Each carrier will evaluate the property and determine what the cost will be and that's why each carrier has a different premium for the property with generally 85-90% of the coverages being the same.If you feel the dwelling is low see if they have a guaranteed home replacement endorsement that can be added or 150-200% dwelling coverage to truly protect yourself in the event of a total loss.The market is going to be like this until 2025 most likely so the easiest thing to do is raise your deductible without sacrificing coverage.

Also, check to see if the utilities are current and if they are breaking other terms of the rental agreement to protect your interests and shore up your case.

I consulted attorneys who are telling me it will be at least a 2 year process to evict in housing court let alone all the protections services available for elderly / appeals he can raise.

If you did and had problems leave them a review with the Better Business Bureau, here and also contact the FTC Consumer Protection division.

How YOU will be protected in the event that the project goes south and you need to be reimbursed.Is this a cash or financed transaction? 

A well written management contract should clearly spell out what is expected of both the PMC and the owner, to PROTECT both and avoid misunderstandings.

And no I am not going to go into paid training as I personally do not believe most investors are really capitalized well enough to protect those they are buying these props from when crap hits the fan and it does and it will.

It seems they want to be fully protected if by some wild series of events they ended up owning the property.

I could then do section 8 for current home so that Id receive guaranteed income to protect myself from a market downturn,  if that were to happe .

There is liability protection when you setup a company to provide services to your properties.