Landlords Insurance – Landlords Insurance Broker

Some landlords invest in property for leisure, for holiday homes and others invest for mainly financial returns.

If you are investing in commercial property for financial gain, you are a small business, and you need to manage yourself as a business if you want to generate profits. You need to regularly take a good look at things, to make sure you are guiding the business to best effect.

Markets change for businesses just as weather does for navigators, it is a useful analogy to use. Businesses look for future tends and opportunities and how best to approach them. Staying still is not an acceptable or effective approach for a business to succeed.

Typically, investors usually seek to make the maximum gain they can consistently achieve with the resources they have available. One of the keys to investment success is how we make the most of our limited resources, which in most cases is capital.

Investors have typically always tried to buy properties in a poor state of repair and therefore command a lower price than those properties in a similar area or the same size and description. The most common place to find this type of property is at auction.

An auctioneer will produce a guide to all the properties that will be available for sale. The properties can be inspected by the information relating the property will be limited and for this reason it is the ‘professional’ landlord that benefits most from auctions.

Once you have purchased at property at auction the investor will need to arrange landlords insurance. One of the problems of insuring such a property is the fact you do not know the history of the building and many other material facts required if landlords insurance is to be arranged.

But before you can arrange landlords insurance you need to confirm what your plans are for the property. If you are simply planning to let the property out in its current condition or perform a cosmetic face lift and then let the property then there are several hundred landlords’ insurance schemes available for you to choose from.

Policies allows the policyholder to undertake repair work such as plumbing, painting, window replacement & central heating maintenance with no restriction on the length of time the property is going to be unoccupied for. Cover is restricted to fire, lightning, aircraft, explosion, storm, flood and property owners liability.

The second option relates to properties that are unoccupied but pending a major refurbishment which may include replacing the roof, building an extension or knocking down load bearing walls. This type of insurance which includes contract works cover is not so really available. The cost of such insurance is also very expensive compared to the first example.

Contract works insurance cover extends to include hire in plant and own plant / tools. The cover also extends to include sub contractors and labour only sub contractors.

Insurance providers in respect of contract works really advertise in such publications as Property Ladder and Location, Location, Location. These magazines are printed on a monthly basis and are available through such high streets stores as WH Smith.