This site is the best and I'm in awe of all the kind investors willing to help. Im curious what to expect for property insurance premiums. I'm looking at single family homes to buy and hold in the Columbus, Ohio area. What is reasonable for an insurance policy for an $80k house with 3 beds and 2 baths. Is $1000 a year about right?
Depends on coverage options and deductibles, but $1000 is likely on the high side, assuming an occupied rental. So when builder your pro-forma, you'd be more than safe to use that figure.
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We pay about $35 a month for fire coverage. PM me if you want my agent's contact info. They keep me legal for less :)
I pay around 500 to 600 a year. It has saved my but once. Once I got it raw with vacancy clause.
Be careful to not over cover your self but be careful to match the coverage to your risk tolerance. Take some time with the insurance guy. Then compare him to another one.
I'll probably try to call @Tracey Marzich myself to see what she has going on.
I work with a guy named John Maggliocca. 7245358835 He is from PA. But I get ALL my insurance threw him (except for 2 cases where it made the lender happy, respect our lenders righ). He is very patient at explaining things to me and he is on the core team I've build to work with my wife for when I die, my A team).
Good luck with it!
As a side bar our property values are pretty low. I'd love to hear from you @Philip Cutting and am going to call your insurance guy as well.
I have 3 policies on rentals in columbus. You can PM if you want specific agency I work with but we'd need a little more info to understand the house. age, location, size, and cost of replacement are all major factors for insurance, unfortuantely your purchase price doesn't matter too much! :D
Jeff, couple things to keep in mind when buying insurance. The difference price wise between a basic fire policy and a DP3 which is what I would recommend getting is around $10-15 more. However the difference in coverage is huge. Also make sure you have loss of rent included in your policy. If you have a bad claim that result in having to move out the tenants your insurance company will pay for each months rent while you get the repairs taken care of.
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