This is unfortunately part of the game that we play.

Why are you losing money just to keep this guy?

I am an active real estate broker and general contractor here in Memphis and this is a great market for RE investing!

I can see why the external link made you think that it was a self-promo on a cursory review, but I do not believe that it was in this case. 

If the figure of $1200 is being floated on the listing it’s highly possible the current owner is locked in and grandfathered at this price and even if you get a policy with the same insurance company your policy will be significantly more expensive.

We considered using the cash out for buying a new multi unit property and using the greater income from that one to pay the remainder on this house  monthly but obviously that's not a great idea.  

I've asked this seller for any documentation he had and he's yet to provide anything.

This has been my observation in 45 years in real estate investment.  

I know this is not true because I've used IDI data since 2019 and it's the best on the market. 

Im using Daniel Hyman's service this year, MyOnlineAccount, its nice being able to just upload all my docs in the cloud to get this started.