Insurance Difficulties
I am planning to buy a house where I would have students living since it is right next to a University. The problem is that my own insurance company will not insure it. They said that they can't since I would not be living in the house and it would be considered a rooming house since it would have 8 separate bedrooms with 8 separate poeple sleeping in them.
Any ideas on what I should do next now that I have hit a snag?
Go to different insurance company.
Dont tell em its a rooming house, just say its a rental.
Good Luck,
G
THe problem is that when I say its a rental, they ask is it just one single family, or is it more than one, and then I explain to them that there are gonna be more poeple in the house. And they ask me how many rooms will be used, and I tell them 8 of them. I explain to them that I would have University students staying there. Then they tell me that they won't insure it because it is considered a rooming house if it is being rented out on a room by room basis. I was told to go look at a commercial insurance company. What is this about now?
I don't know about rooming homes exept they exist and must be insured for that .hotel bed and breakfast ect
I would get with a good commercial agent he will direct you
i would have them write it up as a rental dwelling policy (DP) not as a hotel (which it technically isn't). You can have one lease and have each of the tenants sign it as co-makers.
Note: You may want to check with your local zoning ordinance. In many cities, there is a prohibition against having more than 2 unrelated persons living together.
Make sure can legally do what you intend to do before you buy the house.