Apparently, because rates increased here so astronomically in the last 2 years, the insurance industry believes their numbers are correct with the risk.If you have the correct coverage @Marc Shin, you should be covered (although you should also have budgeted or baked-in costs for minor issues/damage).

I’m over here on Big Island, up in the Kohala coast, and it offers some resort areas too on the sunny western side similar to Ko Olina on Oahu.So things to consider are:- Which Island- Your budget- Will you be financing or paying cash?  

Of course, you can delegate most of these tasks to employees, but then you should also budget time for employee management, hiring, and training.

I would look for a 5 bedroom if it is within your budget.

If there is a tenant in the property expect that they will likely leave within 6-12 months after you purchase so you can expect to do a rent turn and budget for that.

My mortgage will be $2,005/month, and I’m budgeting up to $600/month for utilities, leaving a potential monthly cash flow of $995.I also set up an LLC and a business account to track rental income and expenses.Questions:Do you have any advice for me as a young real estate investor?

Eliminate debt, establish a budget, and save.

From the numbers perspective it seems like it can pencil out depending on the rehab budget. 

Should I be budgeting significantly more sense people are in and out of the property versus them living in a long time? 

So spending 200k on an ADU will likely not increase your property value by 200k.