=)  I have Dwelling Fire insurance on all my properties plus a 2 mil umbrella policy.  

I also agree that DTI is one of the many causes under the umbrella of underwriting but I can't say it is the main cause and my point to you - is in this thread anyway you haven't convinced me - not that is your goal or purpose here.

If so I presume its in your name and not a LLC/S-Corp, I assume you cant' justify/afford a $1M liability umbrella policy with the proceeds from this if you get sued.+ Are you managing it?

We carry umbrella liability on the LLC and each property is added to the policy as they are purchased.Based on my prior business life, I understand very well that one should have liability insurance of at least the value of the assets being protected.However, past a certain size, say 10 properties, it seems prudent to create a second LLC, third LLC, etc, in order to keep liability spread out a little and to in effect, increase liability coverage.

The way I get paid is simple, I don't charge anything up front, I'll just do a deal or 2 with them and split 50/50 so I make money, they make money and hopefully I've built a relationship with a future full-time investor to do other/more deals with in the future....My biggest hurdle in helping a newbie out is getting them to quit being lazy, I don't know who's out there spreading lies about making millions in real estate while drinking fancy drinks with little umbrellas in them on the beach.

Your contractor will also have a GL policy that will take some of the liability during rehab but you should also have an umbrella in place to give you a more sure level of protection. 

So stop walking around with an umbrella, you look like a tourist.All your friends will visit the first year, and you’ll have to cart them to the North Shore, to see the Whales, to a tourist luau, and all the spots they have dreamed of.

First off I want to apologize to those of you reading that has seen a post talking about Umbrella v LLC.

As far as insurance, I've never had a problem insuring the home in my own name, and then just leaning on my LLC's umbrella policy (which you also should have), if it comes to that.     

I have 1 LLC for my 16 units and a good umbrella policy.A more direct answer might be, if you have 3 LLC's for each property that may be too much.