Property was a rental prior to this for several years (I confirmed with prop mgmt company that used to service the property prior to the Seller buying it.  

Otherwise you could be bogged down in red tape for several months.Teak is another discussion.  

Builders risk for physical property?

No one wants their animal to risk injury when out of a stall, but I feel like the dressage/hunter/jumper crowd likes turnout footing more similar to their arena footing whereas the stock horse folks are bit more comfortable with more natural footing in the turnouts.

@Dan Hughes as others have stated, many newer investors have been spoiled by low interest rates.You can still cashflow with purchases, but just like in the stock market, you have to chase higher risk investments to do so.That means lower class properties or riskier areas. 

Smith, RA - Principal Architect at Architect Owl PLLC (Licensed in NY & CT)  My engineer walks the site and meets with me in person and reviews all the plans, plus he makes 3 visits throughout the duration of the project to check framing, fire assemblies, etc. he's a structural engineer and would never take a risk that would lose is professional engineer license. we are hands on and he's local to my market.

- Risk tolerance?

I continue to hear from investors who want opinions on elaborate webs of entities yet fail to  establish appropriate risk management procedures.

It's extremely expensive because the insurance companies that sell it consider these policies to be extremely high risk.

I have an STR in Bakersfield (and several more in OC and Los Angeles) that I just got started on and so far it is doing quite well.