For me cash not earning it's keep is not acceptable.If I were presently invested in SFHs, which I am not, I would be selling now at the present high of the home owner market and reinvest in multi unit/apartments.

Most HML don't want to follow those expensive and complex rules, so they just say no homeowner loans.

Personally I choose and LLC for all my properties.Of course LLC or not you need good insurance.

@Aram Velazquez Our primary house has only me on mortgage yet when getting investment property on my wife’s name, lender considered her responsible for 100% of Insurance and property tax (because title is in our joint name).

Is the home owners insurance covering the cost?  

*HOAs usually cover lawn care, sprinklers, lawn watering, siding and exterior care, insurance, and more                *This covers most of the exterior line items that you would otherwise have to address in a single family home.

You should also consider language as to what happens with taxes, insurance, escrow funds, etc...

The house is a foreclosure and is on the market for 100,000, taxes are 2,240/year…estimating that insurance will be around 1000/ year.

@Rashaad Harper Aluminum wiring is a big one because some insurance companies will not insure.

What insuance agency will insure a new purchase if the bathroom needs to be remodeled due to water damage?