All Forum Posts by: Rod Hanks

You need a builders risk policy for the finished value of the project. Builders risk will cover fire theft vandalism malicious mischief windstorm and hail storm damage but will not cover flood. If the property is in a flood plain you would need a flood policy. I’m licensed in IL and happy help.

No you would not be covered if the insurance is in your LLC name but the property is in your personal name. In order to have the insurance and lease in your LLC name the property has to be owned by the LLC. Discuss with the lender about deeding the property to the LLC, if they are not aggreable then you have to refinance the property with a commercial lender that allows you to hold the property in an LLC.

Not a tenant issue now but if you let him move in it definitely will be. It’s standard to fill out a rental application and if he doesn’t want to do that he has something to hide. I wouldn’t bother asking him why I would just find another tenant.

Wind driven rain is pretty standard on most homeowners policies. It’s covered as long as the reason for the opening was due to the wind or other covered peril. If you just leave a window open and it rains and damages your property that won’t be covered, but if a wind gust blows the window out and rains comes in as a result that would be covered. I would be interested to know the reason they denied your claim.

Don’t be a motivated buyer

Don’t ever be a motivated buyer

Don’t ever ever be a motivated buyer

Counting on appreciation is dangerous

Expecting to get a deal that makes sense from an agent or wholesaler is non sense.

Find a motivated seller and you will get a deal that makes sense. Market for your own deals and you won’t ever have to worry about overpaying and counting on appreciation to bail you out. There are plenty of deals out there you just have to market for them. I get 50-70% deals consistently from my marketing. 

@David Evans

Start in your own market first.

@Amanda Thompson

I don’t respond to a lot of emails from potential tenants that I wouldn’t rent to. I definitely wouldn’t knowingly allow 2 large dogs in the house under any circumstances.

@Mario Ruscovici

You can't assign an insurance policy. If it floods before you close renegotiate or don't close and yes all you lose is the appraisal and inspection fees. I have never heard of a HML asking about tickets from 15 years ago that is very odd but then again they can ask for whatever they want. There are plenty of HMLs out there that can close pretty fast I might look elsewhere.

@Jennifer Sui

No you don't need to put the house in an LLC to rent it out.

@Brandon Blackfin

Advertise like you would any other other property and put Section 8 OK or Section 8 Accepted. Just make sure they have the number of bedrooms on their voucher that will cover your rent. Zillow and gosection8 are great sites for tenants.