I haven't filed a claim all these years but insurance is for the what-if and to be used for the high-ticker items, but chances of damages exceeding the 5% is low.  

You make the payments to the lender.Oh, and just in case, there are more items to know about when considering a "sub to" transaction but this is just a comment on the payment aspect. 

Compliance items such as adding smoke detectors, hand rails, fire resistant garage entry-door and new stairs outside.

Mine may be different though because I am still responsible for HVAC and many other large items on the property.

For Non-Admitted carriers, the important item to then pay attention to is the AM Best rating (or equivalent rating agency).

Pack their items, change front door locks and give new locks to other tenants.

You've given me some solid pointers/items to take into consideration for future deal analysis, so thank you for that.

At the end i will add a list of items why adding a single ADU in single family zoned areas may not be the best RE option.The most common value add is via a rehab.  

This aligns with the principle that you earn 10% of the value you create.Hedging Risk Through Long-Term StrategyJust as pension funds mitigate risk by diversifying and committing to long-term growth, this model spreads risk across various income streams and a timeline that prioritizes adaptability and stability.

So, if your property has all bills paid by the tenant, you will deduct from the voucher amount the set amount by bedroom count for items like water, electric, gas, etc.