Caulking a bathtub for a plumber is the easiest job he could charge money for, short of charging to lite a pilot light on a furnace or water heater.  

If they don't NEED the money for a down payment elsewhere, the income could certainly fund their payment at a new home, rental or retirement home. 

You won’t make your money back.

In the Bigger Pockets free book, "Real Estate Rewind", as one of the 11 co-authors I wrote about one such Tax Sale purchase and made money but not enough money to warrant the risk involved.

refinance our own home with some money down + purchase another flip? 

Quote from @Burke Atkerson: With over a decade of real estate investing experience and over 100 flips, I now provide private money & hard money loans.

@Jeanette Land why don't you canvas your network to find a money partner?

Now that we are 10 days from closing, I am talking to loan officer to get the Closing Disclosure so that I can know the exact cash to close (I need to move money from brokerage to bank account) and he is mentioning about 2% IPC limit. 

They must be very low odds because insurance companies are in the business of making money, not paying out maximums.

Thats a lot of work that a company would have to do and they would want their money back on the development costs.