All Forum Posts by: Brian Powell

@Geoffrey Schnake

"Wind exclusion reduces the insurance amount by about half"

You sir are my hero, I will strongly consider using this policy when I rent out. Thank you for the tip :)

So sorry to hear that happened to you Geoffrey, that is very unfortunate. I wonder if it would be possible to get landlord policies for everything except hurricane coverage. The fire protection is definitely important. I'm not too worried about hurricanes, from everyone I've known in my 33 years the worst that has happened is loss of a roof which would not be worth paying 3k per year on.

Thanks Jason, I may look into that option for liability.

@John Anderson : I dont understand the connection between self insuring a property and renting out to high risk tenants. What is it you were trying to say? I would never choose to rent to a high risk tenant, I would have to be unemployed and desperate to make that decision.

@Kim Meredith Hampton I guess landlords insurance policy is like health insurance for cancer coverage. When you pay 3000 per year in florida for a policy its so hard to swallow knowing that money could buy an entire new roof every 3 years. 

Yes thank you Jeff, I have read that. My question is, how many owners choose to rent out without carrying the Landlords Policy. Thank you for the clarification

I'm looking to buy my first investment property in Merritt island or Cocoa Beach Florida area and I would like to know if there are others who roll the dice on not carrying a full home owners insurance policy. I would be paying cash on a 3 bedroom house so insurance and flooding coverage is not required by any lender. Anyone who buys on East Coast of Florida knows the pain of high insurance rates so I would like to hear some opinions from those who have already made their decisions. This house will either be 2 blocks from the beach or 3 miles west of the beach, depending on if I buy in Cocoa Beach or Merritt island. I'm pretty sure that full insurance policy will run around $3000 per year + $400 for flood. For those of you that have opted to not carry full insurance, have you opted for renters coverage (theft, injury) or umbrella policy only (liability). 

I appreciate any input I can get on this.

BP

An LLC for "phone systems" that supports the rental business. If you sell that to a tax auditor you sir should be a lawyer

Eric,

I am in a similar position with a lot of equity in my primary residence looking to purchase an investment property. I called my bank today (Navy Federal) and they told me that the VA offers cash out refinancing up to 100% LTV. In my case I can most likely pull out $100k cash from the refinance and use it to purchase another property. An added bonus is that the VA rates are super low, I was quoted at 3.75% for 30 years. The only downside I saw was VA initial funding fee of 2.15 %, but that is a one time fee and sounding pretty good compared to paying 25% down for most conventional loans on investment property.

Hey Alex,

You should come out to the Brevard County CFRI meeting Jan 17th in Merritt Island. Would be a great place to ask for local contacts.

Hey Shaun, did you close on selling your house?

I am also looking to invest in Brevard, curious what your strategy is on why you want to sell your house instead of rent it out.

Brian