Many times, especially now that the housing market is starting to heat up, purchasing a condo and renting out units can be a great investment with a good ROI. However, when condo owners turn them into rentals, there are homeowners policy gaps that you, and your renters, need to know about.
For example, the homeowners policy you have isn’t going to suffice when you become a landlord. That’s because you’ve changed the property from a private home to a rental property. Converting a condo owners policy to a condo rental property policy is going to be necessary to provide you with the needed liability protection.
Also, your insurance policies do not protect the belongings of, or personal liability for, renters. If they want theft, fire and water damage protection for their personal property and liability, they’ll have to purchase their own renters policy. This protects you from undue liability claims and is a very inexpensive policy for your renters to have.
If you own or plan to purchase a condo, working with an experienced, professional insurance company like Randy Jones Insurance will give you the assurance that you will have the proper protection you need. Owning a condo can be a great investment and having the right insurance makes sure it stays that way.