.🔹 Insurance Challenges – Even when insurance pays, it rarely covers the actual cost to completely rebuild.

Almost all mortgage loans these days have Due on Sale clauses, so it comes down to A) whether they find out (usually from changes in the insurance policy), and B) whether they choose to call the loan.

Did the insurance get cancelled in this case. 

Insurance liability, I personally know 2 families that lost their children in home pools.

I know I can get an insurance plan, but is it worth the headache?

Is your DSCR ratio greater than 1-meaning are you cash flowing (according to the lender's criteria of mortgage, property taxes and insurance (and HOA) if applicable).

Avoid basing it on uncontrollable factors like taxes or insurance.

With an 8% mortgage rate, they would pay more than $650k in interest.One major problem for both buyers and owners beyond mortgage rates is the rising cost of property tax and insurance.

Also, be sure to notify your insurance company that while you are still living on the property, you also have tenants. 

I 100% endorse adding in the escrows for taxes and insurance to set the buyer/borrower up for success.