The building might never be a total loss but you very well could have a liability claim big enough for the insurer to investigate that.  

Crazy because I followed their exact formula and they wouldn’t even investigate rehab amount or anything.

AND rush you into decision leaving very little time for you to investigate the risk involved with this request.My VOTE, proceed with caution.

Contact a realtor or mortgage broker to find properties, negotiate conditions, and investigate financing alternatives.

I always recommend for my clients to investigate and interview different professionals for all their real estate needs. 

I'm not sure how that plays out with a ROBS... but would investigate it.Randy

Investigate insurance early.

My problem is that I know a former would-be purchser who got a preliminary title report from Chicago Title that read the owner--and three prior title holders--never had any legal interest in the property.

Because people fall in love with returns and do not ask how is that possible…Of course investigation is ongoing but this is all alleged.https://www.sec.gov/enforcement-litigation/litigation-releases/lr-26076

While there could be a connection, I'm not so sure that there is one.In any case, it could be worth investigating.