	32.39%
Maximum [Member]
Property, Plant and Equipment [Line Items]
Risk-free interest rate	0.84%	1.46%
Exercise price	$ 5	$ 6.50
Expected life of grants	6 years 6 months	6 years
Expected volatility of underlying stock	56.00%	51.94%

SCHEDULE OF NET INCOME (LOSS) P

SCHEDULE OF NET INCOME (LOSS) PER SHARE (Details) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Accounting Policies [Abstract]
Net income (loss) attributable to common stockholders	$ 6,133,600	$ (3,532,800)
Effect of dilutive securities:	2,724,900
Diluted net income (loss)	$ 8,858,500	$ (3,532,800)
Weighted average common shares outstanding - basic	14,336,748	4,214,418
Options	147,441
Warrants	19,426
Restricted Stock Awards	1,789
Convertible Preferred Stock	7,288,178
Weighted average common shares outstanding and assumed conversion – diluted	21,793,582	4,214,418
Basic net income (loss) per common share	$ 0.43	$ (0.84)
Diluted net income (loss) per common share	$ 0.41	$ (0.84)
Common stock securities	18,779,335	241,609
Convertible preferred stock securities*	12,000

SCHEDULE OF NET INCOME (LOSS)_2

SCHEDULE OF NET INCOME (LOSS) PER SHARE (Details) (Parenthetical)	12 Months Ended
	Dec. 31, 2021
Accounting Policies [Abstract]
Preferred Stock, Convertible, Terms	5.556 to 1 ratio

SCHEDULE OF PROPERTY AND EQUIPM

SCHEDULE OF PROPERTY AND EQUIPMENT ESTIMATED USEFUL LIVES (Details)	12 Months Ended
	Dec. 31, 2021
Construction Equipment [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Property and equipment useful lives	5 years
Construction Equipment [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Property and equipment useful lives	10 years
Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Property and equipment useful lives, description	The lesser of 10 years or the remaining life of the lease
Furniture and Fixtures [Member]
Property, Plant and Equipment [Line Items]
Property and equipment useful lives	5 years
Computers [Member]
Property, Plant and Equipment [Line Items]
Property and equipment useful lives	3 years
Vehicles [Member]
Property, Plant and Equipment [Line Items]
Property and equipment useful lives	10 years

SCHEDULE OF REVENUES FROM CONTR

SCHEDULE OF REVENUES FROM CONTRACTS WITH CUSTOMERS (Details) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Product Information [Line Items]
Total Revenue	$ 72,352,700	$ 50,397,000
Entitled Land [Member]
Product Information [Line Items]
Total Revenue	20,625,000
Developed Lots [Member]
Product Information [Line Items]
Total Revenue	26,825,500	12,538,000
Fee Build [Member]
Product Information [Line Items]
Total Revenue	6,802,900
Home Building [Member]
Product Information [Line Items]
Total Revenue	17,654,600	37,276,400
Construction Materials [Member]
Product Information [Line Items]
Total Revenue	$ 444,700	$ 582,600

DISAGGREGATION OF REVENUE FROM

DISAGGREGATION OF REVENUE FROM CONTRACTS WITH CUSTOMERS (Details) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Disaggregation of Revenue [Line Items]
Total Revenue	$ 72,352,700	$ 50,397,000
Transferred at Point in Time [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	65,549,800	50,397,000
Transferred over Time [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	$ 6,802,900

NATURE OF OPERATIONS AND SUMM_4

NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 03, 2020	Nov. 19, 2018
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Non-controlling interest	$ 1,291,600	$ 1,289,900
Stockholders' Equity, Reverse Stock Split	1-for-2.22
Preferred stock, dividend rate, percentage	8.00%
Cash Equivalents, at Carrying Value	$ 0	0
Allowance for doubtful accounts	0	0
Interest Costs Capitalized	1,000,000	1,000,000
Capitalized interest from third-party borrowings	2,400,000	2,400,000
Advertising expense	100,000	40,000
Impairment losses	0	0
Deferred Offering Costs		$ 65,100
2018 Plan [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Reserved shares of common stock issuance				675,676
2020 Plan [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Reserved shares of common stock issuance			700,000

CONCENTRATION, RISKS, AND UNC_2

CONCENTRATION, RISKS, AND UNCERTAINTIES (Details Narrative) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Concentration Risk [Line Items]
Uninsured cash	$ 24.5	$ 2.1
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Lennar NorthwestInc [Member] | Fee Build [Member]
Concentration Risk [Line Items]
Concentration risk percentage	100.00%	0.00%
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Homes [Member]
Concentration Risk [Line Items]
Concentration risk percentage	0.00%	0.00%
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Developed Lots [Member] | Lennar NorthwestInc [Member]
Concentration Risk [Line Items]
Concentration risk percentage	26.00%	100.00%
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Developed Lots [Member] | Modern Homestead LLC [Member]
Concentration Risk [Line Items]
Concentration risk percentage	23.00%
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Developed Lots [Member] | Mainvue WA LLC [Member]
Concentration Risk [Line Items]
Concentration risk percentage	18.00%
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Developed Lots [Member] | Century Communities of Washington, LLC [Member]
Concentration Risk [Line Items]
Concentration risk percentage	14.00%
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Developed Lots [Member] | Noffke Homes Horizon at Semiahmoo LLC [Member]
Concentration Risk [Line Items]
Concentration risk percentage	14.00%
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Entitled Land [Member] | Lennar NorthwestInc [Member]
Concentration Risk [Line Items]
Concentration risk percentage	51.00%	0.00%
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Entitled Land [Member] | AG Essential Housing Multi State 1, LLC [Member]
Concentration Risk [Line Items]
Concentration risk percentage	45.00%

NOTES RECEIVABLE (Details Narra

NOTES RECEIVABLE (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Accounts, Notes, Loans and Financing Receivable [Line Items]
Financing receivable, face amount	$ 2,000,000
Financing receivable outstanding	2,000,000
Broadmoor Commons LLC [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Financing receivable, face amount	$ 500,000
Financing receivable, interest rate	8.00%
Modern Homestead LLC [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Financing receivable, face amount	$ 1,500,000
Financing receivable, interest rate	9.00%

SCHEDULE OF PROPERTY AND EQUI_2

SCHEDULE OF PROPERTY AND EQUIPMENT (Details) - USD ($)	Dec. 31, 2021	Dec. 31, 2020
Property, Plant and Equipment [Line Items]
Total Fixed Assets	$ 11,150,900	$ 9,124,800
Less Accumulated Depreciation	(1,951,200)	(948,800)
Fixed Assets, Net	9,199,700	8,176,000
Machinery and Equipment [Member]
Property, Plant and Equipment [Line Items]
Total Fixed Assets	10,577,600	8,908,000
Vehicles [Member]
Property, Plant and Equipment [Line Items]
Total Fixed Assets	71,800	73,500
Furniture and Fixtures [Member]
Property, Plant and Equipment [Line Items]
Total Fixed Assets	420,300	136,300
Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Total Fixed Assets	$ 81,200	$ 7,000

PROPERTY AND EQUIPMENT (Details

PROPERTY AND EQUIPMENT (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Property, Plant and Equipment [Abstract]
Depreciation expense	$ 1,084,200	$ 619,800

SCHEDULE OF REAL ESTATE (Detail

SCHEDULE OF REAL ESTATE (Details) - USD ($)	Dec. 31, 2021	Dec. 31, 2020
Real Estate [Abstract]
Land Held for Development	$ 73,524,400	$ 9,532,800
Construction in Progress	43,362,700	9,042,700
Held for Sale	5,249,000	1,794,800
Real estate	$ 122,136,100	$ 20,370,300

SCHEDULE OF ACCOUNTS PAYABLE AN

SCHEDULE OF ACCOUNTS PAYABLE AND ACCRUED LIABILITIES (Details) - USD ($)	Dec. 31, 2021	Dec. 31, 2020
Payables and Accruals [Abstract]
Trade Accounts Payable	$ 5,558,400	$ 2,358,800
Income Tax Payable	2,415,900
Accrued Compensation, Bonuses, and Benefits	1,071,700	108,900
Accrued Quarry Reclamation Costs	500,000	124,500
Retainage Payable	445,800
Other Accruals	671,000	107,800
Accounts Payable and Accrued Expenses	$ 10,662,800	$ 2,700,000

SCHEDULE OF EQUIPMENT LOANS (De

SCHEDULE OF EQUIPMENT LOANS (Details) - Notes Payable to Banks [Member] - USD ($)	Dec. 31, 2021	Dec. 31, 2020
Debt Instrument [Line Items]
Various notes payable to banks and financial institutions with interest rates varying from 0.00% to 13.89%, collateralized by equipment with monthly payments ranging from $400 to $11,600 through 2025:	$ 5,268,500	$ 5,595,500
Book value of collateralized equipment:	$ 7,229,000	$ 6,475,600

SCHEDULE OF EQUIPMENT LOANS (_2

SCHEDULE OF EQUIPMENT LOANS (Details) (Parenthetical) - Notes Payable to Banks [Member]	12 Months Ended
	Dec. 31, 2021USD ($)
Minimum [Member]
Debt Instrument [Line Items]
Debt instrument, interest rate (in percent)	0.00%
Debt instrument, periodic payment	$ 40,000
Maximum [Member]
Debt Instrument [Line Items]
Debt instrument, interest rate (in percent)	13.89%
Debt instrument, periodic payment	$ 1,160,000

SCHEDULE OF FUTURE EQUIPMENT LO

SCHEDULE OF FUTURE EQUIPMENT LOAN MATURITIES (Details) - Notes Payable to Banks [Member] - USD ($)	Dec. 31, 2021	Dec. 31, 2020
Debt Instrument [Line Items]
2022	$ 1,887,800
2023	1,738,300
2024	1,491,700
2025	150,700
2026
Equipment loan	$ 5,268,500	$ 5,595,500

CONSTRUCTION LOANS (Details Nar

CONSTRUCTION LOANS (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Short-Term Debt [Line Items]
Debt instrument face amount	$ 39,400,000	$ 10,100,000
Book value of collateralized real estate	$ 122,136,100	$ 20,370,300
Construction Loans [Member]
Short-Term Debt [Line Items]
Debt instrument term	1 year
Construction Loans [Member] | Minimum [Member]
Short-Term Debt [Line Items]
Debt instrument interest rate percentage	5.00%
Construction Loans [Member] | Maximum [Member]
Short-Term Debt [Line Items]
Debt instrument interest rate percentage	39.00%

LETTER OF CREDIT (Details Narra

LETTER OF CREDIT (Details Narrative) - Letter of Credit Agreement [Member] $ in Millions	Aug. 10, 2021USD ($)
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Long-term Line of Credit	$ 0.6
Expiration date	Feb. 1, 2032
Prime Rate [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Basis spread on variable rate	1.00%

NOTE PAYABLE D&O INSURANCE (Det

NOTE PAYABLE D&O INSURANCE (Details Narrative) - USD ($)	Aug. 28, 2021	Aug. 28, 2020	Dec. 31, 2021	Dec. 31, 2020
Malpractice Insurance [Line Items]
Note Payable D&O Insurance			$ 903,800	$ 741,200
Directors and Officers Liability Insurance [Member]
Malpractice Insurance [Line Items]
Payment to acquire insurance	$ 1,500,000	$ 1,500,000
Down payment for insurance	100,000	300,000
Insurance payable	$ 1,400,000	$ 1,200,000
Debt instrument interest rate	4.42%	4.74%
Note Payable D&O Insurance			$ 900,000	$ 700,000

NOTE PAYABLE PPP (Details Narra

NOTE PAYABLE PPP (Details Narrative) - USD ($)	Feb. 01, 2021	Nov. 09, 2020	Dec. 31, 2021	Dec. 31, 2020	Apr. 11, 2020
Short-Term Debt [Line Items]
Debt instrument face amount			$ 39,400,000	$ 10,100,000
Paycheck Protection Program Loan [Member]
Short-Term Debt [Line Items]
Debt instrument face amount			$ 0	$ 20,000	$ 600,000
Interest rate percentage					1.00%
Debt forgiveness	$ 10,000	$ 600,000

DEFINED CONTRIBUTION PLAN (Deta

DEFINED CONTRIBUTION PLAN (Details Narrative) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
401 (k) [Member]
Defined Benefit Plan Disclosure [Line Items]
Employer contribution to defined contribution plan	$ 0.1	$ 0.1

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details Narrative)	Dec. 22, 2021USD ($)	Dec. 15, 2021USD ($)	Dec. 02, 2021USD ($)a	Sep. 17, 2020USD ($)a	Jun. 15, 2020USD ($)	Dec. 31, 2021USD ($)	Dec. 31, 2020USD ($)
Product Liability Contingency [Line Items]
Payment to acquire property, plant and equipment						$ 745,600	$ 408,000
Purchase and Sale Agreement [Member] | East Bremerton, Washington [Member]
Product Liability Contingency [Line Items]
Payment to acquire property, plant and equipment					$ 2,000,000
Purchase and Sale Agreement [Member] | Port Orchard, Washington [Member]
Product Liability Contingency [Line Items]
Payment to acquire property, plant and equipment				$ 1,500,000
Area of land | a				9.6
Purchase and Sale Agreement [Member] | Blaine Washington [Member]
Product Liability Contingency [Line Items]
Payment to acquire property, plant and equipment			$ 14,000,000
Area of land | a			438
Purchase and Sale Agreement [Member] | Poulsbo Washington [Member]
Product Liability Contingency [Line Items]
Payment to acquire property, plant and equipment		$ 2,900,000
Purchase and Sale Agreement [Member] | Hudson Florida [Member]
Product Liability Contingency [Line Items]
Payment to acquire property, plant and equipment	$ 7,400,000

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($)	Sep. 02, 2020	Aug. 13, 2020	May 31, 2020	Apr. 19, 2019	Dec. 31, 2021	Dec. 31, 2020
Related Party Transaction [Line Items]
Debt discounts					$ 4,400,000	$ 500,000
Interest expense					249,300	382,900
Debt instrument face amount					39,400,000	10,100,000
Payment to acquire property					$ 745,600	408,000
Olympic Views, LLC [Member]
Related Party Transaction [Line Items]
Payment to acquire property	$ 3,400,000
Olympic Views, LLC [Member] | Chief Executive Officer and President [Member]
Related Party Transaction [Line Items]
Ownership percentage	50.00%
SGRE, LLC [Member]
Related Party Transaction [Line Items]
Ownership percentage					100.00%
Percentage of commission payable					2500.00%
Payments for Commissions					$ 10,000	0
Commission expense					100,000	100,000
Richard Schmidktke [Member]
Related Party Transaction [Line Items]
Fees payable					0	1,000
Accounting expenses					$ 1,000	50,000
Construction Loans [Member]
Related Party Transaction [Line Items]
Debt term					1 year
Construction Loans [Member] | Minimum [Member]
Related Party Transaction [Line Items]
Debt instrument interest rate percentage					5.00%
Construction Loans [Member] | Maximum [Member]
Related Party Transaction [Line Items]
Debt instrument interest rate percentage					39.00%
Construction Loans [Member] | Sound Equity, LLC [Member]
Related Party Transaction [Line Items]
Debt term					1 year
Loan origination fees					$ 600,000	400,000
Debt discounts					200,000	200,000
Prepaid interest					1,400,000	700,000
Prepaid interest reserve					900,000	500,000
Outstanding loan balances					$ 14,500,000	6,400,000
Construction Loans [Member] | Sound Equity, LLC [Member] | Minimum [Member]
Related Party Transaction [Line Items]
Debt instrument interest rate percentage					7.99%
Construction Loans [Member] | Sound Equity, LLC [Member] | Maximum [Member]
Related Party Transaction [Line Items]
Debt instrument interest rate percentage					12.00%
Construction Loans [Member] | Curb Funding, LLC [Member]
Related Party Transaction [Line Items]
Debt term		1 year
Debt instrument interest rate percentage		12.00%
Outstanding loan balances					$ 0	100,000
Ownership percentage					100.00%
Debt instrument face amount					$ 0	4,000
Debt discounts					0	1,000
Interest expense					0	3,000
Construction Loans [Member] | Olympic Views, LLC [Member]
Related Party Transaction [Line Items]
Debt instrument interest rate percentage				12.00%
Outstanding loan balances					0	0
Ownership percentage				50.00%
Interest expense					$ 0	$ 20,000
Debt instrument face amount				$ 400,000
Debt Instrument, Maturity Date				Apr. 19, 2020
Accrued interest			$ 100,000
Share issued price per share			$ 6
Stock issued during period shares			82,826

SCHEDULE OF COMPONENTS OF LEASE

SCHEDULE OF COMPONENTS OF LEASE EXPENSE (Details) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Leases
Depreciation of assets	$ 152,700	$ 88,000
Interest on lease liabilities	43,400	38,000
Operating lease expense	550,400	328,300
Total net lease cost	$ 746,500	$ 454,300

SCHEDULE OF SUPPLEMENTAL BALANC

SCHEDULE OF SUPPLEMENTAL BALANCE SHEET INFORMATION RELATED TO LEASES (Details) - USD ($)	Dec. 31, 2021	Dec. 31, 2020
Leases
Operating lease ROU assets	$ 3,429,700	$ 873,800
Total ROU Liabilities	3,484,400	841,700
Property and equipment, at cost	1,365,500	1,411,100
Less: Accumulated depreciation	293,100	140,400
Property and equipment, net	1,072,400	1,270,700
Total Finance lease liabilities	$ 543,400	$ 999,400

SUPPLEMENTAL CASH FLOW AND OTHE

SUPPLEMENTAL CASH FLOW AND OTHER INFORMATION RELATED TO LEASES (Details) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Leases
Operating cash flows from operating leases	$ (301,100)	$ (273,800)
Financing cash flows from finance leases	(356,900)	(564,400)
Operating leases	2,943,800
Finance leases		$ 1,043,100
Operating leases term	8 years 7 months 6 days	3 years 2 months 12 days
Finance leases term	2 years 8 months 12 days	3 years 1 month 6 days
Operating leases discount rate	4.70%	9.90%
Finances leases discount rate	4.80%	5.20%

SCHEDULE OF MINIMUM LEASE PAYME

SCHEDULE OF MINIMUM LEASE PAYMENTS (Details) - USD ($)	Dec. 31, 2021	Dec. 31, 2020
Leases
2022	$ 611,700
2022	268,900
2022	880,600
2023	542,000
2023	23,860,000
2023	780,600
2024	433,300
2024	74,900
2024	508,200
2025	328,900
2025
2025	328,900
2026	338,800
2026
2026	338,800
Thereafter	1,952,600
Thereafter
Thereafter	1,952,600
Total lease payments	4,207,300
Total lease payments	582,400
Total lease payments	4,789,700
Less amount of discount/interest	(722,900)
Finance Leases	(39,000)
Less amount of discount/interest	(761,900)
Operating lease liability	3,484,400	$ 841,700
Finance Leases Liability	543,400	$ 999,400
Total lease	$ 4,027,800

LEASES (Details Narrative)

LEASES (Details Narrative)	Dec. 31, 2021
Minimum [Member]
Operating lease, renewal term	3 years
Maximum [Member]
Operating lease, renewal term	5 years

SCHEDULE OF COMPONENTS OF NET D

SCHEDULE OF COMPONENTS OF NET DEFERRED TAX ASSETS AND LIABILITIES (Details) - USD ($)	Dec. 31, 2021	Dec. 31, 2020
Income Tax Disclosure [Abstract]
Federal NOL Carryforward	$ 1,926,000	$ 1,794,200
UNICAP	598,400	193,000
Lease Liability	736,400	176,700
Stock Based compensation	54,900	9,200
Investments	7,000	57,100
Total assets	3,322,700	2,230,200
Property and equipment	1,948,900	1,705,400
Right of use assets	724,800	183,500
Total liabilities	2,673,700	1,888,900
Subtotal deferred tax assets	649,000	341,300
Valuation Allowance		(341,300)
Net deferred tax assets	$ 649,000

SCHEDULE OF COMPONENTS OF INCOM

SCHEDULE OF COMPONENTS OF INCOME TAX EXPENSE (Details) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Income Tax Disclosure [Abstract]
Federal	$ 2,394,500
State	21,400
Total Current	2,415,900
Federal	(649,000)	(224,500)
State
Total Deferred	(649,000)	(224,500)
Valuation Allowance		341,300
Total Income Tax Expense	$ 1,766,900	$ 116,800

SCHEDULE OF EFFECTIVE INCOME TA

SCHEDULE OF EFFECTIVE INCOME TAX RATE RECONCILIATION (Details)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Income Tax Disclosure [Abstract]
US Federal statutory rate	21.00%	21.00%
Change in Federal Valuation Allowance	(3.10%)	(9.40%)
Tax Credits	(2.60%)
Incentive Stock Options	0.50%
Adjustment of Deferred Tax	0.20%	(16.30%)
State Taxes	0.20%
Change in Tax Rate	0.10%
PPP Loan forgiveness		3.20%
Non-controlling Interest		(1.30%)
Other	0.10%	(0.40%)
Effective Tax Rate	16.40%	(3.20%)

INCOME TAX (Details Narrative)

INCOME TAX (Details Narrative) $ in Millions	12 Months Ended
	Dec. 31, 2021USD ($)
Operating Loss Carryforwards [Line Items]
Valuation allowance, deferred tax asset, decrease, amount	$ 0.3
Domestic Tax Authority [Member]
Operating Loss Carryforwards [Line Items]
Operating loss carryforwards	$ 9.2

SCHEDULE OF SHARE-BASED PAYMENT

SCHEDULE OF SHARE-BASED PAYMENT ARRANGEMENT, OPTION, ACTIVITY (Details) - $ / shares	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Equity [Abstract]
Outstanding, beginning balance (in shares)	442,172	264,426
Outstanding, beginning balance (in dollars per share)	$ 2.53	$ 0.41
Exercisable (in shares) beinning	219,085	117,218
Exercisable (in dollars per share) beinning	$ 1.31	$ 0.42
Granted (in shares)	240,000	213,784
Granted (in dollars per share)	$ 3.23	$ 4.79
Exercised (in shares)	(45,046)
Exercised (in dollars per share)	$ 0.40
Forfeited/Cancelled (in shares)	(173,875)	(36,038)
Forfeited/Cancelled (in dollars per share)	$ 3.27	$ 0.40
Outstanding, ending balance (in shares)	463,251	442,172
Outstanding, ending balance (in dollars per share)	$ 2.82	$ 2.53
Exercisable (in shares) ending	343,724	219,085
Exercisable (in dollars per share) ending	$ 2.77	$ 1.31

SCHEDULE OF SHARE-BASED PAYME_2

SCHEDULE OF SHARE-BASED PAYMENT ARRANGEMENT, OPTION, EXERCISE PRICE RANGE (Details)	12 Months Ended
	Dec. 31, 2021$ / sharesshares
Equity [Abstract]
Exercise price range, lower range limit (in dollars per share)	$ 0.40
Exercise price range, upper range limit (in dollars per share)	$ 6.50
Number of option outstanding (in shares) | shares	463,251
Weighted average remaining contractual life (in years)	6 years 2 months 23 days
Weighted average exercise price (in dollars per share)	$ 2.82
Number of option exercisable (in shares) | shares	343,724
Options exercisable, weighted average exercise price (in dollars per share)	$ 2.77

SCHEDULE OF WARRANTS ACTIVITY (

SCHEDULE OF WARRANTS ACTIVITY (Details) - $ / shares	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Common Stock Warrant [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Outstanding, Beginning	110,859	22,524
Weighted Average Exercise Price, Outstanding, Beginning	$ 6.06	$ 0.40
Warrants Exercisable, Beginning	22,524	22,524
Weighted Average Exercise Price, Exercisable Beginning	$ 0.40	$ 0.40
Warrants, Granted	18,376,000	88,335
Weighted Average Exercise Price, Granted	$ 3.45	$ 7.5
Warrants, Exercised
Weighted Average Exercise Price, Exercised
Warrants, Forfeited/Cancelled
Weighted Average Exercise Price, Forfeited/Cancelled
Outstanding, Ending	18,486,859	110,859
Weighted Average Exercise Price, Outstanding, Ending	$ 3.46	$ 6.06
Warrants Exercisable, Ending	18,486,859	22,524
Weighted Average Exercise Price, Exercisable, Ending	$ 3.46	$ 0.40
Preferred Stock Warrant [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Outstanding, Beginning
Weighted Average Exercise Price, Outstanding, Beginning
Warrants Exercisable, Beginning
Weighted Average Exercise Price, Exercisable Beginning
Warrants, Granted	12,000
Weighted Average Exercise Price, Granted	$ 24.97
Warrants, Exercised
Weighted Average Exercise Price, Exercised
Warrants, Forfeited/Cancelled
Weighted Average Exercise Price, Forfeited/Cancelled
Outstanding, Ending	12,000
Weighted Average Exercise Price, Outstanding, Ending	$ 24.97
Warrants Exercisable, Ending	12,000
Weighted Average Exercise Price, Exercisable, Ending	$ 24.97

SCHEDULE OF WARRANTS OUTSTANDIN

SCHEDULE OF WARRANTS OUTSTANDING AND EXERCISABLE (Details)	12 Months Ended
	Dec. 31, 2021$ / sharesshares
Common Stock Warrant [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Number of Warrants Outstanding | shares	18,486,859
Weighed Average Remaining Contractual Life (in years)	4 years 8 months 4 days
Weighted Average Exercise Price	$ 3.46
Number of Warrants Exercisable | shares	18,486,859
Warrants Exercisable, Weighted Average Exercise Price	$ 3.46
Common Stock Warrant [Member] | Minimum [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Weighted Average Exercise Price, Exercisable	0.40
Common Stock Warrant [Member] | Maximum [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Weighted Average Exercise Price, Exercisable	7.50
Preferred Stock Warrant [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Weighted Average Exercise Price, Exercisable	$ 24.97
Number of Warrants Outstanding | shares	12,000
Weighed Average Remaining Contractual Life (in years)	4 years 5 months 8 days
Weighted Average Exercise Price	$ 24.97
Number of Warrants Exercisable | shares	12,000
Warrants Exercisable, Weighted Average Exercise Price	$ 24.97

SCHEDULE OF RESTRICTED STOCK UN

SCHEDULE OF RESTRICTED STOCK UNIT ACTIVITY (Details) - Restricted Stock [Member] - $ / shares	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Outstanding, ending balance (in shares)	25,500
Outstanding, beginning balance (in dollars per share)	$ 4.53
Granted	180,000	34,000
Granted (in dollars per share)	$ 2.58	$ 4.53
Vested	60,500	8,500
Vested (in dollars per share)	$ 3.71	$ 4.53
Forfeited/Cancelled
Forfeited/Cancelled (in dollars per share)
Outstanding, ending balance (in shares)	145,000	25,500
Outstanding, ending balance (in dollars per share)	$ 2.45	$ 4.53

STOCKHOLDERS_ EQUITY (Details N

STOCKHOLDERS’ EQUITY (Details Narrative) - USD ($)	Oct. 07, 2021	Jun. 30, 2021	Jun. 11, 2021	Jan. 20, 2021	Jan. 15, 2021	Sep. 01, 2020	Dec. 31, 2021	Dec. 31, 2020	Nov. 03, 2021	Jan. 12, 2021	Aug. 28, 2020
Class of Stock [Line Items]
Common stock, shares authorized							50,000,000	50,000,000
Common stock, shares issued							13,155,342	5,636,548
Common stock, shares outstanding							13,155,342	5,636,548
Preferred stock, shares authorized							10,000,000	10,000,000
Preferred stock, no par value							$ 0	$ 0
Preferred stock, shares issued							4,016,955	0
Preferred stock, shares outstanding							4,016,955	0
Preferred stock, dividend rate							8.00%
Preferred stock, liquidation preference							$ 25
Preferred stock accrued dividend							$ 670,900
Net proceeds from issuance of preferred stock							66,572,300
Stock repurchased during period, value							$ 5,000,000
Granted (in shares)							240,000	213,784
Granted (in dollars per share)							$ 3.23	$ 4.79
Exercise of stock options (in shares)							45,046
Exercise price per share							$ 0.40
Exercise of stock options							$ 18,000
Former Employee [Member]
Class of Stock [Line Items]
Exercise of stock options (in shares)							45,046
Exercise price per share							$ 0.40
Exercise of stock options							$ 20,000
Share-Based Payment Arrangement, Option [Member]
Class of Stock [Line Items]
Granted (in shares)							240,000
Expiration period (in years)							10 years
Share-based compensation arrangement by share-based payment award, options, granted in period, fair value							$ 300,000
Share-based payment arrangement, expense							300,000	$ 100,000
Option, cost not yet recognized, amount							100,000
Share-based compensation arrangement by share-based payment award, options, outstanding, intrinsic value							400,000	1,000,000
Share-based compensation arrangement by share-based payment award, options, exercisable, intrinsic value							$ 300,000	700,000
Share-Based Payment Arrangement, Option [Member] | Minimum [Member]
Class of Stock [Line Items]
Granted (in dollars per share)							$ 2.76
Share-based compensation arrangement by share-based payment award, award vesting period							2 years
Share-Based Payment Arrangement, Option [Member] | Maximum [Member]
Class of Stock [Line Items]
Granted (in dollars per share)							$ 3.41
Share-based compensation arrangement by share-based payment award, award vesting period							3 years
Restricted Stock [Member]
Class of Stock [Line Items]
Share-based payment arrangement, expense							$ 200,000	40,000
Option, cost not yet recognized, amount							$ 500,000
Common Stock Warrant [Member]
Class of Stock [Line Items]
Warrants and rights outstanding, term							5 years
Warrants and rights outstanding							$ 9,900,000
Class of warrant or right, outstanding (in shares)							18,376,000
Aggregate intrinsic value, outstanding							$ 100,000	100,000
Aggregate intrinsic value, exercisable							$ 100,000	100,000
Common Stock Warrant [Member] | Minimum [Member]
Class of Stock [Line Items]
Class of warrant or right, exercise price of warrants or rights (in dollars per share)							$ 2.97
Warrants and rights outstanding, vesting term							0 months
Common Stock Warrant [Member] | Maximum [Member]
Class of Stock [Line Items]
Class of warrant or right, exercise price of warrants or rights (in dollars per share)							$ 5
Warrants and rights outstanding, vesting term							6 months
Preferred Stock Warrant [Member]
Class of Stock [Line Items]
Class of warrant or right, exercise price of warrants or rights (in dollars per share)							$ 24.97
Warrants and rights outstanding, term							5 years
Class of warrant or right, outstanding (in shares)							12,000
Warrants and rights outstanding, vesting term							6 months
Aggregate intrinsic value, outstanding							$ 0	0
Aggregate intrinsic value, exercisable							0	$ 0
Fair value adjustment of warrants							$ 100,000
Common Stock [Member]
Class of Stock [Line Items]
Stock issued during period shares							9,200,000	2,031,705
Stock repurchase program, authorized amount									$ 5,000,000
Stock repurchase program, amount of shares authorized to be repurchased, percentage									17.00%
Repurchase of stock (in shares)							1,806,752
Average price (in dollars per share)							$ 2.77
Stock repurchased during period, value							$ 5,000,000
Exercise of stock options (in shares)							45,046
Investor [Member] | Follow-On Preferred Stock Offering Warrants [Member]
Class of Stock [Line Items]
Warrants and rights outstanding	$ 6,000,000
Investor [Member] | Warrant [Member]
Class of Stock [Line Items]
Class of warrant or right, exercise price of warrants or rights (in dollars per share)							$ 5
Warrants and rights outstanding, term							5 years
Warrants and rights outstanding							$ 3,700,000
IPO [Member]
Class of Stock [Line Items]
Stock issued during period shares						2,031,705
Share issued price per share						$ 6
Sale of stock, number of shares issued in transaction (in shares)						265,005
Gross proceeds from offering						$ 12,200,000
Sale of stock, consideration received on transaction						$ 10,800,000
Class of warrant or right, number of securities called by warrants or rights (in shares)											88,335
Class of warrant or right, exercise price of warrants or rights (in dollars per share)											$ 7.50
Warrants and rights outstanding, term											4 years
[custom:FairValueOfWarrants-0]							$ 200,000
IPO [Member] | Olympic Views, LLC [Member]
Class of Stock [Line Items]
Share issued price per share							$ 6
Shares issued on conversion of debt							82,826
Value of shares issued on conversion of debt							$ 400,000
Accrued interest							100,000
Follow-on Offering [Member]
Class of Stock [Line Items]
Stock issued during period shares				9,200,000	9,200,000
Share issued price per share				$ 3	$ 3
Sale of stock, number of shares issued in transaction (in shares)				1,200,000	1,200,000
Gross proceeds from offering				$ 27,600,000	$ 27,600,000
Sale of stock, consideration received on transaction				$ 25,100,000	$ 25,100,000
Class of warrant or right, number of securities called by warrants or rights (in shares)										400,000
Class of warrant or right, exercise price of warrants or rights (in dollars per share)										$ 3.75
Warrants and rights outstanding, term										5 years
[custom:FairValueOfWarrants-0]							$ 500,000
Preferred Stock Offering [Member]
Class of Stock [Line Items]
Stock issued during period shares		60,555	1,200,000
Share issued price per share			$ 5
Sale of stock, number of shares issued in transaction (in shares)			4,140,000
Gross proceeds from offering		$ 1,400,000
Sale of stock, consideration received on transaction			$ 30,000,000
Class of warrant or right, number of securities called by warrants or rights (in shares)			540,000
Stock issuance cost		$ 28,700,000
Preferred Stock Offering [Member] | Warrant One [Member]
Class of Stock [Line Items]
Class of warrant or right, number of securities called by warrants or rights (in shares)							12,000
Preferred Stock Offering [Member] | Warrant Two [Member]
Class of Stock [Line Items]
Class of warrant or right, number of securities called by warrants or rights (in shares)							36,000
Class of warrant or right, exercise price of warrants or rights (in dollars per share)							$ 5
Follow On Preferred Stock Offering [Member]
Class of Stock [Line Items]
Stock issued during period shares	360,000
Sale of stock, number of shares issued in transaction (in shares)	2,400,000
Sale of stock, consideration received on transaction	$ 37,900,000
Class of warrant or right, number of securities called by warrants or rights (in shares)	13,800,000
Class of warrant or right, exercise price of warrants or rights (in dollars per share)	$ 2.97
Proceeds from issuance of preferred stock and warrants	$ 36,000,000
Follow On Preferred Stock Offering [Member] | Investor [Member]
Class of Stock [Line Items]
Class of warrant or right, exercise price of warrants or rights (in dollars per share)	$ 2.97
Warrants and rights outstanding, term	5 years
Follow On Preferred Stock Offering [Member] | Underwriters [Member]
Class of Stock [Line Items]
Class of warrant or right, number of securities called by warrants or rights (in shares)	1,800,000
Over-Allotment Option [Member]
Class of Stock [Line Items]
Net proceeds from issuance of preferred stock	$ 5,400,000
Series A Preferred Stock [Member]
Class of Stock [Line Items]
Preferred stock, shares issued							4,016,955
Preferred stock, shares outstanding							4,016,955
Preferred stock, dividend rate							8.00%
Preferred stock, liquidation preference							$ 25
Conversion price per share							$ 4.50
Conversion of shares							5.556

SCHEDULE OF COMPANY_S REPORTABL

SCHEDULE OF COMPANY’S REPORTABLE SEGMENT (Details) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Segment Reporting Information [Line Items]
Total Revenue	$ 72,352,700	$ 50,397,000
Cost of goods sold by segment	50,419,400	48,393,800
Gross profit (loss) by segment	21,933,300	2,003,200
Homes [Member]
Segment Reporting Information [Line Items]
Total Revenue	17,654,600	37,276,400
Cost of goods sold by segment	15,168,500	35,140,000
Gross profit (loss) by segment	2,486,100	2,136,400
Developed Lots [Member]
Segment Reporting Information [Line Items]
Total Revenue	26,825,500	12,538,000
Cost of goods sold by segment	15,885,300	13,253,800
Gross profit (loss) by segment	10,940,200	(715,800)
Entitled Land [Member]
Segment Reporting Information [Line Items]
Total Revenue	20,625,000
Cost of goods sold by segment	11,689,100
Gross profit (loss) by segment	8,935,900
Fee Build [Member]
Segment Reporting Information [Line Items]
Total Revenue	6,802,900
Cost of goods sold by segment	5,991,300
Gross profit (loss) by segment	811,600
Other Segments [Member]
Segment Reporting Information [Line Items]
Total Revenue	444,700	582,600
Cost of goods sold by segment	1,685,200
Gross profit (loss) by segment	$ (1,240,500)	$ 582,600

SEGMENTS (Details Narrative)

SEGMENTS (Details Narrative)	12 Months Ended
	Dec. 31, 2021Segment
Segment Reporting [Abstract]
Number of reportable segments	4
Aggregate revenue percentage	99.00%

SUMMARY OF COST, ESTIMATED EARN

SUMMARY OF COST, ESTIMATED EARNINGS AND BILLINGS ON UNCOMPLETED CONTRACTS (Details) - USD ($)	Dec. 31, 2021	Dec. 31, 2020
Revenue from Contract with Customer [Abstract]
Costs incurred on uncompleted contracts	$ 5,991,300
Estimated earnings	811,600
Costs and estimated earnings on uncompleted contracts	6,802,900
Billings to date	4,635,700
Costs and estimated earnings in excess of billings on uncompleted contracts	2,167,200
Billings in excess of costs and estimated earnings on uncompleted contracts
Total earnings from completed and uncompleted contracts	$ 2,167,200

UNCOMPLETED CONTRACTS (Details

UNCOMPLETED CONTRACTS (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Revenue from Contract with Customer [Abstract]
Contract Assets, net	$ 2,167,200
Estimated earnings	811,600
Costs in excess of billings	1,400,000
Uncollected billings	$ 1,000,000

SUBSEQUENT EVENTS (Details Narr

SUBSEQUENT EVENTS (Details Narrative) $ / shares in Units, $ in Millions	Mar. 14, 2022$ / shares	Mar. 07, 2022USD ($)	Mar. 03, 2022USD ($)	Feb. 25, 2022USD ($)	Feb. 14, 2022USD ($)Apartment	Jan. 26, 2022USD ($)Apartment$ / shares	Jan. 12, 2022$ / shares	Dec. 31, 2021
Subsequent Event [Line Items]
Preferred stock, dividend rate, percentage								8.00%
Subsequent Event [Member] | Revolving Credit Facility [Member]
Subsequent Event [Line Items]
Line of credit facility, maximum borrowing capacity		$ 25
Subsequent Event [Member] | Revolving Credit Facility [Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member]
Subsequent Event [Line Items]
Basis spread on variable rate		4.75%
Subsequent Event [Member] | Yelm Washington [Member] | Marquee Funding Group [Member]
Subsequent Event [Line Items]
Short-term debt						$ 15.7
Number of unit | Apartment						75
Subsequent Event [Member] | Lacey, Washington [Member] | Washington Federal Bank [Member]
Subsequent Event [Line Items]
Short-term debt					$ 29.7
Number of unit | Apartment					177
Subsequent Event [Member] | Blaine Washington [Member]
Subsequent Event [Line Items]
Proceeds from sale of land				$ 4.5
Subsequent Event [Member] | Tacoma, Washington [Member]
Subsequent Event [Line Items]
Payments to acquire land			$ 6.7
Series A Preferred Stock [Member]
Subsequent Event [Line Items]
Preferred stock, dividend rate, percentage								8.00%
Series A Preferred Stock [Member] | Subsequent Event [Member]
Subsequent Event [Line Items]
Preferred stock, dividend rate, percentage	8.00%					8.00%	8.00%
Dividends per share, declared (in dollars per share) | $ / shares	$ 0.167					$ 0.167	$ 0.167