
Many people think insurances are a waste of money, but when it comes to insurance for an investment property, this has to be the most important thing you do.
As in recent weather events down south from Gympie, Brisbane, SEQLD and Northern NSW, those areas have been recently affected with floods. Some of these owners of investments didn’t have insurance in place or were not covered for flood insurance.
So what happens then?
Many people have to rebuild using their own money. If you still have a mortgage owing on the property, then that’s when many people are in dire straits with their investment.
It’s always the first thing a solicitor will advise you to do, it to obtain insurance, as soon as you sign that contract. This is even before you look at leasing the property out to the rental market.
For a yearly cost, it could literally be the most cost saving insurance that you will ever pay.
Don’t forget to contact insurance companies and ascertain the best insurance policy for your investment property. Also make sure you obtain landlords insurance when you look at putting in renters into your property, this is just as important and will save a lot of stress down the track.