There was also the issue of ever expanding landlord regulations in seattle,   and I have pretty much decided to gradually phase out my seattle portfolio.If the building was in a stable neighborhood it could have made sense to do the work it needed,   but given various circumstances including negative trend of that area of the neighborhood  (street camping and constant low level property crime) and townhouses replacing many homes in the area meaning the structure was worth zero and the dirt was worth everything,   it didn't really make sense to invest a lot in the existing building.    

However, I knew a bit of policy knowledge, estimate writing skills and how to reconcile the insurance estimate to well over their original settlement.

Even an umbrella policy. 

So, based on your risk tolerance/reserves you have in case there is a shortfall for a month+, you should be able to get an idea of how much you should take out.Another consideration is how much you would need for a down payment/repairs/reserves.

If you get a $120k payoff, $60k zeroes out the "Other Asset" and the other $60k is booked as "Gain/Loss on Sale."

If I change the policy to cover actual costs, policy will cost the triple or $5,000/ year more, which makes the investment have negative cashflow. 

We have a 41 unit apartment complex, and our insurance was about 12k per year for an ACV policy, but last year we were hit by a bad wind and hail storm which caused us to have to file a claim for the roofs and some AC units. 

Typically a few months.Process to actually learn how to sell....most people make zero, maybe 1 or 2 sales in the first full time year in the business.

One is a DP2 policy, the other a DP3 policy.

You can househack over and over if you have the tolerance for it.