Do not review your homeowner's insurance coverage until your vacant house has been broken into. One truth that is not well recognized is that most homeowner's insurance plans do not extend coverage on a vacant house for more than thirty days. This indicates that if you moved out of your house more than a month ago, your home might no longer be covered by your homeowner's insurance policy, even though you may have paid the payment for your policy. If you want to be sure, read the policy's tiny print.

Why Vacant Home Insurance Matters

If there was insurance coverage, but the policy was allowed to expire or lapse, the homeowner would still be responsible for paying to repair the damage on their own in the event of vandalism. If the defects are not repaired, the short sale will be jeopardized. Because the bank will not profit from the short sale, they may decide to proceed with the foreclosure process at any point.

Because short sales have less of an impact on individuals' credit records, going through with a short sale rather than foreclosure is far less stressful for the homeowner. Suppose a homeowner plans to keep their property unoccupied for a lengthy period. In that case, they should get vacant home insurance to protect them against anything that can jeopardize the short sale.

Vacant Homes and the Bank

When a house is being sold via a short sale, the bank will often send a representative from a preservation business to check to see whether the property is vacant. These individuals will change the locks and tell the bank that the house is vacant even if you move down the street; they will also alert the police.

Types of Vandalism

It is not unheard of for thieves to break into a lock box in the middle of the night, cut off the lockbox, and then carry it home to drill out the key. After that, they may come back during the day, bring a truck, enter via the front door, and fill it up with all the furniture and appliances.

On the other hand, a person may inflict damage on a house without breaking. For instance, the current electrical panel and air-conditioning condenser are often positioned outside the property in the side or back yard, making it quite easy for a burglar to steal this equipment.

Kids may sometimes set fires or hurl rocks through plate glass windows solely for the entertainment value of seeing the glass shatter. In other instances, squatters may break into a building and establish residence there. They don't care to put empty beer bottles in the trash can, sleep on the floor most of the time, and maybe be drug addicts. You can be responsible for all these fees if you don't have vacancy insurance.

Tips for Obtaining Insurance

When homeowners decide to short sale their homes, it is often for one of two reasons: either they want to preserve their credit rating or avoid having a foreclosure appear on their public record. Vacancy insurance is going to be of assistance to you in reaching this objective. To get started, get in touch with an insurance agent to estimate how much it would cost for a policy to cover a vacant property.

There is a possibility that the premiums will be much higher than those of a standard insurance policy. Because vandalism is so expensive to repair, the cost of an insurance policy that covers an empty property will be higher than that of an insurance policy that protects the contents of the house. However, since most financial institutions will not pay to have the damage repaired, you will need to pay for insurance. The one positive aspect is that insurance for vacant homes may be obtained every month.

Methods to Reduce the Incidence of Vandalism

In addition to obtaining insurance for your vacant home, it is essential to protect it from being vandalized. People who break the law by entering the property of another will often use the route with the fewest obstacles to overcome. They are looking for a residence that can be broken into with the least effort.

Conclusion

As long as you have your name on a property deed, you must care for that property. If you move out of the house before it is sold, you shouldn't expect that your bank or your current insurance will cover any losses that occur. To end vandalism and safeguard one of your most valuable possessions, you need to take the required precautions.