It won't pay me back for losses as windstorm insurance is what will cover me in a total loss situation.   

As far as I can tell I've got identical coverage on every property.I talked to my contractor ,who has built houses from scratch, what it would cost to rebuild these in the event of a total loss situation and he said that $200,000 is the max on all of them except the all brick 1750 sqft one...which would be closer to $250,000. 

I am learning all the newbie lessons in one deal, this seems like a crash course of things that can go wrong while selling.If #@$ hit the fan, I don't know if the county could be held liable for having their records incorrect and causing me a loss, but that comes later.

I don't personally differentiate between my net income from rentals, my take home pay from a W2, or income from any side gigs - it all literally gets included as different classes on the bottom line on my profit and loss statement.For me, it just works better to think of every dollar spent today as three less dollars I'll have to spend tomorrow.

I got out of the stock market in 2009 after taking a $300k loss.

What I do know is that you can only charge them for actual losses.  

Let the agent and broker know that they are responsible for any loss.

To me, the guy isn't paying rent so the only damages might be with the loss of the stuff still inside the house.

In the event of foreclosure and ultimate sale, it's pretty easy to do so long as your loan was fully covered, what do you do for any loss, who collects first?

Hard money or whatever you are using to loan on the properties leverages, but it not only amplifies gains but amplifies losses as well.