This will allow you to run specific underwriting and projection tools to better assess each option.Remember, owning a property with a pool comes with added expenses, such as heating, emergency and routine maintenance, and higher insurance costs.

If so, what type and amount of coverage do they have carry for them.Secondly, I'd ask an insurance agent I presently use for advice, given your situation.

Umbrella Insurance  is a good way to protect assests or some people use both .

You’ll want to consider the purchase price, HOA fees, taxes, insurance, and the rental income you can realistically expect.

Property taxes and insurance are typically the two biggest recurring costs.

Plus I pay his insurance .. its taken 3 years so 300k a year and I do all the admin etc..

I am in talks with an insurance lawyer now, but how can I ensure to have max payout?

Factor in the down payment, closing costs, and potential renovations.Cash Flow Analysis: Ensure the rental income from both units will cover your mortgage, taxes, insurance, and maintenance costs, leaving room for profit.

If your purchase price (always the largest expense) plus the rehab estimate (the second largest) total no more than 70% of the ARV, the remaining 30% must cover your HML charges, agent commission, property and hazard insurance, property taxes, title insurance, escrow, staging, all else, and your profit.

@Robert Morris it can work - until it doesn't via a lawsuit.Challenges:1) They are NOT professionals2) They are not licensed, so may cause you legal headaches3) They won't have insurance, so what happens when their actions lead to a lawsuit?