But, how long before all the other insurance companies follow suite with either demanding lead certs or excluding coverage for LBP issues?

If these were multimillion dollar apartments that may be a good idea (I'd have a good lawyer to ask in that case), but you'd probably be better off making sure you have good liability coverage and skipping that $800 expense per property.

If the actual construction is to code (within setbacks, lot area coverage %, etc.) this will just be a minor headache.

They should be able to write you a proper policy that provides you AND your LLC with liability coverage as well as coverage for the structure itself.With regards to taxes, will I still be able to deduct the loan interest from current loan even thoughI will have a new loan for my new residence?

Veronica if by BK you mean bankruptcy than you need to know that it will remain on your credit report for 7 years and while you may be able to get a mortgage after 2 years your interest rates will be advesely impacted as well as your insurance cost for both auto and homeowner coverages and auto loans.

Cost Assumptions Strike Price $1,050,000 Property Value $1,281,293 (Improvement $1,030,429, Land Value $200,000, Accessory Value 50,863)Closing Costs $31,500 (3%)Cash in $346,500 ------------------------------------- Financing Assumptions Downpayment 30% Finance Amt $735,000 Downpayment Amt $315,500 Interest Rate 6.0% Mortgage (Years) 20 Mortgage Payment $63,189-------------------------------------- 40 Unit Mix18 - 2 Bedroom 1 Bath Townhouse 8 - 3 Bedroom 1 Bath Flat 14 - 3 Bedroom 1 ½ Bath Townhouse -------------------------------------- Revenue Assumptions using current rent rollGross Potential Income $292,920 Gross Operating Income $263,628 (10% vacancy)Actual Income2012 $251,0002011 $282,3782010 $271,791-------------------------------------- Expense Assumptions50% rule $131,814Actual Expenses2012 $166,2452011 $144,8252010 $142,500-------------------------------------- Cash Flow & ROI Net Operating Income $131,814Capitalization Rate 12.6%Monthly CF Per Unit/Door$142.97 Break-Even Ratio74%5 yearsCOC Return (CFBT/ Acq Cost)20%Debt Coverage Ratio (1.5min)2.09Principal, Interest, Taxes, Insurance (PITI)$96,462Ratio (1.2min)2.73Need to also get a good walk through of the property to gain better insight into condition and any deferred maintenance needed right away.Its not a steal of a property but a decent deal and from what we found out so far a lot of it has been updated in the last 3-4 years.

And to further cover the bases I make sure the borrower provides me with an extended coverage title policy so that there will be no nasty surprises if I ever do have to foreclose.

Information overload seems to be my problem.I guess that's what makes some gurus packages so attractive (specifically Sean Terry's Fip2Freedom Academy) because it seems more step-by-step and comprehensive than a forum.

I'm not sure that is totally true, it may be they don't want to issue coverage knowing the circumstances.

I am out of state, so what insurance coverages would be recommended for house in Texas (Keller, Fort Worth).