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Posted about 7 years ago

ACV Roofing Insurance Claim or Tight Roofing Budget

If you are on a super tight budget, and if you got ACV type of insurance because that is the cost effect method way dealing the properties for you, then I have a solution for you when it comes to roofing. It is so disheartening when people find out the meaning of ACV insurance. Unfortunately, that is the insurance a lot of our veterans get.

This solution is especially really workable if the person who owns the property already brings in cash flow. Roofing and other property maintenance tend to become an issue when the person owns multiple properties; because you a bunch of ACV insurance claim checks, and none of them cover the total damage and now you may be told fix it or we will drop you. (Be careful not to file too many claims, getting what insurance companies sees as too many properties and debt the insurance company will drop you.)

I have seen situations where it's hailed in the DFW area, and the person may have properties in Arlington, Plano, Garland, etc. Even the properties got approved, but the ACV insurance is not going to cover the costs of the repair.

When it comes to roofing there is a solution that is not there with a lot of other repairs. For example, if electricity is not working, it is an all or none situation, you either have it or you do not there is no middle ground.

Roofing and many other types of repairs are not like that. If you have a roof that is not leaking but you know it's in bad condition and you know it's going to need to get replaced rather sooner rather than later and suffer even more expenses it's better to get the roof fixed in the following way.

Lets us say you have 35 square (3500 square feet) roof rental property. You can fix the roof 10 squares at a time (monthly if the income is monthly). So you can do 10 squares in January, 10 in February, 10 in March, and 5 in April. If the roof is leaking, you can get the leak fixed first and then start the month to month breakdown. This is true with most roofing systems like composition shingles.

Now someone may ask, well why do I not save the money and do it that way. Yes, quite logical indeed, however, it is amazing how irrational we are, and it is just not that easy to save anymore as the good days gone by so it's better to just get started.

Let me break this down by a cost example. So lets there is a composition roof at $220 / Square (not the cost of our special club by far) for 35 squares, and you decide to break the work down by 10 squares. So instead of being paying $7700 in one go; you would pay around $2200 at a time. If you have a few rental properties and an ACV check from the insurance this may be a more of a workable situation.

Here are a few things to watch out for, you have to choose a color and type of roofing material that is available in abundant supply. Even the same color can have variations. It may or may not look too good to have a roof with variations of the same color. Make sure the company that does the roofing job is not a drive by crew, that does not answer the phone after doing the job, because they will think you have called to complain and will not come back. (If you want crew like prices, but a company like warranty and service, call us !!). Make sure the crew does not leave any part of the roof open, as one can expect it to rain anytime during any month. I have seen 1000s of dollars of damage because the crew did not close off the roof properly.

I would not recommend to do less than 5 squares per month ($1100/month from the example above).