Better than each of those options is to be realistic, what most of us aim to do, but easier said than done. 

My gut says you probably want/need separate policies for the different entities at the very least - the purpose of having them is to keep things separate in case of a lawsuit, so combining insurance would pierce the veil and allow someone to come after everything. 

They've figured out how to take advantage of the warranty policies to benefit themselves.

@Kent FordI agree with @Ryan Konen regarding areas like San Antonio’s outskirts, parts of Fort Worth, and growing cities like Tyler and Lubbock, which are becoming popular due to relative affordability and job growth.We will see an interest in smaller metro areas where prices are more accessible and a surge in new construction aimed at entry-level buyers.

This leads you to a decision, whether you are aiming to be a passive investor or an active investor.

Now if you didn't refinance rented that unit out before living in it for a year and changed your insurance policy to a commercial one, that could be problematic (just to give an example). 

Wickman class's were aimed at helping RE agents get to the next level and since my wife was a top producer and managed 70 agents she was very good at it.. 

Obviously they are running against the zoning policies, always feel like doing something in the gray.

If something happens and someone is injured due to over occupancy you could open yourself to legal liability and you would have to check with your insurance policy to see if you are covered since you knowingly would be operating for more occupancy than permitted for the structure.

The policy consideration behind the higher leveraged loans is to provide financing for individuals who have high earning potential and are at the start of their career where the earning potential has not yet materialized and perhaps are dealing with the added burden of student loans.