Renting out a property can be very profitable, which makes it especially important for landlords to protect their investment. Landlord insurance provides property owners the financial peace of mind they need for renting out their properties.
Here is a simple guide to understanding insurance options for rental properties.
Much like homeowners insurance, landlord insurance isn’t a legal requirement. However, many mortgage lenders require landlords to get insurance for their rentals if seeking financing.
Landlord insurance offers similar coverages to homeowners insurance. Primarily, a landlord insurance policy will cover structural damage to the property. However, it will also cover loss of rent income if repairs cause the renter to move.
Landlord insurance doesn’t cover everyday damage from wear and tear. It also may exclude damage from certain perils, like earthquakes or floods.
The current state of your rental property can affect the cost of landlord insurance policies. This includes factors like the age of the property, location, size, amount of rental units within the property and the presence of on-site security.
For insurance providers, there is a higher level of liability when a property is being rented out to somebody other than the owner. This can make insurance pricey. However, having a policy specifically for your rental property can save you money in the future.
Speaking with an insurance lender can help you find the right policy to protect your best interests.
Licensed since 1983 Donna is a well known and well respected veteran of the local real estate market. Donna has made her mark as both a manager of a brokerage firm and as an agent. Ms. Coakley McGowan has participated in extensive training in residential real estate and specializes in both Buyer and Seller Agency.
"I am extremely pleased to welcome an Associate of Donna’s caliber and expertise” said Judy Leonelli, Owner. "I have known Donna for many years and have admired her professionalism and talent for the pragmatic resolution to the difficulties that can arise during a transaction. When Donna is involved you know there will be a successful outcome.”
Ms. Coakley McGowan has lived in Upton since 1995 and knows the area and all of its attributes. She currently serves the Town of Upton and the Regional School District as Chairperson of the School Committee. She and her husband Mark and their two children reside in Upton.
