But at the same time, I will not be publicly judged and not defend our decision.

Good PMs are prepared for bad scenarios, but no one can protect you from every bad outcome.

Or would you abandon the idea and just focus on something more traditional and with public water/sewer?

I have survived a long time in public service by always making the other guy look like the unreasonable ****.

Disclose it.It may seem you are sabotaging your sale by telling the buyers negative things about the house and the neighborhood, but you are actually protecting yourself from costly litigation in the future.If you have any questions about disclosure requirements in our state, please ask.

Interestingly enough people will most likely shiftmoney away from real-estate and into TIPS or something that is protected against inflation.In my view you are faced with the decision:purchase a house with falling prices and rents (due to the recession that would follow), or put your moneyin something that protects the principal value against inflationary pressures. 

And then there are lots of standard CA mortgage contract templates out there... just make sure your lawyer writes in every clause and snag to protect yourself.

With this being said, I do need to get better at and this will be easier in some counties to find the public records than others.

Should I hire a public adjuster or stick with the insurance company's adjuster? 

She's supported my real estate efforts but doesn't want to be exposed to risk personally.How can I purchase properties in my name and assets alone and god forbid if I get sued keep her protected?