IMO there is no good reason in your scenario to complicate an investment with a potentially explosive structure.

I can foresee however, an explosion in "Due on Sale" calls once there is a hike in interest rate.

Do you have extended coverage like Windstorm, Hurricane and Hail, Explosion, Aircraft and Vehicles, Riot and Civil Commotion?

Mostly quaint shops, medical and office buildings down "main street".Here's what I know now after a few days of phone calls and research....Only 8 units (the 9th one is gone -- fire, explosion, etc...)Price now $400K (better because one less unit, but still $50k per unit)Only one tenant is salvageable and I don't know the details of the rent yet (all the remaining tenants are being relocated by seller prior to possession -- this one lease is up in April)Property is owned by a non profit and is used for housing for people needing a little help (so no income to speak of)No expenses to speak of (at least for current owner because they are tax exempt and volunteers provide services for repairs when needed)Electric is not divided (don't know total yet but I would spend the money to separate and have tenants pay)Property was built in the 50's and remodeled in the 90s (I still haven't seen the inside of the units, but are housing mostly elderly couples that have been there for at least 10 years -- agent says I will be pleasantly surprised -- walking through on Tuesday with my general contractor friend)Advertised total square footage was pulled from tax records stating about 10,500 sq. ft for living space (so around 1300 per unit...

I purchased two last year that simultaneously had water explosions in the same month.

My rentals have policies that have one premium for "Fire and Lightning" then another for "Sudden and accidental damage from smoke, windstorm, hurricane, hail, explosion aircraft and vehicles, riot and civil commotion."

@Kyle Sutton,With the way phone numbers have gone since the cellphone explosion and telco breakups, area codes aren't very meaningful anymore as a locator.Even landlines in Puerto Rico can, for example, have a "Seattle" area code.I wouldn't be too concerned.

I will post the building explosion episode here too because there is alot to learn about being an organized Landlord before something goes wrong. https://www.straightupchicagoinvestor.com/podcast/episode-26...

Following this advice will help you to avoid explosions in your real estate investment aspirations.One final point, Ford Motor Company knew about the exploding gas tanks, but decided not to fix them because they wanted to save the $11.

An investigation revealed that the application of math without understanding how this extrapolated in the control system, significant errors were produced, that these errors were received and transmitted to the trigger creating an early explosion before reaching target.