They are saying that they are 'beseiged' with calls from LA County residents wanting to relocate out of state....to AZ (mostly).

Quote from @Joel Bechtel: The agent I spoke with has about 30 years of insurance experience, so I’d hope she knows what she’s talking about and what she’s offering.I have another policy with Allstate for my 6-unit property, which they were able to insure for approximately $890K because the replacement cost came in under $1M.

Savings: Hold the deposit here so it's separate from operating funds.

So it does appear to be possible to get an FHA 203k loan for a 5-unit & convert to a 4-unit.When possible, aim for the Limited (aka Streamline) 203k loan, as it's less complex, not required to get an FHA consultant, etc.Of course, this is based of the two following important assumptions:1)  zoning allows for this2)  and obviously I owner occupy for at least 12 months3)  the total purchase price + renovations are within the FHA loan limits specific to my areaWhat I'm confused about is the timeline or chronological order of the process? 

Quote from @Josh Jung: surprised you haven't heard of RBP. it's like a mix of services you can offer to your tenants like renters insurance, virtual concierge, etc So the property manager/landlord pays for their renters insurance, and filters?  

Some think that this is an anti-group home law, but so far nodoy has challenged this in court.

Crime and drugs still an issue, but getting quality tenants has not been a challenge... so far so good.

So, when investing in areas they don’t really know, investors should research the different property Class submarkets.

Most will not do 100% loan-to-value so plan on something less than that for the loan amount.2.

That could be thousands of dollars, and you might not even close, so they just wasted several grand for no reason.