All Forum Posts by: Manshi M.

Got it. I am okay with them not replacing the basement unit. Will they replace the other units (which are legally bult and rented)?

I understand that. I just want to understand my risks besides liability. Can anyone throw some light on whether insurance company pays for the property damage (with basement rented) if there is a fire or not?

I have liability insurance that covers me upto $2M. My concern is whether the insurance company will cover me for fire insurance (if that happens). 

Hello,

I have a 2 family property in New Jersey. I am renting out the basement illegally. Question - Will my insurance company cover me for any damages that happened to the property and is not related to the tenant in the basement? Can they still claim that they don't have to pay anything because I have an illegal tenant in the basement (even if he is not the cause)?

My husband and I own two properties and are in the process of buying another one right now. All the properties are in Jersey City, New Jersey and bought on mortgage. I have heard that a lot of people go LLC way. Can someone please guide me what the benefits are? Is it worth incorporating LLC? We have liability insurance of $1M per property right now.

Hi, 

I am investor looking for FSBOs in Jersey City. Any idea how/which website I can find them?

 I meant about $200K in the two properties. $600K total equity.

About $200K equity

I have two properties (combined value - $1M) in NJ. I have to decide between increasing liability insurance (that comes with home insurance) on both to $1M from current $500K or taking a $1M umbrella policy. Here are the quotes for the coverage - 

1. Increasing liability insurance for both properties - $129/year

2. Taking $1M umbrella policy - $147/year. If I go for umbrella policy, I'll have to increase my auto liability coverage which will cost me an additional $141/year.

In a nutshell, the umbrella policy will cost me ~$175/year more. Are there any advantages of umbrella policy over the liability insurance? 

Also, how many times the property value should my insurance be? Is there a thumb rule here?