I know a lot of investors from the west coast in California and Seattle, WA are investing in the midwest due to the strong cashflow and appreciation.  

If you collect the 10K from the renter will you reimburse that 10K to the insurance company?

.... review the borrower's exit strategy! 

Find a knowledgeable and trustworthy broker in your market that can shop amongst the various providers and find you the best deal while still making sure you have the protection you need.

I just know that when we had french drains installed around the house foundation and redid all the drainage systems in the yard they were 4' deep and they made sure that the slope was sufficient for the task.

Prior to going pending the power is about 90/10 in favor of the seller after it’s us.

I am renovating a walk out single family home to have a separate legal unit in the walk-out basement. 

The big thing is to get started with a good, quality property.

How's the cashflow going so far?

Man, thats awesome, I would love to start buying at PreForeclosures, how did you find the lender?