The downside of an FHA is that upfront, you will finance 1.75% of the base loan amount in the form of financed mortgage insurance. 

An insurance policy on the members that buys out their share on death is a pretty standard method, for example.

Are you calculating for mortgage, taxes, insurance, repairs, vacancy, property management?

Purchase price is $38,500Rehab is $35,000Hard money loan points Insurance is $1600 for the yearElectric, gas, water bill was $1000+Property taxes- $2,600Arv $160,000Profit- TO be determined Lessons learned- priceless My first deal is about to be under my belt.

If that is also your goal you will find more stable tenants and consistent rent.  

what will be covered?

Also be sure to have both taxes and insurance escrowed to avoid a high price mortgage loan, or HPML https://files.consumerfinance.gov/f/201603_cfpb_tila-hpml-escrow_compliance-guide.pdfBob

When I factor in insurance and property tax my monthly expenses add up to $950.

Realize this is the historical norm and if the future behaves similar to the aggregate of the last 60 years this is by far the most likely scenario.Property is fairly stable: Tenant purchases and has some of the rent applied to the purchase. 

My day job is a commercial insurance broker (P&C) for a large multi-national brokerage.