Hazard Insurance On Vacant Properties...
I just obtained a rehab property (my first) that has been vacant (obviously). My insurance agent is unable to offer any fire insurance for the vacant property. He says insurance companies will not cover if the property has been vacant over 60 days. How do you guys get coverage for rehab properties? Please... need ideas.
Call around and ask for builders risk policy. Should be able to find several that will give you a quote. Get at least 3 I have had quotes range from $300 for a year to $ 1500. Keep looking till you find a good rate. Most lenders and hard money guys want a policy before closing
Good LUCK and HAPPY HOLIDAYS
Hope this helps some
Ted Jr
Yes you need builder's risk insurance. I've had a property that was vacant over a year with no problem.
My Farmers agent could not write a vacant property policy through Farmers but Farmers can write vacant and oddball stuff through a company called Foremost. If the property is not owner occupied policies can be spendy Im paying around $165 a month for a premium policy with vandalism coverage etc on a vacant property (higher risk).
I second the Foremost suggestion.
I just got a policy through Foremost http://www.Insurance.com. It was a little pricey ($136 mo.) but they were the only ones I could find that would do it and I needed the policy to close the loan....
That URL link should be www.foremostinsurance.com