Vacant Homes Are High Risk for Insurance Coverage

Ever since there have been kids and empty houses, there has been the potential for temptation and disaster. Kids like adventure and what's more adventuresome than an empty house and yard? For this reason, it's best to keep someone resident in a home that's on the market, if at all possible. Failing that, the homeowner would do well to examine his or her insurance policy to determine whether or not the house for sale is covered and, if so, for how long.

As the national inventory of houses for sale rises, it becomes more difficult to sell a house quickly, and the number of vacant homes subsequently rises.. Some of this is caused by the rise in foreclosures and repossessions that has plagued the real estate market. Some are simply abandoned when the owners find they can't make the mortgage payment and think running is easier than dealing with foreclosure.

Whatever the cause, insurance companies are reluctant to cover vacant homes for an extended period of time, and not just for the kid invasion factor. A vacant house poses a higher risk for not only potential injury to trespassing juveniles, but also lends itself to greater and more extensive damage due to fire or water hazards as there is no-one around to discover or report the problem and put a stop to it.

Insurance companies, mindful of the increased liabilities of a vacant house, often include a clause in homeowner's insurance that will expire if the house is left vacant for more than 30 days. There are ways around this, though. Many insurance companies offer vacant house insurance, which can be costly given the high risk involved. Failing that, though, the homeowner looking to sell can look at a number of options to lower this cost or avoid it altogether.

One way is to simply not move out until the house is sold. Finding a real estate agent with a reputation of selling houses quickly in a slower market is always a good move, too. You could rent the house out, which may entail a change in your policy, but may still be cheaper than buying vacant house insurance, or hire a house sitter. Giving the property an occupied appearance can also lower your insurance costs. Keeping the maintenance current  cleaning the gutters, mowing the yard, keep timers on some of the lights, and bring in the mail. Make sure smoke and theft alarms are in working order, and exterior doors have deadbolt locks. Security lighting is helpful as well.

In Austin, the vacant house problem is not as prevalent as the rest of the country, since Austin's real estate market has not suffered nearly as badly as the country as a whole. However, it is a good idea to check with your insurer for information on vacant house insurance and explore your options if you find your house for sale is not moving as fast as you'd like.

The author writes articles on Austin Real Estate Blog. For more information about Austin real estate, lakeway real estate and Austin Texas real estate can be found on the net. visit http://www.affinityproperties.com/lakeway.php and http://www.affinityproperties.com/