I understand this concept once the option is executed,  but not sure how this would apply prior. 

That means that the prior leaks and soil/groundwater contamination have already been taken care of. 

I don't have any of my own experience yet, but from what I have read, it seems like the most strategic way to go is to buy a fixer upper for lower than market value and gain forced equity by fixing it up prior to renting it.

Potentially get a commercial loan or HELOC against the properties to fund additional deals.Future: I will have all the debt from the prior renovation paid off this year from the rental income.

If the OP didn't get a survey prior to closing, I suspect there may be an exception to coverage for any matter which would be disclosed by an accurate survey.

If so, I always recommend getting the study done prior to rehabbing.

We are currently trying to book high-season months 2-4 weeks prior to check-in because we see the highest rates this way.

Luckily enough, I had helped my previous boss at the time move from his unit next door months prior.

Know the landlord/tenant laws in each state and have your Cash Reserves in place prior to.

It's essential to have a property inspection, appraisal & ensure obtaining a clear title prior to closing.