Luckily, he had coverage for the fee gap in his insurance policy but it was still a shock. 

I put in bids for 2/2s in desirable areas/resorts that were expected to gross about 65-70K and it was just insane: people coming in with cash, waiving appraisal contingency or providing gap coverage, etc.

With this in mind I feel that wholesaling would be a good starting point for me as I have little cash and would need to supplement my current income quickly.

For each property have her gather 1) does she have forced insurance (lender provided) on the property 2) what was last date of coverage. 

If the policy has Replacement Cost coverage the payout will be a two part process. 

The starting place is the Building coverage.  

The idea of being able to leverage my money >6.5 times using a 15% downpayment to buy single-family properties sounds like an appealing method to grow long-term wealth and supplement to my MFR portfolio.Finding a 1% property seems difficult in the several markets I have recently been analyzing. 

For property insurance, just make sure you have enough liability coverage.

Also, I'm starting to heavily favor negotiating for a home warranty coverage during the sale for investment properties since the warranty company covers (to some degree) many of the highest value systems of the house during the first year or two after purchase, leaving time to build up reserves.

There is also a gas wall heater that provides 50,000 BTU, but I thought it would be nice to have a wall heater in each bedroom for supplemental heat.