Problems! - Posted by D.Henderson

Posted by JoeKaiser on April 08, 1999 at 22:33:08:

“I buy uninsurable houses” Figure it out and you may be onto something.


Problems! - Posted by D.Henderson

Posted by D.Henderson on April 08, 1999 at 22:01:31:

I’ve made bids on three properties that would make wonderful L/O’s or longtime rentals. Everything comes together and BAM! insurance agent won’t pass the houses because of too many layers of shingles on roof, abestoes siding(very common in our area for 40’s houses) I’m in between Wichita Falls and Ft. Worth, Texas area. Does ANYONE have any good insurance companies that might help me. Bank will not loan without insurance, even if I can get owner finance when I try to get my l/o buyers to refinance THEY can’t get insurance, so were right back in the same boat. Am I not seeing out of the Box? Any help will be greatly appreciated.
Thanks to All.

Re: Problems! - Posted by D.Henderson

Posted by D.Henderson on April 09, 1999 at 22:11:17:

With all of your help. I now have a solution. Thank you. Allstate and State Farm had the insurances on the houses. I do not have my primary residence insured with them because it has wood shingles, so they will not insure me with the rental property. Both companies will not insure wood shingles, asbestos siding, or multiply layer roofs. I have found an insurance here in Texas that will. They are 200 miles from me and do not care about these things- They are National Lloyds Insurance Company. 1-800-749-6419

I’m going to check the other insurances that were posted. Thank you.

Re: Problems! - Posted by Bud Branstetter

Posted by Bud Branstetter on April 09, 1999 at 17:44:05:


Insurance One 972-380-0354
Du Bose & Assoc Insurance 817-390-2300

I have a commercial policy with Insurance One on properties in San Antonio, Dallas and Fort Forth. They have never asked how many layers of shingles are on
the roof.

Solutions - Posted by Randy -IL-

Posted by Randy -IL- on April 09, 1999 at 12:10:32:

I had the same problem with a little fixer that I bought. I paid my big name insurance company about 1 1/2 years of premiums on the place while I was improving it. Then all of a sudden the insurance company notifies me that they will drop coverage because of the condition of the house! If the house isn’t in insurable condition now, then it really must have been in uninsurable condition when I started on it. If it wasn’t ever in acceptable condition then why did they insure my house in the first place? It really wasn’t that bad to begin with. Well, to make the long story short, they are no longer insuring my houses.

What I have found to help in cases like yours is to find an independant insurance agent. They don’t just represent one big company but several big and small ones. My independant agent finds the company and the insurance product that is best suited for the property in question. If I ever get dropped for some reason he gets me another policy with another company so that I’m never without coverage. (Even for the “uninsurable” fixers). Independant agents have much more flexibility than the big company agents. Many of them are problem solvers much like those here on the board. Find one and let them solve your problem. It worked for me.


Problems=Opportunities - Posted by Michael Murray

Posted by Michael Murray on April 09, 1999 at 11:34:46:

This is a great opportunity to renegotiate the bids and make more money in the process. New offers to deduct twice what it would take you to fix the problems, keep the difference for your trouble.
Michael Murray

Re: insurance - Posted by Jack (Ky)

Posted by Jack (Ky) on April 09, 1999 at 07:54:13:

What companies are providing insurance on the properties now?

Jack Stivers

Re: Problems! - Posted by JohnK(CA)

Posted by JohnK(CA) on April 09, 1999 at 24:21:24:

At this point the problem is still the sellers problem. Seems that the seller should be the one to pay for the remedy. You might check with the local municipality to see if there is a program of low interest rehab loans that could help with the siding replacement. Go to a homeowner who has a house like this one and ask who they use for insurance. Anyone else have any ideas?