When managing one of my mother’s properties, I went though sheer hell with one of her tenants to get her evicted for nonpayment of rent, while also dealing with my mom’s failing health with dementia.  

So, if the seller received notice about this issue and failed to disclosure it to you, then the seller may be liable here. 

If you fail to follow the rules, you may open your personal assets to a lawsuit.

The number one reason rehabs fail is the owner advances too much money to the contractor who uses the money to complete other projects or, go on vacation. 

I also feel we have done a 5 star job but if something fails, I would rather have a warranty in place for the owners . . 

I guess that means YOU are the one likely to fail since you didn't know where to come looking for answers! 

That means you will fail and fail quickly.

The deals are very conservative and are mostly wealth preservation with modest cashflow (3-4%), but they've performed for me even while many syndications originated at the same time have been failing. 

When the SHTF, The local bank, and the online bank may  be more likely to  fail.

If the tenant fails to complete the job, or does it poorly, you'll have to hire someone to finish/fix it and you'll be out the rent money.