I was interested in this type of deal because I was living in the area for another year and needed to build equity as well as dip my feet into the real estate market.

Or find a deal first then market it to buyers, then offer on the house and create an agreement with the seller & buyer?

It has been on the rental market for about 55 days and the average in the area is supposedly 36.

In a highly competitive tourist market like New Orleans, I update my photos weekly. 

Good potential for appreciation/rent growth upside as well in the next 5-10 years in my opinion with the market still being one of the most affordable in the country.

Woah 13.85% even on an investment property is super high...I got a heloc at a 7.25% (this is variable with the market as with any HELOC) for an investment property.Talk to your local credit union.

Do you have any projections for what will happen with the insurance market for this year, or is it even possible to project? 

on the one hand, if you're happy with it, and you believe in this market, and this is what you wanted, great. the fact that you're asking the question shows that you're being thoughtful about it.with that said, it sounds like you're into the deal for almost $90K out of pocket, and so if you asked me if i would put $90K of my hard earned cash into a property to get $175 month, the answer is no. 

I have been very successful in helping clients acquire Airbnb homes and creating themes and uniqueness for their homes to be more appealing and marketable.