Verify that the contractors have a good track record and are licensed, bonded, and insured.

I don't know if this is the best way to go, but I also need to get insurance to cover my butt.

I don't think a title company would insure a property that has something recorded against the title like that.

Try to network about town because I’ve always been amazed at the number of people who work in mortgage origination or even people in insurance who know others.

I believe your insurance cost is low.

I am buying my first Buy&Hold property and I already formed the LLC to hold the property but I am little bit confused about the landlord insurance.

Get the deals going first, build some equity and cash flow, set them up with proper insurance and umbrella insurance coverage, establish proper maintenance and property management, then look into structures, entities and strategies for asset protection.Here, a diagram to help you on this path:

In the previous client's case he submitted for the three tax parcel's, but has to wait to make a sale until the building is demo'd because the title company won't insure title due to the existing 'encroachment' of a building covering the property.

Yes I know you will have liability insurance on the property however will it cover if you are allowing him to do this on your property or should he have insurance to cover the yard sales, or should there be some agreement in place before hand and if so what kind of agreement would it be. 

For the moment, I'm assuming that I would pay for flood insurance.