• We’re currently investigating an issue related to the forum theme and styling that is impacting page layout and visual formatting. The problem has been identified, and we are actively working on a resolution. There is no impact to user data or functionality, this is strictly a front-end display issue. We’ll post an update once the fix has been deployed. Thanks for your patience while we get this sorted.

Has anyone gone through refinance at the same time switching house insurance?

Status
Not open for further replies.
Q

Qacer

Platinum Member
Situation:

Trying to transition a primary residence into a rental unit. Two events are happening in parallel: the house is in the refinance process right now and trying to work out a contract with a property manager. The property manager requires the homeowner's insurance to be switched to a landlord's insurance before managing the property.

What happens if you switch the house's insurance from a homeowner's insurance to a landlord's insurance while the house is undergoing the refinance process?
 
I called my homeowner's insurance company a few weeks ago. But this wasn't related to the refinancing process. I asked them about renting out my home, and they said that they will not cover renters and that I would need to get a different type of insurance.

But for the refinancing process, I assume that it would be the lender enforcing the refinancing process. One of the required documents that they asked was for my homeowner's insurance declarations page. I've submitted all the required docs, and it seems like I'm already pre-approved for the loan. I just need the final paperwork and stuff to finalized the loan.

I'm wondering if it invalidates my pre-approval if I switch insurance during the process. The lender has not answered my questions, yet. I need to ping them again since it's been a week.
 
EagleKeeper said:
Call the insurance company that you have and ask.

Safest option
Click to expand...

No, call the bank issuing the new mortgage. The insurance company doesn't really care whose escrow account pays them, as long as they get paid. The bank cares that they have the right insurance info for the very expensive house that they are issuing a loan on.

In my experience, switching insurers was very seamless, but I didn't do it simultaneously with my refi.
 
I was not attempting to the re-finance but the fact of changing from homeowner to landlord.

Some insurances will not do the landlord business.
And some lenders will not allow the landlord situation.

If that was the case; the OP would be SOL.

Unless he was going to go LL the next day; each should be treated separately.
 
Status
Not open for further replies.

TRENDING THREADS

Back
Top