Wooden houses and Insurance

I could be wrong, but it is my understanding that you can not get a loan or insurance for a wooden house, at least that is what I have been told.
I would suggest talking to a bank and one or more insurance companies in the island.
Start with Banco Popular and for insurance see Seguros Múltiples. Ask for replacement coverage, huracane, fire, flooding.
There are a lot of humble homes in PR made of concrete in the 80k range.

Building a wooden house is cheaper but not that much, maybe around 25% less and your ability to sell it forward is less.

Well, yes, and on top of it I am not sure if VA will lend on wooden structures. It's just the concrete houses seem so cold to me where wood has character you can't duplicate.
I'm looking to be up in the mountains on some land so I think it just "fits" better, for me anyhow.