Insurance Factors for New Buyers | Yorkville Realtor
When buying a home for the first time the number of expenses to think through can be overwhelming. In addition to the finances, you’ll need to find a qualified real estate agent, learn about things like inspections, offers, negotiations and possibly bidding wars. Where does one begin? By utilizing a professional Realtor you will save yourself both time and money as they can walk you through the buying process and explain each phase. One element that will be important to consider is the type and cost of insurance. After you find the right home and your offer gets accepted you will need to look for insurance. It is good to shop around as coverage and rates vary. Here are a few things to think through from Yorkville IL Realtor Lauralee McElroy when it comes to homeowners insurance.
Different insurance companies will offer varying amounts of coverage for your home. It is important to know what types you will need, and which types you won’t. For example, if the home is prone to flooding make sure to get coverage for this. Most policies do not include this in their standard coverage. Also, make sure you have enough dwelling coverage to be able to rebuild your home if it gets destroyed. If you plan on making changes to your home shortly after you move in be sure to check with the insurance company as your rates may be affected. You don’t want to add on to your home and end up with insufficient coverage.
One of the major factors that insurance companies use to determine rates is risk. The greater the risk of an accident or peril, the higher the rates will be. Thus, it is a good idea to consider the risk of damage when buying your home. If it is built on a flood plain you will likely end up paying more to be covered with flood insurance. Also, do what you can to improve your credit. Some insurance companies will have increased rates for those with lower credit scores. Statistically, people with lower credit scores file more claims than those with good credit.
Read the Details
Before choosing an insurance company to go with and the type of policy be sure to read the details thoroughly. Ask questions and take the time to understand the differences. A good insurance provider will patiently answer your questions and help you through the process. Your real estate agent may be able to help as well. It is okay to find out what other customers are saying and beneficial to check online reviews as well. You will be paying for insurance for years to come so it is worth it to be diligent in your research in the beginning.
For more help buying your first home contact Yorkville IL real estate agent Lauralee McElroy today.