Also, thanks in advance for reading all this...Asking: $195,900 (obviously I try to get it for less, but I start with this price and see where I am)Rents: $600 - $650/m per unit (estimated)Taxes: $2,210/y (2016)Insurance: $2,000/y (estimated)Maintenance: 10% = $240/mCap ex: 10% = $240/mManagement: 10% = $240/mVacancy: 5% = $120/mMortgage: 30 years at 5% with 25% down = $790/mMoney borrowed from a HELOC = 20k = payment $100/mSo...Gross Scheduled Income = $2400/m ($28,800/y)Expenses = $14,290 (tax + ins + maint + cap ex + mgt + vacancy)Net Operating Income: $14,510 (GSI - Expenses)Debt Coverage Ratio = 1.9 ((GSI - tax - ins - mgt - vacancy) / debt service)Debt Service = $9,480/y + $1,200/y (HELOC)Net Income = $3,830/y OR $319/m which is $79.75 per unitHow does this look?

Honestly, if you are not talking a $1M+ commercial property and/or not trying to protect multiple millions in assets already owned (you don't have to answer that), then you are likely much better off just buying the property under your name and taking out a sizable ($1M or $2M coverage) umbrella insurance policy to protect you.

Just like any skill in life, learning how to manage your family's finances takes time and effort and they don't teach personal finance in school (which is beyond comprehension but that is a conversation for another post).My recommendation would be as follows:1 - Figure out your monthly burn rate (how much you spend)2 - Set aside liquid reserves equal to 6-12 months of your burn rate (more if you are self-employed, commission-based, have unstable work)3 - Contribute to 401k at least equal to the employer match4 - Research Roth IRAs and, if qualified, this may solve both investing excess funds and saving for children's education as Roth distributions can be penalty and tax free for qualified education expenses (and other qualified distributions)5 - Regarding what to invest the Roth, 401k, or a regular brokerage account in, you can learn how to come up with a diversified handful of low cost index funds (or ETFs) that are easy to purchase and manage.  

I can't really help with any rental advice since this ($600K SFR) space is way outside my competence and, really, comprehension. 

Maybe the answer is right there in a policy the board created.I also recommend getting in touch with your personal insurance company (contents and alterations coverage), which I assume you have, even if you didn't mention it.  

The post from @Brian Eastman provides a comprehensive response.

You probably also need coverage for the Operations.  

If we were writing coverage for someone with Knob & Tube wiring we would have use an Excess (aka Surplus) Lines Insurer.  

I don't know what the coverage of the policy is but I will add in some more to the numbers, thanks.In regards to capex and repairs, the building is in great condition.

@Patrick Philip can you expand on the specific coverage your HML is requiring?