Calculating Insurance Costs For Buy and Hold

[Sean White]

When doing initial analysis of a property to see if it's a good deal is there a rule of thumb for insurance costs? Thanks in advance.

Sean

[Daniel Preston]

Licensed p/c agent.

As rates vary greatly from area, to construction, to tenants, there are too many factors involved that give you an accurate rule of thumb.

What I've been using is $1,000 for SFR, $1,500 for a 2-4 family rental, and $2,000 for college student rental.

I know that the rates won't be higher than that, so anything I'm off by is just gravy.