Insurance
Purchased a property that needs major renovations. Can anyone recomend an insurance company?
Also does anyone know how much money i need to spend a month here to use the search button?
Purchased a property that needs major renovations. Can anyone recomend an insurance company?
Also does anyone know how much money i need to spend a month here to use the search button?
On insurance, start making calls, depending on your area and the carriers number of already carrying non-owner occupied...
I would try state farm first though, they've been good with my stuff
[addsig]
Foremost, home office in Grand Rapids, has policies specifically designed for the rehab investor. AMIG (American Modern) is another such company. Check with your local REIA group for Agent referrals...
Best regards,
Tim[ Edited by norrist on Date 12/04/2004 ]
Thank you i will check Formost on Monday.
Quote:
On 2004-12-03 18:40, ray_higdon wrote:
On insurance, start making calls, depending on your area and the carriers number of already carrying non-owner occupied...
I would try state farm first though, they've been good with my stuff
Hi Ray,
Are you saying State Farm will insure vacant properties that are being rehabbed?
My State Farm agent said they'd insure me. However, it would take 8-12 weeks before they could get to it. I told'em no thanks, and went with Foremost.
mistahkg, depends on the amount of rehab, I've never tried with something that was a total wreck, but I've used them for smaller rehabs NOO
[addsig]
I'm looking at a rehab that needs a ton of work.
My State Farm agent told me they won't touch it.
[addsig]
Don't know if this will work for you: We wound up just taking a bigger HELOC loan and buying our major fixer-upper with cash. No insurance needed - until after all the repairs were done. It needed major work - floors, walls, electric, everything. Once it was done we took a mort out on it, paid back our HELOC, and got insurance without any problem.
LadyGray,
Make sure you have some sort of commercial liability protection...
What is commercial liability? I don't know a lot about insurance yet.
Make sure you read the fine print or at least deal with someone you can trust to tell you the truth.....you need COC (course of construction) coverage to make sure you are covered for theft & vandalism, most policies don't have this built in even though agents and companies will make you feel like you are completely covered.
Good point, Ryan...
LadyGray,
You need to make sure that you have protection in the event someone gets hurt at the property. I termed it "commercial" liability, because you do not want to tie-in your personal liability to a rental, rehab, etc...
This article should help:
http://www.thecreativeinvestor.com/modules.php?name=News&file=article&articleid=438
Happy Holidays!
Tim
Would I need that liability protection even though we are doing the repairs ourselves?