| One the easiest and fastest ways of making one | | | | three month job takes five to six months. |
| rental property insurance policy CHEAPER, is | | | | So six months later the repairs are done, the |
| simply to remove, or not to offer, the loss of | | | | apartment unit looks great and your previous |
| rent to the landlord. This one coverage alone could | | | | tenants are gone. They needed someplace to live |
| be the difference between bankruptcy or profit | | | | and could not wait around for you, even if they |
| on your rental property. Worst of all, it cost only | | | | did, what about all that loss of rent for the last |
| pennies of day on your insurance premiums. | | | | six months. What rental property owners forget |
| Here is a great example: | | | | is that the bank does not wait for their mortgage |
| Imagine your four unit apartment building, the | | | | payment, they still want paid while the building is |
| lowest tenant, teenager is making French fries | | | | being repaired. Also you rely on that income for |
| with some friends and forgets about the fries for | | | | your own needs. You don't want to volunteer |
| just a minute or two. The next thing you know | | | | your profit for six months and why should you. |
| you have a moderate to average kitchen fire. | | | | This is where los of rent comes in at. It pays you |
| Everyone gets out, nobody is hurt but you do | | | | what you would have been receiving if the |
| have some and a ton of water damage thru all | | | | apartment never had the loss. You still get paid |
| four units of the building. The fire fighters, are | | | | while all the repairs are being made, you still have |
| more concerned about getting the fire out than | | | | money coming in to pay the mortgage bill, the |
| the damage they cause and you have carpet, | | | | property tax etc. Of course, you still get paid the |
| water, smoke, fire damage just everywhere. | | | | profit you would have made so you can pay your |
| From roof to basement it is just one big mess. | | | | own bills. |
| Not to worry, you have insurance that pays for | | | | Loss of rent is vital to your rental property |
| the fire and the clean up but you did not buy the | | | | insurance package. One make sure you have it, |
| loss of rent coverage, or you have some but not | | | | then make sure you have enough of it. What is |
| enough, (most policies that offer loss of income | | | | your monthly total rent for the apartment building, |
| never have enough of it for a rental property). | | | | times that buy a minimum of nine months. That is |
| Now not every contractor is going to drop | | | | the least amount that you need. Best of all, it is |
| everything they are doing to jump on your job, | | | | probably the cheapest coverage on your Rental |
| you need wait. You wait for the adjuster, the fire | | | | Property Insurance policy to increase or to add. It |
| marshal, the contractors, the bids, the building | | | | literally cost pennies a day and is the difference |
| permits, the workers, the weather. A two to | | | | between bankruptcy and profits to you. |