Emergency Raze & Remove Notice :(
Earlier this year, I purchased 5 duplexes in Milwaukee metro in a package deal. The buildings were inexpensive $96K for the package and all together they needed less than $20,000 in repairs.
I took a $100K HELOC to purchase the package.
I procrastinated in getting insurance since it was expensive and I thought to myself, I'll eventually get insurance once they are occupied and I have cash flow.
Today, I got a call from the management company and a city inspector; there was major fire in one of the buildings that was already occupied and the city has issued an emergency notice to raze and remove in 2 days.
I spoke with the inspector and was told the fire damage is extensive and the building is unstable and considered a health and safety hazard to public. The city will demolish the building and the cost will be charged as a tax lien against the property if it's not done by Saturday 12 PM! He estimated the cost between $10K-$20K.
I'm devastated with the loss and relieved that no one was hurt and very grateful to all the firefighters who put the fire out.
I have a long day ahead of me. The property management has to locate the tenants who were displaced, to recover any personal belongings before the city demolishes the building. Then I have to figure out what to do with the tax lien on the property???? which will be just a vacant lot in 2 days.
I have great credit and can't let a tax lien ruin it :((
I need your advice on how to handle this situation. I don't have $20K sitting around to pay for the demolition of this building.