Then pay to rebuild?

I am also very interested in utilizing my investments to help rebuild and reinvest in distressed communities.

Soon after I began the process of a cash out-refinance (new mortgage is $172k) so I could rebuild the garage and rent out parking spots for extra income; the property was now valued at $260k.Fast forward a few years to today where 2 friends and I are in early steps of creating an LLC.

better off buying a rat trap in some other coastal area for $$$$ and rebuilding with water rights and dwellings already approved. 

If you maintain proper insurance, they will rebuild your property and pay you market rent until it is rent-ready.

Account Closed  Totally agree with you... this is why new construction in the mid west is pretty much relegated to higher end SFR's and or urban renewal etc.Most of the rental properties in the mid west coast far less to buy than they would cost to rebuild... ergo land in those areas is worthless...

In the city that generally means a gut and rebuild. 

There was a case here where a property was destroyed by fire, the insurance claim had not been paid yet and the time limit to rebuild was expiring. 

If I buy the home may I have to demolish and rebuild?

From what I understand, it is technically legal but non conforming and if it were to be destroyed for whatever reason I could not rebuild it as a quadraplex without getting it rezoned to RG.