You should have titled the property in mom's name, with a mortgage and an option to purchase it from her for the $75,000 at any time to protect you, if something happened to mom.

I have already created a single member LLC in my name (husband) and the attorney said that it would be fine to proceed this way and that it would allow me to self-manage and maintain liability protection.

They are trying to protect you from yourself and your efforts to over leverage yourself. because that's how you'd get to your next post of when the house of cards starts falling down and crushing you under it all. 

(and is no fun.)I’m here to protect people from making very bad mistakes, as I teach Subto “safely and legally”.

A well written management contract should clearly spell out what is expected of both the PMC and the owner, to PROTECT both and avoid misunderstandings.

His family is a major player in the affordable housing market and new developments.

I got un-renewed by my old ins and rejected by almost all ins companies (except for some crazy ones quoting me 10k/year) on my primary house, which is far from any fire zone but I had 2 claims on my 2 rentals (I am a small player so under my name not LLC) in the past 3 years so I got fked. 

Two things, the first is a protect you down the line from them saying the home was not habitable and secondly, every time they ask, I would just keep referring back to my prior email and use that as a response

Now I have to register every year with the "housing protection department" because my unit is "available for rent".

Here's another perspective: Insurance is for liability protection.