I hate to break the news to you, but if you are in this business of real estate investing for long enough, it is inevitable that you WILL get sued. Sorry, but it is the reality of the situation! Between me and my company, we have gotten sued a handful of times over the years. While this is not fun to deal with, it is a part of this business. The best thing you can do as a real estate investor is properly protect and effectively prepare yourself for if and when you get sued.
In today’s video, I share a few ways to mitigate the impact of being sued, which include:
- Having a strong insurance policy in place
- Documenting all issues (we call them work orders)
- Being named as additionally insured by sub-contractors
I hope these tips help prepare you and lessen the impact of being sued!
I would love to get some discussion going! Anything I am missing? What have you learned as a result of being sued in this business?
Thanks for watching!