How to Ensure Your Financial Safety When You Have a Vacant Rental PropertyOne of a rental property owners worst fears is incurring damage and/or vandalism on an investment when a home or unit is unoccupied. There are any number of risks that could be incurred on a vacant property – such as burglary, storm damage, or fire – and sometimes these can go undetected for a much longer period of time when there is no one living in the property.

But one possible solution could be the purchase of a vacant / unoccupied dwelling insurance policy. This is a specialty type of coverage that is designed to provide a financial “safety net” to property owners from losses and damage that take place on an empty space.

When a home is empty, it can present a greater insurance risk than one that is occupied. Because of that, many insurance companies will exclude these damages in their standard property insurance coverage.

In fact, many regular homeowner’s insurance plans will not provide protection from a long list of potential risks that could happen with an unoccupied property, such as vandalism, fire, or even liability coverage if someone gets injured on the premises when a property is empty.

Along with coverage for various damages, there are some vacant property policies that may also offer an additional coverage option that provides a rental property owner with “loss of rents” income protection for the fair market value of the property while it is uninhabitable due to a covered loss. Depending on the insurance carrier, a landlord insurance policy may be converted into a vacant dwelling plan when a tenant moves out.

If finding new tenants has become a time-consuming endeavor for you, we can help. Working with a property manager can provide you with the assistance you need for managing tenants and maintaining your investment property(ies). So, if you own single- or multi-unit investment real estate in Orlando and/or the surrounding Central Florida area, give us a call today to find out more.