how do the experienced investors here handle the insurance when taking a property sub-2.Thanks for any advice
Hey,
Have the sellers policy changed to non-owner occupied and have your name added as co-insured.
Some insurance companies are hesitant to insure non-owner occupied, but if they do that is great.
One pitfall though: In the case of a loss, check will be issued to both you and the seller. So make sure you have a limited power of attorney from the seller that allows you to sign his name to any settlement and checks.
Gregg
Gregg
hey gregg thanks a lot for your time and imput.God bless
So make sure you have a limited power of attorney from the seller that allows you to sign his name to any settlement and checks.
Recently, someone posted on our local REI message board that some lenders are rejecting POA’s. Their reasoning? They claim just because you may have a POA doesn’t mean it hasn’t been changed since (i.e., no longer valid). I, personally, have not run into this situation, but thought it was worth mentioning.