My heart was going 123144565465645 beats per second at that time.I am going to rent this house, and then refinancing again to repeat the process (BRRRR), and the numbers of this property are like this;Sales Price: $97,500Buyers Premium: 5% of sales price = $4,875Cash to Close: $102,375.00Appraised Value: $135,000Personally, I am more than pleased as I don't have to do practically any repairs, I bought at 75% of value, the area of this property is growing at an accelerated rate,  and it is in a great location making it an easy rental.

On our cosmetic upgrades, we spend about $5000-$7000/unit--and I would bet the premiums are very similar vs if you did a full gut rehab. 

It has a higher premium due to higher injury risk.

With fewer options on the table those looking for OF will pay the premium.

I am ok with that premium but $185K?

I find that option to buy tenants will pay a $100 to $150 premium in the monthly rent amount.

@Kevin Sapp not using the claim payout for exact repair the claim was made on is not insurance fraud.Insurance companies all have their own underwriting guidelines/tiers when it comes to how much additional premium to charge for previuos claims. 

also check with https://www.nationalfloodexperts.com as they are sometimes able to prove you are not in a flood zone or a lessor flood zone therefore changing your insurance premium. 

VA's are definitely cheaper, but I think the value of local callers is worth the premium you pay.  

Do you, the landlord, normally pay for some nicer amenities like internet and a desk to cater to students and charge premium rent?