In this scenario, if you DON'T get an earthquake policy, you get a bit extra in cashflow, but if the house is destroyed by an earthquake, you owe 400k on a pile of rubble...for some smaller investors, I'm guessing that could be enough to bankrupt them (particularly if that scenario happened across numerous properties...if, for instance, you ended up owing 1.5-2 million on 3-5 properties that were all turned to rubble, I'm guessing that would be game over for most smaller mom & pop investors who tend to have 3-5 properties). 

I am still fairly new to the professional investment game but I have only been able to find good deals in SoCal thus far.

If you assume that most people end up making nothing in this game, you're usually right.

A novice in this game but wanted to get some perspective on thoughts around the Miami market, specifically for wholesaling.

That really does change the game!  

@Charles Cathey  in my opinion, it does not really matter at this stage of the game. 

Below I tried to give a brief overview of my current learning curve situation, as well as my game plan. 

Was a student athlete so you can imagine what it was like having school, practice/games (events I was a track and field guy) and then work.

The only downsides of this are 1] if your existing income can't cover the new, higher, payment, you will have to eat some of your see corn every month, but with rates the way they are today that's a relatively low cost. 2] A more pressing risk is that all that cash in the bank will burn a hole in your pocket and you'll feel pressure to buy a sub par rental just to get your money in the game. 

That's a numbers game, as you might have to reach out to 100+ landlords before finding one that will take a chance on you.