Apartment - Cost of Insurance?

Question

Hi, does anyone have an estimate for the cost of basic insurance on a 24 unit apartment complex - worth around $600,000-700,000 built in mid 1980's, concrete foundation decent condition (B-C Grade)?

I know this number will vary greatly depending on a lot of factors, but I'm just looking for an average and ballpark. Thanks!

Brandon Turner · Answer

Hi Jon,

Well, welcome to the world of RE investing. My goal in all this is the same, to create passive income enough to not have to get a "real job". This is the only job i've had that I loved and I could invest in real estate as a career the rest of my life easily.

Good luck on your adventures, keep us updated on Bigger Pockets how you are doing.

Jon Rood · Answer

Yes, I just purchased Feb. 2010. I used the advice I found on here to evaluate the deal. I am a complete newbie to REI. I currently own an excavation company and I'm looking to build a portfolio for passive income. I am not sure how passive this income is going to be but time will tell. I am lucky enough to have cash to buy my properties with, so with that and my reading on here, I should be able to make a go of my 2nd business. What are you trying to accomplish?

Brandon Turner · Answer

Thanks jon.

Just out of curiosity, is this an apartment you just purchased? I'd love to know your story/details if you care to share.

Brandon

Jon Rood · Answer

I just bought insurance on 36 units, $900k value. 2m liability. 13k annual premium.