All Forum Posts by: Rod Hanks

Not clear what the lawsuit was about, but rest assured if you are in this business you will eventually get sued that's just part of the equation.  A mentor or real estate agent won't prevent that. 

Hi@Blake Armstrong I'm in Dallas and it's pretty tough to cash flow in a lot of areas but it's still possible. I have a few of my personal rentals I'm selling to move into another asset class. Let me know if your interested in taking a look.

Hi Tammy, I’m not based in OKC, but we’ve got some great options there. Happy to help if you’d like a quote.

Most builders risk policies require work to be started within 30 days. You need a vacant property policy. Depending on your state I may be able to offer some options.

I'm pretty sure he won't be able to afford work comp or GL but that is usually what you want your GCs to have. In this case I would think you would carry the insurance costs for him since he's living on the property in exchange for maintenance work. 

If it's a light rehab we usually put our clients with Obie or Steadily depending on the State and area. If more extensive rehab we write a builders risk policy. So it really depends on your situation. Let me know if I can help. 

Hi @Keil Zepernick we have a few markets in GA. Let me know if I can help. 

We have several competitive markets we can shop your STR to depending on location.

@Arby Gharibian

Hi Arby,

What your lender is referring to is the coinsurance clause that’s standard on most commercial property policies, especially once you get into multifamily (5+ units). A true “no coinsurance” policy for a 6-unit is very hard to find because carriers almost always require it.

The way around this is usually to have your broker add an Agreed Value endorsement. That basically waives the coinsurance penalty as long as the building is insured to full replacement cost, and in most cases it satisfies the lender’s requirement once they see the policy wording.

I’d suggest asking your lender specifically what language they need to see. Many times they’ll accept agreed value or proof of 100% replacement cost coverage.

Often, when we see a request like this we have a conversation with the underwriter to get an exception or workaround. Let me know if I may be able to help.

@Troy Anthony

Hi Troy, Mid-term rentals can usually be covered under a policy that allows both short-term and mid-term uses. In most cases, this falls under a commercial policy that’s specifically designed for those types of rental situations. Standard preferred risk carriers typically won’t insure short- or mid-term rental properties, but we do have a couple of solid markets that can cover you properly.

I’d be happy to walk you through the options and make sure you’re set up with the right coverage.