Who covers the tax bill when they don't pay the tax bill or the insurance? 

Investors must first prove that they are an accredited investor, set up a “pitch” call, and only then will they receive a 16-page PDF explaining the loan program, which on page 10, shows a picture of Ron Fossum as CFO:Page 10 of email attachment “noradaloannotecasepdf”A detailed FINRA report ( Link ) provides the reason for this sleight of hand.

The buyer agreed to cover the cost of the new appraisal, which came in significantly above the purchase price.

Alternatively if they all love the deal, that's also likely a good sign.You can get a dog of a property in a crap neighborhood that will yield a 13.6% gross cap (not saying yours is), but that certainly doesn't tell the whole financial picture of how the asset will perform.

If you're going the umbrella insurance route, perhaps see if it will cover you for several things including just the routine slip and fall (like mold or earthquake).

Have you called the housing authority that covers this property to confirm the max rent based on the # of beds?

We have been told that fha will not cover this since there’s are two residences on the property.

What is the cost, and what does it cover?

Namely, that if a tenant (in this case accompanied by a whole family) ends up stop paying rent and I would be on the hook for both covering the mortgage and dealing with open ended legal costs and time.

If you can rent it for enough to cover the principal, interest, taxes and insurance and still put money in your pocket, plus cash flow on the property you're purchasing, that would be ideal.