The Insurance Journal is reporting that the recent slump in the housing market is leading many homeowners to take a leap that many would not have imagined: "A growing number of homeowners who need to relocate for a job or other reason are renting out their homes instead of selling them so they can wait until the market improves. At the same time, investors are taking advantage of low prices to buy rental properties."
If a pressing need to move cannot be delayed, why not rent your home instead of selling at a loss, or ruining your relocation plans? This is a great way to retain the equity you have built up in your home, but it does require a change in your home insurance policy. According to the article:
Most and Least Expensive Car Insurance
Insure.com has just released its list of the most and least expensive vehicles to insure. The best bargain is the Hyundai Santa Fe, coming in at $832.
The Kia Sedona comes with an average premium of $857.
The Kia Rio5 is a bargain at $870.
The Kia Sportage's premium is a deal at $840.
The Mercedes-Benz G-Class costs $2,088 to insure.
The BMW M6 costs $2,236 to insure.
The Ford Shelby GT500 costs $2,186 to insure.
The Nissan GT-R topped Insure.com's most expensive to insure list at $2,533.
The Hummer H2 costs $1,912 to insure.
The Hyundai Entourage costs $848 to insure.
"When you become a landlord, your property goes from a residence to a place of business,'' says Julie Parsons, vice president of consumer household at Allstate.
That requires a landlord insurance policy, which covers the property and the owner's exposure if anyone gets hurt in it.
Firms such as Allstate have seen a 27% increase in conversions from homeowners' to landlord insurance policies, showing that this is a growing trend in asset management. Imagine keeping your home, and gaining income by renting. Sounds like a smart money move to take until the seller's market stabilizes.
Visit The Insurance Journal for more details about switching from a homeowner's to a landlord policy, if you think this choice is right for you.
Comments: (1)
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By: nyc5055 on 8/05/2009 10:13AM
I own a coop which I can sell. Selling is hard because people cannot get a mortgage. Coop' have so many rules. In mine, you can't rent out at all. And if you are lucky enough to get a buyer that can get the mortgage he'll need to get approved by the coop board which are a bunch of stuck up elderly people that are hard to please.
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