We still have our old house as well as my mom's house (she is now in assisted living). Both vacant, both for sale.
I was shocked the other day when my insurance agent called and said they (State Farm) were dropping coverage on my old house because they found out it was vacant. Duh, took them long enough to realize, since I have the new house insured with them as well. Anyway, really pissed me off because I have had insurance with them for 22 years, no claim. Apparently this is quite common. There is a clause in the policy that they won't pay on a vacant home anyway, so I guess I was paying the premium for no reason this past year.
So, a warning to anyone who has a vacant house. I guess I will put an alarm system in so that no one can break in and rip it up to steal the copper pipes in the walls. Hopefully it will sell soon, but not the best time to have houses for sale.
John has always been the case, tucked away in the fine print
Insurance companies are happy to take your cash as they assume you have both read and fully comprehend every inch of their gobly goo!
Have you checked with them if you have an operational monitored alarm system in each of the the vacant houses that you would then be able to get coverage?
RADU
If there is a mortgage on it you best act fast.
Once they find out there is no coverage they will sand bag you giant time.
It happened to me twice.
Out of the blue I got hit with an mortgage bill well over 4 times the current payment. They just went and added full coverage and billed me for it. It went from $400 to near about $2000. ... and they wonder why this unemployed guy couldn't hang on and now I'm a statistic...
Cannot find someone to rent the house to, or just don't want to?
What about a vacation house? Seems like you could get insurance on something like that. JRL
I had several requests to rent-figured it would be harder to sell that way. Unless I could find someone who would rent with option to buy (and was truly interested in buying), which is how I got that house in 1988.
I don't know if the mortgage company would freak out-I owe little, about 1/8 of the total value. The lot by itself is worth 3 to 4 times what I owe. The other house (mom's) is free and clear, no mortgage.
You might consider a house sitter. Or someone to rent at a reduced rate. I have a friend who was able to rent a house right on a fairway at Harbour Town Golf Links in Hilton Head for $400 per month. He was fresh out of law school and had just accepted a job on the island.
The people who owned the house spent 6 months on their yacht and 6 months in Hilton Head each year. They locked up about half of the house and my friend had the use of the other half for a great price.
You may be able to find someone who would be flexible on a lease and willing to move out quickly if you get a contract for sale.
