How do I purchase home owner’s insurance for a house I purchased at a Sheriff’s Sale?
The house is currently in the redemption period, and the owner still technically owns it for the next six months. The owner is renting the home out to two tenants.
I called insurance companies and some said they could provide it but they would have to inspect it (it is not officially my home yet so an inspection is impossible). Another company said they could provide what is known as landlord insurance, but this will not cover replacement appliances (say the current owner decides to steal the furnace, air conditioner, etc because he is losing his home). Any advice is greatly appreciated.
rswpbc posted: 21 Aug at 5:06 pm
You need to actually be the owner on title to be able to put insurance on the property. Once you have the free and clear title, call an insurance company. There should be an inspection on the property before being insured so that it protects you from any pre-existing conditions. Having landlord insurance should be a supplemental policy to your regular homeowners policy.
Doctor Deth posted: 21 Aug at 6:01 pm
why would anyone try and steal a furnace? or central air ?
Glenn S posted: 21 Aug at 6:44 pm
The Sheriff should give your a Sheriff’s Deed when you paid him the money. You are in fact the current owner and the old owner while has the right of redemption, is no longer the owner of record.
Many insurance companies do not require an inspection before they insure a property, but only maybe a drive-by with a picture of the front of the property.
Try an insurance company that specializes in insuring non-owner occupied properties. I would suggest Safeco Insurance, Allied, or First American Specialty. Also check with an independent business insurance broker, they all have companies that might meet your needs. They probably won’t require an inspection and they will cover personal property in the amount you want to buy. Also if any appliance is attached to the structure it is not considered personal property but a part of the premises. A furnace or any built-in appliance is not personal property. Mercury Insurance is another possibility, but often they do require an inspection, but often it takes them several months to get out and do the inspection.
Since you are the new legal owner you have the right to evict the current tenant…..the old owner doesn’t have any legal standing except for the right of redemption.
Froufrou posted: 21 Aug at 7:06 pm
Have you looked into the possibility of buying a home warranty? We are under contract to sell a house and got that policy for the buyer for the first year at a nominal fee ($350-$400.)
wg0z posted: 21 Aug at 7:10 pm
you cant do anything until you are the legal owner.
Nancy posted: 21 Aug at 7:35 pm
Try an insurance company that specializes in insuring non-owner occupied properties. I would suggest Safeco Insurance, Allied, or First American Specialty. Also check with an independent business insurance broker, they all have companies that might meet your needs. They probably won’t require an insp