Rehab Vacant Property Hazard Insurance
I am wondering if anyone has suggestions on vacant property insurance throughout the rehab period. I know it is generally higher, my last project was 250.00 for 3 month coverage period. Now, this is probably cheap compared to what others are paying however, I din't like the company I dealt with and they are essentially the only ones in my area who carry it. Furthermore, I was always left wondering if they'd actually pay out/or fight me if the dwelling had burned or etc. during the last renovation. Any recommendations on national companies to directly deal with??
On the advice of several people from here, I checked into Foremost. They seem to be the best ones around. They seemed reasonable to me. Are they the ones you used? If so, you might try going through a different indepent agent. If not, I'd be curious who you went through, since I'm not that far from you.
Thanks,
Jeff[ Edited by jblackwell on Date 06/29/2004 ]
Foremost is the best we have utilized from the Agent AND Investor's perspectives.
Have any of you guys tried using Zurich Builder's Risk Insurance? That's who I use right now.
John
Zurich's product is really better for larger or multi-family properties. Foremost's is very good with the single family rental...
Good Day to you:
When I buy a property I tell my agent that I am rehabbing it to be a rental. He asks how long do I think it will take, and I respond with the usual and customary 120 days. He says OK, call me when it is rented. If I flip it I call him and tell him that I decised to sell as I could get it rented. It cost about $ 40 per month to do this.
Good Luck and make $$$
Tom
Be wary, Tom, as many insurance contracts will have vacancy clauses that reduce some causes of loss and exclude others. Regardless of what the Agent does or doesn't tell you, READ the contract. If a claim occurs, it applies accordingly.
Best regards,
Tim