Insuring properties *near* a board-up?

[Chris Oei]

Hi all.

I'd read in a book (The Section 8 Bible Volume 2), that insurance companies might be reluctant to insure a property that's too near a board-up, due to increased risk of fire or other problems.

Recently, I found a condo unit that I was tempted to bid on, but it was right on top of another condo unit that was boarded up. I figured if I bought the property and couldn't get it insured, it would be pretty useless to me as an investment property.

Can anyone confirm this insurance problem actually happens? I'd hate to be missing out on possibly good deals due to something that just doesn't happen. I'm thinking specifically about the Las Vegas market, but I'd be interested in anyone's experiences anywhere in the U.S. I know I can call insurance companies and ask them (and I will), but I'd very much like to hear from people who've actually been in this situation.

Thanks in advance for any help,

Chris