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Insurance >Hazard Insurance
Are you considering taking out hazard insurance on a property before you actually take title? It may be a good idea!
Even though you are not yet the owner of record, as the buyer, you have an insurable interest in a property the moment that you and the seller execute the sales agreement. As a matter of practice, however, buyers do not usually take out insurance until the papers change hands, and it should not be necessary if the agreement of sale is properly executed.
It is very important to both parties that the agreement states that the property will be insured for a specific amount. From the buyer's point of view, an adequate sum must be stipulated, and the agreement should not read "as now insured", which can indicate that the seller may not want to increase the insurance.
As a general rule, the amount of insurance on the buildings on a property should equal the sales price, less the value of the lot.
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| Q |
What is a Balloon Mortgage?
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| A |
A balloon is a short-term mortgage which requires the entire balance of the loan to be re-paid at the end of the loan term.
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Bob Kory Team
Bob Kory Property Management
21945 Katy Freeway Suite A2
Katy, TX 77450
281-394-4608
Fax: 281-840-6924
bobkory@NUMBER1EXPERT.com
Bob is and has been a top Broker in the Katy, TX area for years. He is the founder of Century 21 Western in 1976. He has personally sold over $300 million in sales- specializing in corporate relocation. Bob knows what it takes to sell at top dollar, as well as getting the best value when buying. Whether you are buying or selling a home Bob’s EXPERIENCE and extensive knowledge is exactly what you need in a real estate transaction. Hire Bob and his team today and let them be the difference in your real estate experience!
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