Property 1 cash flows $230/mo or $2,760/yr. per side. if you paid it off it cash flows $450/mo per side (after taxes and insurance) or $5,400/yr.

They are taking offers contingent on viewing property...just found out they pay flood insurance on the property so not sure I want to get in to that....lots to think about!!  

The building is currently insured and occupied so someone is willing to insure it as is. 

Insurance.

Were Groundfloor to go out of business, any uninvested funds on hand are FDIC insured and held in your name, not ours.

Seems late for a mechanic's lien issue, especially if not addressed by title insurance before the sale. 

For government loans, this is typically lower however, you would have to pay a premium up front and carry the insurance for life.

I would keep some cash for emergencies, insurance deductibles, etc.

When considering owner-occupied, you have an option to choose an FHA loan at 3.5% down payment, however FHA does require two separate mortgage insurance fees, which could make the deal less desirable.

Those requirements are: Reserves savings over 10%, No litigation, no one party owns more than 10% of the total units, low renter and high owner concentration, and sufficient insurance.