I was studying the market and my rent will be just enough to cover the mortgage and HOA fee now I might to pay out of pocket for insurance but don't want to sell it yet because the area is growing and might have good appreciation in the years that follow.

Vacancy rate, insurances taxes, interest rate, repairs and maintenance.

Is your DSCR ratio greater than 1-meaning are you cash flowing (according to the lender's criteria of mortgage, property taxes and insurance (and HOA) if applicable).

The insurance payout also impacts your taxable gain.

Here in the USA you need what's called a "construction loan" and it's also very hard to find a company that will insure you if you're a newbie.

So another questions about insurance.

(Please don’t tell me you will lend anonymously to those you met here or on the web).Title/Fire/Hazard Insurance Requirements: Not part of this list but what will be your insurance requirements?

Quote from @Max Pergament: Quote from @Matthew Irish-Jones:Licensed and insured to manage third-party properties. 

Here are the key numbers:Potential purchase price: Mid-$400k rangeAppraised value: Estimated at ~$500kRehabbed comparable properties (comps): ~$580-600kMonthly PITI (with 5% down, including mortgage insurance): ~$3400First-year PITI (with 2-1 buydown): ~$2900Monthly income (after taxes): ~4-5kLiving expenses (utilities, groceries, etc.): ~$1600Savings available: ~15-20% of the purchase priceCash to close: ~$34kRehab estimate: ~$34kRemaining reserves: ~$20-25kTo fully fund the rehab, I’d need to come up with an additional ~$15k in the short term, which I anticipate paying back quickly once the rental portion is generating income.

If your insurance coverage isn't enough, they could seize the LLC assets, but not your personal assets.Additional thoughts:1.