Also, get in writing from the agent that the carrier is aware of the knob & tube. 

This is usually a large red flag, as with most upfront fees before closing.

Thanks so much for flagging that!

I have no idea how hard it would be the split the parcels with an easement/flag lot/etc.

Is this a red flag or par for the course when you're trying to buy properties well below market value?

Offering a landlord a bribe is a huge red flag.

Welcome @Debbie Farrell   Don't be surprised if you are flagged for advertising-  this isn't craigslist.  

I agree with @LaDonna Smith  - red flags, peace out. 

In most cases it's a 4 or 5 unit or a property title that is not in your personal name;  LLC, trust, partnership, etc.If you have the duplex titled in your personal name, 99 out of 100 insurance companies will write a duplex as a homeowners policy, avoiding the need to supplement with a renters policy for you and your wife.so either your agent is new in the business or the insurance carrier has odd underwriting guidelines.Call a few local companies who write personal lines insurance and just ask how they would structure your policies.  

Major, MAJOR red flags.