Not homeowners insurance which is designed for owner occupied properties and include other lines of coverage like personal contents and jewelry watches furs etc.

No one is going to say anything or come confirm that you're still living there. 

You should be able to reasonably rely on a local real estate professional, but certainly confirm with the local planning & zoning department for inking any deal.

The basement is designed to be finished with all of the rough pluming, private walk-out stairs, and several egress windows and the finished portion will be roughly 1700 sq ft. 

That would suggest things like Section 8 properties or Opportunity Investment Zones that are designated by the Government.

She has not provided any documented information that allows us to confirm she can pay rent or anyway to track her down if she left one day.

I have proof from the plumber and water authority the second time I had water turned on I had both of them onsite to check it was safely turned on and confirmed I do not have a leak and that the damage was from the open valves of the washer.   

Working with a new contractor, I learned that I need to provide complete clarity on my designs.

Myself, I have almost 3 decades in the housing industry professionally, I have performed at the highest level of skill, licensure and quality in literally every single aspect of real estate from point of raw land planning and development, building design, build, renovation, remediation, inspection, investing, contracts, negotiations, deal engineering etc etc, I am ridiculously over-the-top experienced and qualified and that is why clients go with myself AND my team, it's not my beautiful Shrek like smile, it's my beautiful brain and decades of knowledge and performance because they know any issue that could come up, I have probably dealt with it 18 times before if not 180 and I can solve it.

In our experience, the #1 mistake landlords make when selecting a Property Management Company (PMC) is ASSUMING instead of CONFIRMING.