(Put an umbrella on top of that, also super cheap.)I would say a bigger “gotcha” to watch out for us many insurance companies are putting mold and/or water damage maximums in their policies.

As a victim of a house fire myself, I understand the importance of some insurance but presently between property coverage, General Liability and Umbrella, costs through the roof. 

An umbrella or LLC does not negate the need for property insurance. 

You will be required to have a commercial loanYou will have fees and I believe taxes are higher on a LLC but not sure.About 50% of real estate investors use a LLC, non to my knowledge on BP have required the protection and you still need insurance coverage.LLC or insurance with a umbrella provide the same asset protection.

The cost is generally reasonable and if you ever need to use it you will be thankful for the extra coverage- If you don't have a personal umbrella policy consider purchasing. 

I agree, protection is critical, but I argue that a well crafted landlord policy with the highest amount of liability coverage, followed up by an appropriately sized umbrella policy is just as good in some cases better protection.

Liability insurance of $300k-500k per house in a standard landlord policy + an umbrella policy as I crested a 7 figure NW.If insurance co's are willing to underwrite me a $300,000 liability policy for $30/mo  I realize the real risk and necessity of extra protection is low.   

It's simpler, cheaper and more protection, with a small number of rentals, to have umbrella coverage instead of relying on an LLC.

I assume HOA falls under the same umbrella that the insurance company would correct? 

Gen an umbrella insurance policy if your losing sleep at night over this.16.