I'm currently closing on my first flip house. Its a 1350 sq ft single family home in the Houston area and needs mostly cosmetic work. My hard money lender requires I have homeowner insurance so I started by getting a quote from my agent for my primary residence policy. He is offering a "Vacant Property Quote" which covers 80% of the ARV (ARV is 130,000) for the dwelling and $300K liability, 3 month term and it is fully earned, for almost $800.
This is my first flip, but this seems pretty expensive to me for a 3 month policy. Can anyone let me know if I'm looking at the correct type of coverage for a flip, and can anyone in the Houston area comment on the cost? Thanks!
I always carry Builder's Risk and GL policies. Usually costs $800-$1000 per project.
I'm sure you probably did this but use the search function, type in "insurance for flips" you should get hundreds of post. Disregard this message if this step has already been taking. Good luck!
Originally posted by @Alan F.:
I'm sure you probably did this but use the search function, type in "insurance for flips" you should get hundreds of post. Disregard this message if this step has already been taken. Good luck!
Hope you're doing well with your first one and maybe you're onto more now. Check with an independent agent that specializes in insuring flips. There are programs out there that are way more economical. I use Evergreen Insurance. www.trustevergreen.com. They have a very good program for flippers. Good luck!