Owning a home is a huge part of the American dream but if someone is doing it for the first time, it may seem more like a nightmare. One of the worst parts about trying to find a home is that figuring out how much money it requires is next to impossible. While the home may have a list price, it can usually be negotiated down but then there are down payments, closing costs, and home insurance to consider. While we definitely recommend spending some quality time with an accountant, mortgage specialist, and an attorney for this kind of purchase, we want to do our part to explain the insurance aspect as best we can. Below are a few tips for making sure the insurance purchase isn’t one filled with regret.
Don’t Go without It
Of all the extra fees included in a home purchase, none of them are more important than insurance. Home insurance is the best way to protect what very well may be the most expensive purchase someone ever makes. As Mother Nature reminds us all too often, she is unpredictable and can be ruthless. By buying the right kind of home insurance, homeowners can rest a little easier knowing someone has their back when Mother Nature or Lady Luck decides against them.
Not Optional Option
When buying home insurance, everyone should make sure to add on flood insurance. No matter where someone lives, the threat of a flood is real. Consider, just briefly, the weather events of the past decade. Hurricane Katrina and Hurricane Sandy wreaked havoc on the coasts, leaving thousands of uninsured homes devastated and their owners without recourse. In California, widespread forest fires have left huge scars that send rain water careening down mountain sides and into the homes below. Even the arid Nevada desert has been decimated by heavy rainstorms and, let’s face it, if Nevada isn’t safe, no one is.
Consider the Whole Package
Other than making sure to add flood insurance to a policy, homeowners should do their research on which insurers are good at keeping promises. Just because one insurance provider is cheaper doesn’t mean it is a better deal. Read reviews and ask around because, all too often, insurance providers drag their feet when it comes to paying out on a policy. Many times, simply asking friends and family for a referral can get you hooked up with great home insurance in Everett, WA.