It helps them mitigate the loss by being able to do shorter terms or mo to mo leases incase the rebuild (or in some cases, just clean up efforts or water damage repair etc. doesn't take that long...it gives them options). 

Obviously that’s the best “cure all” that I have a phenomenal summer and I can knock out a big chunk, but I wanted to see if there was another way to mitigate using equity. 3) Agreed, personal loan is a route but the rates unfortunately aren’t that much better than the cards. 4) Absolutely need more snowbirds…anything to pick up bookings.  

I've had a few contractors offer quotes for installing push piers and lifting the house... all for over $40k, which to me seems like a huge cost for leveling, which won't really even be noticeable (although I understand it will mitigate any future settlement and further damage).

It comes down to the due diligence part to mitigate risk when using leverage.

@Jerome KaidorI think @Jay Hinrichs was speaking from the point of asset protection and risk mitigation.

Adequate risk management strategies are essential to mitigate financial risks.Property Performance: Maintaining a healthy DSCR ratio requires diligent management of the property to ensure consistent income generation and control operating expenses.In conclusion, DSCR loans are a vital component of commercial real estate financing, offering both opportunities and challenges for borrowers and lenders.

This is assuming that there is no other way to mitigate this situation.

Taxes can be problematic in the area, but one way to mitigate that is by finding a property needing renovations that would qualify for tax abatement: https://www.columbus.gov/devel...There's also lots of solid areas to target, too many list, and fewer to avoid.

Getting smoke odor out of a home is nearly impossible  Months later, the smell of smoke remained despite attempts to mitigate and eliminate this odor.  

Apparently a measure to mitigate re/building in high-risk areas?