Difficulty finding homeowners insurance to cover roof >25 years

[Shellie Johnson]

Hello BP Community!

My husband and I are currently in negotiations for our second property. We knew that we would have to replace the roof once we acquired the property. However, what we didn't anticipate is not being able to get homeowners insurance coverage due to the roof needing repair. Our lender wants this information to move forward with the loan. We don't want to lose the deal and I'm looking for advice on how to possibly work around this. Looking forward to your responses.

[John Mocker]

Shellie,

Mike H. is correct,  If you are doing renovations on the house you should look into a Renovation Builders Risk.  You will also need Liability coverage as most Builders Risk policies only deal with the property.  A traditional builders risk policy was designed to deal with a ground up construction of a building.  The Renovation Builders Risk policy is designed to handle the existing structure and the value of the renovations/additions.   Some companies still call it a Builders Risk but rate it differently due to the existing structure.  

You should look to an agent that writes Commercial Insurance as they will probably have more options for the two policies.