Selling the family home? Consider your homeowners insurance
The number of home sellers continues to increase across the United States, which is reflected in new data from the National Association of Realtors (NAR).
According to the NAR, 5.54 million homes are expected to be sold in the U.S. this year. The NAR also has predicted the national existing-home price will rise around 4 percent in 2017 — a positive sign for home sellers.
Although the U.S. real estate market is improving, selling the family home may seem impossible at times, particularly for those who still need to find a real estate agent and complete various home improvement and maintenance tasks. Plus, there often is an aspect of selling the family home that goes unaddressed — homeowners insurance.
With the right homeowners coverage in place, you’ll be able to safeguard your home and personal items as you navigate the home selling process.
Before you sell the family home, here are three questions that you’ll want to consider about your homeowners insurance, including:
Are sufficient coverage limits in place?
If you remain in your house while you’re trying to sell it, your current coverage will stay intact. However, you may want to check your homeowners policy to guarantee that sufficient coverage limits are in place.
It also is important to note that your personal belongings will be covered by your homeowners policy as long as you stay in your home. Conversely, if you own rare antiques, collectibles and other valuable items, you’ll want to insure these belongings properly.
If your home will remain vacant while you sell it, you’ll want to notify your home insurance agent immediately. A vacant home presents some unique exposures, so the risks associated with insuring this residence are higher than those associated with a traditional house.
Will you need a renters policy?
If you intend to move into temporary housing while you sell the family home, you may want to purchase a renters policy.
Renters insurance represents an ideal option for property owners who plan to rent an apartment, condo or house temporarily. It covers losses of personal property such as computers, furniture and electronics. In addition, renters insurance safeguards you against losses due to natural and man-made disasters, theft and vandalism.
On the other hand, if you decide to move in with a family member or friend until your home sells, your personal belongings will be covered under his or her homeowners policy.
Remember, a family member or friend who offers temporary housing will need to account for his or her personal belongings, along with your personal items.
Are you moving out of state?
When it comes to selling the family home, review your homeowners insurance carefully and talk to your agent before you introduce your residence to the real estate market. By doing so, you’ll be able to safeguard your house and personal belongings and focus on what’s important — showcasing your residence to a wide range of potential homebuyers.