Insurance would cover it, I would pay the deductible, and no assets would be lost.If you are in an area like San Diego where people are more likely to sue, a judge is more likely to find you guilty, and the payout is expected to be higher, you may consider an umbrella insurance policy.

I did a lot of business with the San Jose RIA and the old owner she sold to a turn key provider.. the turn key provider wants the SJ RIA for profit and to sell her product of that I have no doubt. and the bigger turn key providers in the mid west spent a bunch of bucks getting into her RIA and being allowed to present they spent it in the form of adverts in her magazine...  

The industrial buy and hold buyers have virtually dried up in San Diego.  

The Banderas Bay area (from PV to Punta Mita) has lots of potential with the economic growth and the tourism industry expanding north towards San Blas with over 30% appreciation in the past 3 years.

Quote from @Craig Parsons: I'm working a flip in a commuter town about 60 miles south of San Jose CA.

However, the MLS in San Diego as well as the appraisers I've worked with do.You'll definitely want to check to see how the topic is addressed in the particular locale the property is in. 

Quote from @Jake Andronico: @Alyssa DinsonI grew up north of San Francisco and moved out to Reno, NV to live and invest.

I've found some construction companies that specialize in ADU (Additional Dwelling Units) conversions/construction in SanFrancisco and San Diego but not as many in LA. 

Most of my clients are based in Los Angeles or San Francisco.Initially, they would fly out to personally view the properties before making a decision.

thanks for your time and help rent to retirement works directly with build to rent developers like us around the country once they are framed up. you are buying properties pretty much at market value but with a hand holding. you can work directly with a builder or directly with them. they are just an intermediary. they take 5% on what we make as a builder but have a large list of investors and a systemized approach to selling new builds. if you want to get a better deal I'd recommend directly contacting builders and building it yourself. fly to the market. spend 2 days, tour new builds, get a feeling for how it's going. if your builder isn't building multiple at a time then I wouldn't recommend working with them. rent to retirement is a well oiled and well run machine. they've had their ups and downs with dozens of transactions in florida but modified their process. they are well known and established and transparent. if you have a more specific market and feel confident in your ability to vet deals try it out. happy to talk more my info is in my signature. we work directly with them to sell new builds and no organization is perfect but I have good things to say about them as a builder and potential build to rent developer that sells build to rent triplexes and single family homes through them to end buyers in California like the Bay Area, Los Angeles, and San Diego