Multipass core16 mkdir ~/folder fails

If I run SNAPCRAFT_BUILD_ENVIRONMENT=multipass snapcraft cleanbuild on a core (not core18) build I get the following error:

2019-01-25T22:05:44Z INFO Waiting for restart...
core 16-2.36.3 from 'canonical' installed
snapcraft 3.0.1 from Canonical✓ installed
Hit:1 xenial-security InRelease
Hit:2 xenial InRelease
Hit:3 xenial-updates InRelease
Hit:4 xenial-backports InRelease
Reading package lists... Done                     
Building dependency tree       
Reading state information... Done
1 package can be upgraded. Run 'apt list --upgradable' to see it.
mkdir: cannot create directory ‘~/project’: No such file or directory
An error occurred when trying to execute "mkdir '~/project'" with 'multipass': returned exit code 1.

Don’t use cleanbuild. With multipass you just run snapcraft.

EDIT: on the second run it works…
Thanks @popey

If I just run snapcraft I get this error.
(on a core18 build it works as intended)

Launching a VM.
launch failed: illegal value                                                    
An error occurred when trying to launch the instance with 'multipass': returned exit code 2.
Ensure that 'multipass' is setup correctly and try again.