pmfranke,
Based on your engine combo, I'd guess you put a little more money into the engine there than NEEDED for resale. Sounds like a nice car though!
I don't think that, without cutting some corners somewhere or doing EVERYTHING yourself.. you will make money. Chances are more likely that you will have a good time building with your brother and that's great. Then you'll break even and consider it a good time spent with your brother.
I think the legality part of the equation goes away as long as you register the car in your names before sale. This is why alot of the main manufacturers sell a turn key minus rather than a fully done car. Hurricane, Shell valley, and BDR will all sell you a turnkey minus car for around $29k. That's painted your colors and complete assembly. So that's $29k, and they have a reputation for building cars.