My first home purchase will be a house hack and I’m having trouble locating an insurer.
Details of property:
Ground floor is a hair salon
Other two units are residential
I will live in one of the units
I can’t understand why this is an issue to insure. Any insight or recommendations of brokers/insurers?
You might have to find a commercial insurer because of the salon. What kind of loan did you get? Did your agent or loan officer have any recommendation for you?
Stephanie - are you purchasing the property under your personal name or a separate entity?
I would be glad to chat. Need creative underwriters that are not stuck in a box. Have a similar client, so I think I can help with some ideas.
Regardless of the entity (individual or corp) owning the building, it will most likely be placed with a commercial insurance carrier due to the hair salon. But there may be a "weird" carrier out there willing to write this on a homeowners policy, but those are rare nowadays.
@Stephanie Barthelemy here are some of the reasons you are running into an issue.
If you are using a loan structured for a primary residence, that loan requires a Homeowners insurance policy, not a commercial insurance policy.
Most Homeowners policies will not insure a commercially zoned property or one with a retail storefront open to the public.
There are many insurance carriers willing to insure this, but it would be under a Commercial policy, not a Homeowners policy.
Good luck with it.
I have heard good things about Ben Guttman from Baltimore who already responded.
@David Bermanski thanks!
Thank you everyone for being willing to help me. We found a great agent to help us get insurance. I really appreciate your generosity.