Below are the details:Ask Price:   $2,595,00025% DP:   $648,750Monthly P&I (30 Year Amor @ 6%):   -$12,897.15Annualized Market Pro Forma NumbersPro forma Rents (24, 2/1 units at $995/month):   $286,560GOI with Vac/Cred at 8%:   -$24,357.60Pro forma Expenses at 30%:   -$85,968.00NOI:   $176,234.40P&I:   -$154,765.80Cash on Cash Return:   $21,468.60Deal MetricsCap Rate:   6.79%Debt Coverage Ratio:   1.14Cash on Cash Return:   3.31%Cost Per Door:   $108,125Adjust Rent/Price Ratio (per door basis):   0.9202%My MFH investing education is still on-going, but it looks like the seller is trying to sell this as a stabilized asset.

Others love them, the more the better and have special programs just for rental properties.Independent agents tend to have more commercial experience and more companies that issue commercial coverage.

You can supplement your own unit with Airbnb, although pay attention to the neighborhood as santa cruz has a moratorium on new vacation rentals, capitola only allows them on certain streets etc etc.

@Rob Bianco $4k for $1M coverage is not a great premium for class A Properties.Paying more for insurance because your out of state, or because they are not titled in your personal name, has more to do with the company your getting quotes from than anything else.BP is full of out of state investors paying less for insurance in the KC market.Now the seller may be insuring the buildings for much less.  

They have several options depending on whether or not you are using a General Contractor (GC) or not.One area often overlooked in the Insurance planning of a project is the Workers Compensation coverage.  

Sure, it's not cash flowing now but in 8.5 years it will be hugely supplementing my income. 

So here is a summary:ROI:If you finance with 20% down At 20% Down Payment =$340,000 Debt Payment =$81,600 ROE/ROI = 40% =$132,400The DSCR(Debt Service Coverage Ratio) is x 2.62.

Travis- We have played around with the idea of me living in the home at first (as we are told you need to be a resident for these kinds of loans) and then using airbnb to supplement as much of the mortgage as possible.

I have a separate business I have ran here Blue Mound for almost 20 years, the house behind my shop went back to the bank, then was auctioned at xome.com where I purchased it.My interest is to acquire a handful of properties as rentals that hopefully will supplement my retirement one day.Bigger Pockets has been a wealth of information, I've spent untold hours listening to podcasts and reading articles, I want to say thank you to all of you that have taken the time to share your knowledge so patiently and generously. 

The clear winner is a large umbrella policy as it’s better coverage for most situations at a better price.