Home Insurance: You won't be able to get a true Home Owners Policy because you are not living in the house. The name of the policy you are shopping for is a "builderâ€™s risk" policy. This policy will vary in price depending on the insurance carriers, agent, and scope of your project.
SIDE NOTE: Buyer Beware: All insurance agents are not looking out for your best interest. They should really be called insurance sales representatives because they work for their companyâ€™s best interest. As a real estate â€œagentâ€ I have a fiduciary duty to hold my clientâ€™s interest above my own. I have never seen any fiduciary talk coming from an insurance agent. Shop around and get as many quotes as you can. You are going to find out that for every 5 insurance agent you call 2 will return your call and you might get one to give you a quote.
Since you looking into flood and gutted property make sure you check city of New Orleans Damage Assessment website to make sure you will be able to get permits on the property. This is the very 1st step I tell my client who are looking into purchasing this type of property. The direct link to the website is http://www.cityofno.com/portal.aspx?portal=1&load=~/CNO/ (copy and paste this URL directly in your web browser if it doesn't show up as I link) If it's above 50% damage you are required to raise the house to receive a permit (which is more important than insurance because you wouldn't be able to make improvements on the property) or tear it down. Side note: A high damage assessment is a great tool to get a price reduction during your negotiation.
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