It may look like you are overpaying on it on paper but if you buy nice product in nice locations you will appreciate and be well occupied at the same time in my experience.  

I think it's something like "supplemental lines"  where those providers fall outside the normal providers somehow - which gives them price permissions to charge more for their product - but at least you get the insurance.  

I'd avoid apartments or any costar product for that matter.

But if you look at annuities, they are an insurance product, not as much an investment product.What insurance companies do with your money you invest in their annuity is put it in the stock market and keep the difference of what they pay you and what they make in the stock market.  

@Gino BarbaroWe are buying smaller BTR product direct from builder at completion - typically projects with 10 to 20 duplexes per property.

We use a product called Vital Oxide in our flips to neutralize odor and disinfect.

I am open to other lenders and products, But currently seeking funds of $467kOne of my goals in Real Estate is to acquire and manage homes in my hometown.

You may want to opt for a different loan product other than FHA. 

On the flip side, having more choice in location with an existing product could be advantageous to both his personal life and the earnings potential; add in the second unit having the potential of being a STR/MTR and location becomes even more important.The contract/permit side CAN be challenging location by location; assuming he's working with someone who knows what they're doing, Raleigh makes it easier to get permits for these larger "small scale" projects than Durham.

Without knowing how much of the renovations you were planning on doing yourself over time versus how much you were wanting/needing to finance up front, you would also want to talk with potential lenders about what loan products they have which could incorporate both the purchase price as well as the reno costs into the loan package.Hope this info helps get you pointed in the right direction - definitely keep us updated as you move forward with this project though!