I know the loan process would be a lot different since it would be commercial, I wasn’t sure if that would be harder or easier, it would also change the insurance on the property.

This will insure title/permit searches are done properly and updated prior to closing.

Total Insurance Estimate $ 262.50 Current rent $ 800.00 $ 9,600.00 $ 10.40       $ 21.88 Less: vacancy allowance - 10% $ 40.00 $ 480.00         Net Rental Income $ 760.00 $ 9,120.00   Property Taxes 2.5264% $ 505.28 Plus: Other Income $ - $ -         Total Income $ 760.00 $ 9,120.00 $ 9.88                 EXPENSES         Property Management $ - $ -         Repairs & Maintenance $ 100.00 $ 1,200.00         HOA $ 250.00 $ 3,000.00         Advertising & Legal         Insurance $ 167.00 $ 2,004.00 $ 2.17         Total Expenses $ 517.00 $ 6,204.00 $ 6.72                 Net Operating Income (NOI) $ 243.00 $ 2,916.00                 Less Debt Service (PI) $155.06 $ 1,860.72 $ 2.02         Less Property Taxes $ 42.11 $ -                 Net Cashflow $ 45.83 $ 1,055.28                 Operating Expense Ratio 68.0% (Total Expenses/Total Income)               MORTGAGE INFO         Total Loan Amount $ 20,000         Type of Loan Seller Financed         Term (Months) 240         Interest Rate .07         Down Payment $ 2,000 10.00%         Monthly Payment (PITI) $155.06                 Purchase Price $ 75,000         Closing costs $ 3,000         Rehab $ 7,000         Total initial investment $ 85,000                 LTV 27% Loan Amount/Purchase Price         Cap Rate 4% Annual NOI/Price         Cash-on-Cash Return 146% Annual before-tax cash flow (i.e., NOI)/Down payment    

My question is how to determine the proper amount of walls-in insurance to carry. 

Two urine soaked mattresses, a destroyed couch, hopelessly soiled rugs and towels, broken plates, furniture, etc, etc.Between the damage and the lost income we’re out about $6k, not enough to file an insurance claim and make it worth the possible rate increase after the deductible.

You will require another job to insure you continue to qualify for future financing and support your lifestyle.

At first I thought no, because he brings the contracting to the table and has relationships with subs but, I've done the self prepared DM marketing campaigns, taking phone calls, building rapport with prospects to sellers, finding the deal, building our team (lenders, title, insurance) for the past 6 months, and did not get paid for any of that work.

As I look to understand the economics of a deal I'm pursuing, I wanted to get recommendations for good multifamily insurance agents in North Florida.  

Your 401k would have to pay those assessments just like it would pay other expenses such as property taxes, property insurance, etc.

Make sure your insurance coverage covers your total value replacement and not the loan balance.