Homeowners insurance

livinnsin Posted: Aug 26, 2005 01:40 PM

Homeowners insurance

Ok Im so confused.

I have gotten 3 price quotes so far. We already have Allstate for renters so I started with him first.

Allstate $750

State Farm $1,141.00

Liberty Mutual $2,000.

I swear I gave them all the same info.

so here is my question Allstate says that my house is valued at $185,000 even though we are paying a lottttt more. He said that the banks wanted you to take out insurance to cover what you are paying, they are loaning,but that changed beacuse it is against the law and they will only hand me a check for the value of the house being replaced rebuilt.

does any of this make sense and is that true. Even though we are paying almost $400,000 for the house we only need $185,000 worht of insurance.

Please help

Karen

Blu-ize Posted: Aug 26, 2005 02:35 PM

Re: Homeowners insurance

The numbers are a little low however, you are only paying for the house not the property. When we bought our house for $365k the insurance was for $286K. That's the cost of the house, not the property. You may also want to talk to them about personal property coverage and if it's included.

jandt2006 Posted: Sep 03, 2005 06:20 PM

Re: Homeowners insurance

at what point in your buying a house do you have to purchase homeowners insurance?

DjPiLL Posted: Sep 03, 2005 07:08 PM

Re: Homeowners insurance

Before you close I believe.

I have to find a homeowners policy. My bank wants the information because I am doing escrow payments so they need to know who to pay.

Danielle&Scott Posted: Sep 04, 2005 11:22 PM

Re: Homeowners insurance

You need to bring the home owners paper work with you to the closing

violet Posted: Sep 04, 2005 11:37 PM

Re: Homeowners insurance

The bank won't give you a loan without it. In my case, I'm required to have flood insurance too. But a lot of houses in LI are near the water, and they're fine, right??? Well at least I'll be covered.