Home owners insurance on a flipped single family home

4 Replies

Hi BP community! I wanted to reach out and get some advice about what type of home owners insurance you get when flipping a single family home. Been doing some research and coming up blank. Called AllState and State Farm and they will not offer insurance unless the property is occupied. Seems like I have to find an independent brokerage for this type of insurance. Any input or advice would be greatly appreciated. 

Thanks!

@Danielle Palleschi-Browne You really need a builder's risk insurance policy, or at the vary least a vacancy policy. Independent brokers are the easiest way to get one of these. Look into commercial insurance agencies as opposed to home owner insurance agencies.

@Danielle Palleschi-Browne there are insurance programs specifically for flipping. 

There is a single policy that can cover you during the phases of the flip;  vacant/rehab/vacant and rented if you will be holding it, without buying a second or third policy.

I will PM you the info.

@Danielle Palleschi-Browne I'm closing on a vacant HUD property soon, and actually got a quote from AllState. One takeaway was they don't offer DP1, and offered me DP3 with a much higher quote.

Foremost insurance, builders risk or "Basic three" policy. Vacant is more expensive than occupied. Just got several quotes from that company.

Free eBook from BiggerPockets!

Ultimate Beginner's Guide Book Cover

Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!

  • Actionable advice for getting started,
  • Discover the 10 Most Lucrative Real Estate Niches,
  • Learn how to get started with or without money,
  • Explore Real-Life Strategies for Building Wealth,
  • And a LOT more.

Lock We hate spam just as much as you

Create Lasting Wealth Through Real Estate

Join the millions of people achieving financial freedom through the power of real estate investing

Start here