Will an umbrella policy adequately cover me if not?

A blanket umbrella policy of $1MM might accomplish what you need until you start building some major equity/assets.

Your chances of success blindly making calls to banks is just about ZERO!

If they bite, you have eliminated a big source of unnecessary aggravation at minimal cost, and, as the New Sheriff in town, you are still in control and can make clear that this practice will NOT be Policy.

Thanks for the reply MikeOH...From my research, (phone calls) I'm having zero luck finding the portfolio lenders here in my city.

In addition, some lender loss mitigation departments have their own rules, policies, and procedures.

You have zero leverage to get the buyer to pay up unless you've specifically addressed that in your documents with your buyer.

You don't specify any terms, so I'll use what I'm familiar with of 4 points and 15% for the hard money loan, 7% on the perm.ARV 95,000Max HM loan $71,250Points $2,850Closing costs $1,000Buy price $45,000Insurance $500 (3 month vacant house policy)Rehab $20,000Net from loan $1,900You'll need to find out how the repair money works.

---Getting appointments - One of my best prospecting lines for well-heeled business owners: "Our policy is not to use more than 25% of available money for retirement in our 10% Non-Traditional Steady Interest Accounts.

You will have the owners cancel their insurance and then you will get your own and just get a regular landlord/tenant policy.