However you are fined by the govt for not being on Medicare and insurance companies won’t cover you for expenses that Medicare should pay.  

The loan payment alone at 5% would be $1147, then you have taxes, insurance, maintenance, vacancy, etc to pay for. 

When looking at a property, insure that you are figuring 2% of assessed values regardless of what the current owner is paying.Understand tenant-landlord laws in your markets.

Closing costs for me average 4-5k this includes pre paid insurance and taxes

Insurance, taxes, mortgage, and park fee were $8500. 

Rent is $950, mortgage $512(taxes and insurance included) So, there is a good chunk of equity in that property.

If it's not the tenants fault, you can file for insurance or out of landlords pocket and not tenants responsibility.

You need to ask your CPA to give you a definitive answer to your questions based on your unique facts and circumstances.Other related issues you should also consider ... your hazard insurance  policy and your title insurance policy. 

The seller/lender Should set this up with a serving co. and escrow taxes/insurance just like a traditional lender.

I have a rental property in Connecticut with one insurer, my primary residency with another insurer, and a short-term rental property with another insurer.