Hi BP Gurus -
I have a 100 year old 4plex property in arkansas, 3200sqft total. Electrical and plumbing have been updated over the years. B, B- type property class. I’ve struggled finding many options for insuring it due to age.
The least expensive option and my current insurer is charging an annual premium that equals roughly 8.5% of annual rent, assuming 100% occupancy at current rental rates.
Does this jive with what some of you are paying for a similar property?
It really depends on where the property is, type of property and the insurance. Mine range from 2-6.8%. That includes condos and houses. I have houses and condos in two provinces and insurance in one province is a lot higher than the other. The policies are all with the same company. It is hard to compare as the values of the homes are also different. The insurance for the condos are the same (though one condo is worth about 3x the other), while the house insurance for one is double that of the other.
I have some older properties that run almost 8%. I don't think it's unusual at all.
Thanks Theresa and Nathan for your input.