It is all about your broker, pm, and the trust you have with that team that can really help.

Would love to connect with any insurance broker who deals with Multi-family in California?

All told, the GP is making $337,500 just to arrange the deal (not including their reimbursement of any out of pocket costs they have already covered: due diligence costs, broker costs if they are paying anyone to bring them deals, legal setup costs, etc).  

I'd reach out to a broker and see what options they have for you.

It is more about whether you gain value for having the property management and their cost.A number of years ago, a property we managed was sold to a person who was a stock broker and he was going to manage it himself. 

So from the sale of the relinquished property I have let's say a total of $850k after paying the mortgage and broker commissions etc.

If your Broker said that there will be a 5% commission, they can't give that to you unless you happen to also be an agent.

I'm in Nothern NJ and 1.5x is standard however on higher priced rentals with a broker fee, I will take 1 months rent for SD (or the broker takes a smaller fee).

Lender will want title insurance but that is paid at closing.If there is another insurance like “loan insurance” where they say they guarantee you get the money as they are a broker it’s a scam.

A mortgage broker will not waste their time unless they have no business going on and are looking to hit a miracle.