Why your last RE deal may not have prepared you for the next one!

[Joseph Feldman]

As a RE investor here’s something you should know regarding insurance!

Every location & property type has its unique insurance needs, so having successfully executed a deal elsewhere may not have prepared you for the next one!

Some helpful tips are to ask the seller for his actual policies (not certificates) and find out what your lender insurance requirements are.

The sellers policies may be totally inadequate to satisfy your lender requirements meaning that his costs won’t accurately reflect yours.

So don’t just rely on that number on the OM, dig deeper!

While you’ll always need GL and Property,

Here are some of the differences you may find based on location and/or lender requirements,

You may need these policies you didn’t need before.

- Flood policy

- Umbrella policy

- Environmental Liability policy

You might also see coverage differences needed on your policies like the below.

- Earthquake coverage

- Ordinance & Law coverage @ 100% of value

- Equipment breakdown coverage

The bottom line is it’s more than just numbers!

Hope this is helpful to you!

Have some questions as you’re expanding? Feel free to reach out!

#MrInsurance

#RealEstate #MultiFamily