Water Pipe Issue
Hello..
Earlier today we found out we had a water pipe bust inside one of our vacant rental units. We hadn't been there since a showing on thursday, so the water pipe burst sometime between then and today. We are guessing its because of the extreme temperature we have had here lately.
The entire bathroom is relatively shot. It's going to have to be torn apart, and rehabbed. The question I have is, has anyone run into this problem before..and is this something insurance would cover?...
The other issue surrounding this, is the property was taken over sub2, so the insurance is still technically in the person holding the mortgages name(with us as additional insured). I hate to get the original owner involved, as this was a distressed property, but I know I am going to have to...
Anyone run into this type of situation before, and the results?
Thanks,
Chris
A neighbor had the same thing happen -- washing machine water supply hose ruptured when they were away and completely flooded their house.
Homeowner's insurance is covering them.
Your problem is that you took the property Subject To and got the deed. In my opinion, the seller no longer has an insurable interest in the property. I wonder whether your "additional insured" status carries any weight if the primary insured no longer has an insurable interest. Do you have your own landlord policy in place?
Perhaps you should post your question in the Subject To forum.