It sounds like most of your issues were insurance-related, which indicates this is a risky market based on natural disasters or something.

.### FinancingMake sure you have your financial matters in order.

Here are the Positives:Upfront Payment: The tenant’s offer to pay the full year of rent upfront, along with the deposit, shows a commitment and provides financial security for you in the immediate future.At least She was Honest in Her Communication: The tenant has been transparent about her situation, which can be a positive sign of reliability and sincerity.My Negative Concerns:Her Future Financial Stability: It's only a one-year lease, if her medical condition and financial condition should worsen (Heaven forbid), you may have to face her wanting out of the lease earlier than the 12 months and eventually you may be faced with having to decide not to renew the lease (after her 1 year contract is expired) based upon the sad news of her condition becoming worse, (Heaven forbid).  

Wishing you all the best, and a quick recovery from this disaster.

I just started my due diligence phase, but the first thing I need to do is better understand the financial feasibility for the project, and how the return might compare to other investments we have undertaken in the past, which have been mostly acquiring existing buildings and renovating, not new construction.

Reserves:Most lenders will ask for 6-12 months of reserves to ensure that you can cover mortgage payments if you face financial hardships.

@Nupur Daruka - trying to put stated funded tenants into an HOA property is frequently a recipe for disaster.  

Do you have more info on the financials/cash flow?

Hi, this is definitely a great question for a lender/ professional financial institution advisor they will steer you in the right direction.

My parents for burnt bad by the banks, that shaped my financial believe system growing up.Of course, you should not "feel" about money at all.