Homeowner's Insurance For House Flippers: How To Make Sure You're Always Covered
Flipping houses can be fast and even easy money if you know what you're doing, but one aspect of the business that often catches these renovating entrepreneurs off guard is insurance. It's a home, so you need coverage, but it's nor really yours to live in, so what's a confused flipper to do?
Here's the lowdown on homeowner's insurance for the temporary homeowner:
Why Homeowner's Insurance Is Important For House Flippers
As a flipper, you may spend a considerable amount of time fixing up homes, meaning they're vacant for a while before you sell them. Insurance companies don't like it when a building is totally vacant, because it's more susceptible to vandals, such as graffiti artists or even squatters, who might temporarily …show more content…
Any nefarious visitor to your property is likely to inflict costly damage, setting you back. While no plan for protection is fool-proof, taking the following steps can deter unwanted guests to your property and might also secure you lower costs for the insurance:
Don't forget to retrieve any security equipment you use to protect one property, as you can continue to use it for the next home you buy for flipping while it's vacant too, further increasing the value of the equipment as an investment. It could also be tax-deductible for you, because it's a business expense, such as if you maintain an office on the premises while it's under your ownership, so check with your preparer come tax time.
You need to protect your investment as a house-flipper, but insurance isn't always the simplest situation to figure out. Bring your special set of circumstances to an agent or two, to get a good idea of your specific needs and how to fulfill them. Leaving any stone unturned could be very
Flipping houses can be fast and even easy money if you know what you're doing, but one aspect of the business that often catches these renovating entrepreneurs off guard is insurance. It's a home, so you need coverage, but it's nor really yours to live in, so what's a confused flipper to do?
Here's the lowdown on homeowner's insurance for the temporary homeowner:
Why Homeowner's Insurance Is Important For House Flippers
As a flipper, you may spend a considerable amount of time fixing up homes, meaning they're vacant for a while before you sell them. Insurance companies don't like it when a building is totally vacant, because it's more susceptible to vandals, such as graffiti artists or even squatters, who might temporarily …show more content…
Any nefarious visitor to your property is likely to inflict costly damage, setting you back. While no plan for protection is fool-proof, taking the following steps can deter unwanted guests to your property and might also secure you lower costs for the insurance:
Don't forget to retrieve any security equipment you use to protect one property, as you can continue to use it for the next home you buy for flipping while it's vacant too, further increasing the value of the equipment as an investment. It could also be tax-deductible for you, because it's a business expense, such as if you maintain an office on the premises while it's under your ownership, so check with your preparer come tax time.
You need to protect your investment as a house-flipper, but insurance isn't always the simplest situation to figure out. Bring your special set of circumstances to an agent or two, to get a good idea of your specific needs and how to fulfill them. Leaving any stone unturned could be very