It's come time for me to sort out my insurance and I thought I could set it up on monthly payments and this might be a good way to help me start building a credit rating, but it seems that in general, insurance companies won't report to credit agencies unless it's negative. 

I couldn't convince her that the contract required them to pay HO Insurance & RE Taxes, but since I felt they couldn't or wouldn't pay the Homeowner's Insurance or the Real Estate Taxes, I had paid them for all of this time.

Another thing to keep in mind is if you need to refi to get money out in a couple years in the future for your next down payment there is a big possibility you will be doing so at a higher interest rate.If you pay more down you are not reducing what you are paying monthly just shortening the number of payments in 25-30 years.It looks to me you are in a growth stage and having a stable predictable property with more debt (paying off at a regular rate).

I have purchased a Tax Cert in Alabama and have some questions on the insurance aspect.

Title insurance, various recording and delivery fees, etc. make up for the rest.By 6%, you are referring to agent commission?  

You'll run your numbers based on taxes, insurance, repairs and cap ex once you get rent rolls. 

It sounds like a great deal, because it would a company actually leasing the home (I'd imagine very stable from that perspective).

Backed it up with a commercial insurance policy that includes a homeowners policy and $1MM general liability.

I discussed my position and explained that if everyone expected payment for an inconvenience then every tenant would insure an inconvenience every month.

My question is, do I need flood insurance in addition to my normal home insurance?