The moment you start doing it for compensation you need a license.

Two qualities that I lack at the moment. 

It is generally 2-3x more expensive that a homeowners policy.I have 3 open rehabs going on at the moment, and I’m paying $1,200-1,700 annually on each of the policies. 

At the current moment I have 5 other properties (5 separate loans) with not much equity tied up in them since they were all purchased within the last 4 years.

After we’ve done a few deals with the mentor we would like to rehab and hold the properties.We’re looking for an outside perspective to shine some light on our situation.

I'm not in the market for a prefab at the moment but I try to be knowledgeable about all of my options.

@Don SpaffordThis IRS link should answer your estate tax return question:https://www.irs.gov/businesses/small-businesses-self-employed/deceased-taxpayers-filing-the-estate-income-tax-return-form-1041As to the step-up basis, it happens at the moment of inheritance, regardless of what happens later.

At the moment, I am getting an MLS feed through a realtor that helped my family with the last several homes and I will start evaluating properties with a very basic spreadsheet calculator I created.

Getting emotional or caught up in the moment can get you into trouble.

I know the increase is large, but I feel like this will be a telling moment for them.