Estimating insurance cost on multifamily in Ontario, Canada
I've been learning all I can about analyzing apartment buildings. I even bought Michael Blank's syndicated deal analyzer (SDA) which I find very helpful. But a lot of the information in there doesn't always seem to translate to Canadian prices. For example, the SDA gives a rule of thumb for insurance on an apartment building to be 0.007*sales price. I have gotten a few marketing packages to practice analyzing deals with and the insurance costs are always higher than this rule of thumb, sometimes almost double. Now I'm not sure if this is just because the owners haven't shopped around for insurance in a while, or if its because insurance is just higher in Ontario.
Is there anyone who invests in apartment buildings in Ontario, or provides insurance on apartment buildings in Ontario who can help me out with a general rule of thumb for estimating insurance? Right now I'm assuming it will be the same as the owner, but sometimes it seems really high and I'd like to know if that could be an area for a quick decrease in expenses.