All Forum Posts by: Brandon Johnson

Brilliant, what class of property are you seeking management for?  What do the rents range from?

@Tim Puffer

Thanks to all who offered advice here.  My existing insurance agent found me a solution in moving all of my personal policies into one commercial policy since I am now up to 8 units as of last Friday when I purchased a 4-plex.  This way I will be able to add and remove properties easily and at much lower rates.  Been wanting this approach and they decided since it doesn't look like I plan to slow down anytime soon that this was the right opportunity to change strategy.

Thanks,

Take action and I'll see you at the top!

Brandon

@Wayne Brooks @Luke Miller

Thanks for the advice guys, but the writer of the policy actually state it was because "the firewall did not extend THROUGH the roof."  That is not an expense I want to take on nor do I think the building would allow.  There are several other rentals in the development and I have reached out to the owners to find out which insurers they are using.

@Linda Weygant

Thanks for the tip.  Farmer's was actually one of my first calls before I created this post and they do not insure this type of property in my state and neither does their partner Foremost they offered to connect me with.

I'm not sure if has as much to do with the fact that I purchased in my LLC, but the insurance policy I had on the property gave me a cancellation notice because they did an inspection and determined the firewall did not extend through the roof of the building. Now I am having a good bit of trouble finding a policy for this unit. The one I did find was ridiculously priced.

This unit is parceled as a townhouse, but it acts more like a condo. The HOA insurance covers the exterior of the structure excluding the roof. My agent is now trying to find a commercial policy to fit the situation. It is currently vacant while I am renovating it and I am still trying to decide if I will attempt to resell it first or hold it as a rental. This insurance may be the deciding factor. Does anyone know why condos as rentals are so hard to insure and do you know any companies I should contact that you know write this type of policy?

Thanks, 

Brandon

Take action and I'll see you at the top!

Welcome Anthony! 

What is your local real estate group?

Take action and I'll see you at the top,

Brandon

Way to rock it Ehab! Keep up the hard work.

See you at the top!

For an overdue update to this post:

@Alexander Felice spot on. 

By mid June the AC was cranking out cold air!  I know this because as soon as they began using it I got a call to come check out some issues with it.  The condensate drain line had a break in it and was leaking into the kitchen through the return air vent coming from the attic.  Lucky location for it to happen for sure because it didn't do any damage.  I also noticed at this time that the duct to their master bedroom was not attached and this duct was just cooling the attic space!  So now they actually have AC in their bedroom too.

The end of the story is although they are from California where they may not have needed an air conditioner, they soon realized they weren't tough enough to bear the south Louisiana heat all summer just to save $40/month on the electric bill.  I don't know there are too many people who would endure that misery.

See you at the top!

Brandon

Good work man. That is creative finance at its finest!

@Jamon Stanton

It's at 6:30 on the 2nd Tuesday every month at Holiday Inn Express on Siegen. Register on Meetup.com at the RING.

Hey Jamon, come network and meet some new people at the RING meeting in BR Tuesday Sept 8.