@Alec Norman One option to consider is to get a SFH and rent out the lower level to supplement your cash flow.

To supplement this question, what if you are partnering with someone who has more capital/resources/expertise/real estate skills than you, what would make them want to partner with me? 

For the most part they are equity investments in high appreciation areas with my salary supplementing monthly operational losses.I am looking to expand my portfolio through additional purchases that cash flow.

If the property does not sell soon after the rehab is complete, we will rent it out so that we have supplemental income to cover the cost of the loans from the hard money lender and the original seller.

You can report that to the insurance co, too, and hopefully get a supplement.  

Hello all,I am a homeowner looking to supplement my income by purchasing a second home, preferably a duplex, and renting it out.

In answering your ‘supplemental’ question...

But see what the requirements are and learn if you can supplement with anything.

I would probably bet that you can never stop learning about this massive subject, however i would like some good old fashioned books to flip through to supplement my education.

In this case, you walk into the sunset because your LLC has no assets, while the property owner loses his/her property and maybe faces their own liability if they don't have enough supplemental insurance?