closing on a 203k loan tomorrow for a property in montclair nj (was suppose to be "closing" since May) today i was told our $900 quote for

Asked by Sichuk17, 07042 Wed Jul 28, 2010

homeowners insurance was wrong bc they did not realise the house would be vacant undergoing rennovations. We aren't changing anything structurally just putting the house back together again. The new quote the gave us went from $900 to $5000. THAT JUST SEEMS ridiculous!!!! Is this really what we need to pay for homeowners insurance so we can close?

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Martha Kolko, Agent, Montclair, NJ
Sat Aug 7, 2010
I use John Wilkens of the Robert Wilkens Insurance Agency. John@wilkensagency.com or 201-343-1741. Good luck!
Web Reference:  http://www.MarthaKolko.com
0 votes
Carl Ben Wit…, Agent, Upper Montclair, NJ
Fri Jul 30, 2010
My company, Weichert has an insurance division. I would be happy to connect you with our agent who has access to many insurers for vacant homes. 973 746-1515 office, 272 Bellevue Ave, Upper Montclair. I will be there tomorrow morning til around noon, and can give you her card. Or just call.
Carl
0 votes
MacLean Agen…, , Princeton, NJ
Thu Jul 29, 2010
Hi I am Joel MacLean with MacLean Agency. We are part of the family of services of Prudential New Jersey Properties and I am sure we can help you. Typically if renovations aren't structural and involve mainly carpet, painting, sheet rock repair and the property won't be vacant for more than 30-45 days then it can be insured as a regular homeowner policy. I have been able to extend that with some carriers with an added "in the course of construction" endorsement. But typically the 30 day rule applies. I can be more of a help when you call me. 609-683-9300 x228. We have several carriers, competitive rates, and will be very responsive. We can even bind the insurance same day. When you call please ask for my wife Lisa. She is at extension 226
Web Reference:  http://www.macleanagency.com
0 votes
John Juarez, Agent, Fremont, CA
Wed Jul 28, 2010
A vacant house is more costly to insure but that quote in the company’s way of saying that they do not want to insure your risk. Shop around. You have gotten some good referrals from others here.
0 votes
Elaine Mosera, Agent, Fort Lee, NJ
Wed Jul 28, 2010
Vacant home insurance is very costly. Tony Cinar with Weichert Insurance Agency is terrific and has gotten some very competitive rates for clients in simialr situations. He can be reached at 973-605-1637.

Elaine Mosera
Broker Associate
Weichert Realtors
310 Main St.
Fort Lee, NJ 07024

201-592-1400 ext. 193
201-988-0972 direct
0 votes
Ian A. Wolf, Agent, Morristown, NJ
Wed Jul 28, 2010
I have rehabbed many homes, and it is true you will need a different kind of insurance, however, that quote seems significantly off base to me. It can be a couple of grand though and is usually a 6 month or 1 year policy without refund for early cancellation. The best guy I know for this product is Greg Yost at Chandler Insurance in Fairfield, NJ. His number is 973-227-0025 x136. If you give him a call he'll take great care of you. He knows me well. Hope that helps. Good Luck and Congratulations on the new home.
0 votes
Ibrahim Hugh…, Other Pro, UNION, NJ
Wed Jul 28, 2010
If you're dealing with your typical agent (i.e. a state farm insurance agent), yes the rates will be sky high.

Call my ins. agent/broker (not beholden to one insurance company) Erik Knoll at 215-509-7132 ext. 314 and I'm sure he will get you a much lower quote. I use him for all of my investment properties, 99% of them which I buy vacant. Tell him that Ibrahim Hughes referred you. Also, if the case, let him know that you're purchasing in your individual names and not in a company name.

Good luck and let me know if you require any further assistance.

Ibrahim S. Hughes
Investor & Licensed Realtor
EXIT Queens Realty
908-578-1981
0 votes
David Dorfman, Agent, Neptune, NJ
Wed Jul 28, 2010
Move in and live around the renovations.

Yes - a vacant house is a greater insurance risk then an owner occupied home

That's how the insurance co's look at it.

What if you hired a security guard to live in the house while it was renovated?? Talk to the insurance agent.
Web Reference:  http://www.rentlaw.com
0 votes
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