Even after fines and penalties are issued, they refuse to accept responsibility and want to charge additional fees to correct their own errors.

I ran into an issue with insurance on one of my properties.House built in 1880, 5 units with another in a semi-detached house that has its own address.Insurance before purchase was a bear but I finally got Auto-owners to cover it.A year later they reviewed it and oops your electrical is not up to code and now I have to spend another $30k to fix it or they drop me.If it was only 4 units then it was likely that Foremost would have covered it with a rider.

This is really disappointing because I am ready to purchase another property today but will not get approved or have horrible loan terms due to a 640 credit score.Does anyone have any recommendations on how to remediate this issue?

Shouldn't have any issues converting it over to RD R-2 Medium DensityResidential District and can build 3 quadplexes on it. 

Insurance doesn't cover maintenance related issues or "wear and tear."

These type of issues should be disclosed when the Appraiser first makes contact.5.

It sounds like you have a contract, but my guess is that it wasn't clear enough, and didn't cover some of the potential issues that could arise. 

If so, that could be an issue...Fannie/Freddie have a limit of 10 conventionally financed properties. 

I own and manage medium term rentals with neighbors who will call us if there is ever an issue and have even helped my guests when they needed it.

The fourth thing is to vette the property knowing liens against the property, zoning, environmental issues like wetlands, flood zone, availability of utilities, condemnation, code violations, and more.