Has home insurance crossed your mind yet? Sure you’re scoping out the perfect neighbourhood, need a top rated high school nearby for your kids and are torn between finding a three bedroom with the perfect open concept kitchen or an almost perfect house that’s 50k less than your maximum budget that to allow for a kitchen reno – but how much will it cost to insure your dream home?
What should you be taking into consideration during your real estate home search when it comes to insuring a potential house? Grill the home inspector and take notes!
When it comes to the house:
What condition is the house in? If it’s an older house, what type of wiring runs through it? Whether it has fuses or breaker or low electricity flow will affect the insurance costs. Will upgrades be required to bring the house up to code? Even consideration of eligibility for insurance may be affected.
What type of heating does the house have? Should the house require oil to be heated, does it have a wood stove? These types of home heating methods may cause a higher premium.
How old is the roof? A home with a roof that’s older than 20 year may need to be re-shingled in order to quality for for insurance.
What does the house come with? A house with a monitored security system or even a swimming pool may factors in how high the insurance premiums will be.
When it comes to the location of the house:
Is the house close to a fire station? Live with the sirens and get a lower premium – homes that are located close to fire protection (even a fire hydrant counts) often require a lower premium.
What’s the crime rate of the neighbourhood? Locations that have low crime rates typically amount to a lower premium.
Keep these questions in mind when you’re doing your home search. It’s important to consider all factors when deciding on your real estate purchase. Shop around for home insurance too and consult your insurance broker about the potential costs to get the right protection for your dream house.
