Many commercial real estate investors purchase property with the intention of making a quick flip. This is common and if you don’t plan on holding onto the commercial real estate for long, why spend the money on insurance, right? Wrong.
You need to have commercial real estate investors insurance as a way of protecting your investment, no matter how long you’re going to have the property for.
Anything Can Happen
The reality is, anything can happen at any time. You don’t know what’s going to happen tomorrow and therefore you have to plan accordingly. If a fire breaks out in your investment property overnight, you don’t want to lose everything. You want to file a claim and know that you have the financial protection in place.
Policies are Affordable
A commercial real estate investment policy is reasonably affordable. By working with an independent insurance agent, you get the help customizing your policy. This allows you to have the needed protection in place without spending a fortune. Further, you can get quotes from multiple insurance companies as a way of guaranteeing you don’t overspend on the premiums.
Temporary is Questionable
Even if you plan on a quick flip, your temporary ownership is questionable. You can never be too sure of the way the market is going to turn at any moment. Although you might plan on holding onto the property for a matter of weeks, it could be much longer because of the buyers out there – and this means you need the financial protection that an insurance policy can offer.