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iphone app for real estate

Paul — Tue, 07 Sep 2010 14:55:06 +0000

Real Estate iPhone Apps that Make the Home Search Process Easier

By Paige Tepping

RISMEDIA, September 7, 2010–As the iPhone continues to grow in popularity, especially within the real estate sector, it is crucial that real estate agents and consumers alike are aware of the numerous apps that have been created to make both sides of the transaction a little bit easier.

According to the experts at Realty Press, the following real estate apps should be on every real estate agent’s and consumer’s iPhone.

1. Zillow – Zillow’s iPhone app is the number one real estate app on iTunes in addition to being named the “best real estate app” by O’Reilly Media.

Features of the app include:
-See Zestimate values of any home
-Search homes for sale, Make Me Move homes, homes for rent and more
-Filter searches by price, beds, bathrooms and more
-Search by monthly payment
-View full-screen color photos
-Save favorite homes and searches
-Get notified when new results come in
-E-mail homes to a friend
-Share homes on Facebook and Twitter

For all U.S. homes (93+ million): Find Zestimate home values, homes for sale, homes for rent and more as you walk or drive through neighborhoods using the Zillow iPhone App, featuring built-in GPS technology.

View multiple high-resolution photos side-by-side as you window shop through neighborhoods, touch and expand a “photo stack” to peek inside a home and save any home you like by dragging and dropping it into your favorites.

2. ZipRealty – Look through your phone and instantly discover which homes near you are for sale or have been sold recently with ZipRealty’s HomeScan.

Tap your screen to easily view details of any home you see with HomeScan, including the asking or sold price, photos, distance from you and more with this powerful augmented reality real estate app. Complete home information—prices, photos and more—also available on homes for sale in more than 4,000 cities through the company’s GPS-enabled mapping feature.

Features of the app include:
-See over one million MLS-listed homes for sale including photos, price and more
-Multiple updates daily with newly listed, price-reduced and foreclosures
-Access to “My ZipRealty”: your saved and favorite homes from ZipRealty.com
-Search by zip code, price, location, size and more
-HomeScan: augmented reality app (requires 3GS)
-GPS-enabled and location aware with driving directions
-Search recently sold home prices

3. Realtor.com has more listings (4+ million), and updates them more often (every 15 minutes) than any other site. Features include: map search, saved searches and listings synchronized with the website, private ratings and notes and the ability to share listings with your friends, agent and social network.

With this app you can:
-Instantly access over 4 million homes for sale
-Show homes for sale in any city or in your current location on a map instantly
-Multiple photos, property details, open house information and pricing on nearly any home for sale
-Sign-in to access your saved searches and listings (automatically synchronized between the phone and your account on the Realtor.com website)
-Create and save private ratings and notes for promising listings
-Share your favorite listings with friends and family, your agent or social network

4. WhereRHomes for the iPhone automatically finds near-by homes that are for sale, in the foreclosure process or for rent using your location. When in a neighborhood, easily find near-by real estate of all types.

-It’s simple. Just press the icon and your iPhone provides near-by for sale, foreclosure and for rent homes.
-It’s fast. Designed for fast downloads by the basic information on the first page. If a property interests you, you can then get photos, details and website links.
-WhereRHomes displays up to 25 homes nearby, eliminating the need to drive around and look for real estate signs. Displays only the homes close to where you are based on your iPhone’s GPS information.
-You can customize it. You decide which homes you want maps, photos and more information on.
-Direct links to the home’s website, which includes all the available information for rental properties, for sale properties and foreclosures.

5. Redfin provides all the details and photos on every home for sale and then allows you to add your own pictures and notes.

Redfin is only available in:
-Southern California
-Bay Area, Sacramento
-Seattle and Western Washington
-Chicago area
-Washington D.C., Baltimore
-Westchester County, Long Island
-Boston area
-Atlanta area
-Portland and Western Oregon
-Phoenix area

6. StreetEasy Real Estate for the iPhone allows you to search for real estate listings across New York City, Northern New Jersey and the East End of Long Island, including the Hamptons and the North Fork. Use your iPhone to help you in your apartment hunt in the most competitive market in the nation. This app provides deep and transparent information and offers a detailed view of every listing and every building you pass.

-Search for listings near your current location and find out what it would cost to live in a neighborhood you are visiting.
-Get information on any building by simply typing in the building name or address. You will then be provided with all the listings available in that building, as well as a description and market data summary.
-See detailed information about an apartment—description, photos and other listings in the same building. E-mail or call agents directly from the application

7. Trulia’s iPhone app enables you to find homes for sale that are perfect for you. With one tap, you can see all the homes for sale nearby and can browse through open houses to help plan your afternoon. Scroll through the big color photos, get the details on every home and scope out the neighborhood by viewing the results on a local map. Trulia’s mission is to help people make better real estate decisions by being able to:

-Find homes for sale near you using iPhone’s built-in location finder
-Tap quick links to see every nearby open house
-Login and save your favorite homes on the iPhone and on www.trulia.com
-See all the results on one local map or get driving directions from Google maps
-Get detailed price history and send trends for every property

8. Homes.com. Use this speedy application to search for your next home using your iPhone or iPod Touch. A touch or two on your screen creates a custom search of nearby homes for sale or rent. You can also see detailed lists or search by maps, and quickly refine your search by price, property type, features and more.

-Instantly find nearby homes or rentals with iPhone location finder
-Find homes in cities around the nation with the advanced home search
-Drag or pinch it—quickly zoom and navigate neighborhoods with interactive maps
-Bookmark your favorite Homes.com properties
-Easily share properties with friends and family
-Get fast driving directions from wherever you are
-Search by MLS number

When you find a home you like, it’s easy to dive into the details with Homes.com. Check property features, scroll through photo slideshows and contact real estate agents by phone, e-mail or text..

Real Estate iPhone Apps that Make the Home Search Process Easier

According to the experts at Realty Press, the following real estate apps should be on every real estate agent’s and consumer’s iPhone.

1. Zillow – Zillow’s iPhone app is the number one real estate app on iTunes in addition to being named the “best real estate app” by O’Reilly Media.

2. ZipRealty – Look through your phone and instantly discover which homes near you are for sale or have been sold recently with ZipRealty’s HomeScan.

5. Redfin provides all the details and photos on every home for sale and then allows you to add your own pictures and notes.

When you find a home you like, it’s easy to dive into the details with Homes.com. Check property features, scroll through photo slideshows and contact real estate agents by phone, e-mail or text..

Real Estate iPhone Apps that Make the Home Search Process Easier

According to the experts at Realty Press, the following real estate apps should be on every real estate agent’s and consumer’s iPhone.

1. Zillow – Zillow’s iPhone app is the number one real estate app on iTunes in addition to being named the “best real estate app” by O’Reilly Media.

2. ZipRealty – Look through your phone and instantly discover which homes near you are for sale or have been sold recently with ZipRealty’s HomeScan.

5. Redfin provides all the details and photos on every home for sale and then allows you to add your own pictures and notes.

When you find a home you like, it’s easy to dive into the details with Homes.com. Check property features, scroll through photo slideshows and contact real estate agents by phone, e-mail or text..

September 7, 2010–As the iPhone continues to grow in popularity, especially within the real estate sector, it is crucial that real estate agents and consumers alike are aware of the numerous apps that have been created to make both sides of the transaction a little bit easier.

According to the experts at Realty Press, the following real estate apps should be on every real estate agent’s and consumer’s iPhone.

1. Zillow – Zillow’s iPhone app is the number one real estate app on iTunes in addition to being named the “best real estate app” by O’Reilly Media.

2. 3. Realtor.com has more listings (4+ million), and updates them more often (every 15 minutes) than any other site. Features include: map search, saved searches and listings synchronized with the website, private ratings and notes and the ability to share listings with your friends, agent and social network.

. WhereRHomes for the iPhone automatically finds near-by homes that are for sale, in the foreclosure process or for rent using your location. When in a neighborhood, easily find near-by real estate of all types.

. Redfin provides all the details and photos on every home for sale and then allows you to add your own pictures and notes.

. StreetEasy Real Estate for the iPhone allows you to search for real estate listings across New York City, Northern New Jersey and the East End of Long Island, including the Hamptons and the North Fork. Use your iPhone to help you in your apartment hunt in the most competitive market in the nation. This app provides deep and transparent information and offers a detailed view of every listing and every building you pass.

. Trulia’s iPhone app enables you to find homes for sale that are perfect for you. With one tap, you can see all the homes for sale nearby and can browse through open houses to help plan your afternoon. Scroll through the big color photos, get the details on every home and scope out the neighborhood by viewing the results on a local map. Trulia’s mission is to help people make better real estate decisions by being able to:

. Homes.com. Use this speedy application to search for your next home using your iPhone or iPod Touch. A touch or two on your screen creates a custom search of nearby homes for sale or rent. You can also see detailed lists or search by maps, and quickly refine your search by price, property type, features and more.

When you find a home you like, it’s easy to dive into the details with Homes.com. Check property features, scroll through photo slideshows and contact real estate agents by phone, e-mail or text..

Should I lock my refi?

Paul — Wed, 25 Aug 2010 00:21:01 +0000

The questions are simple enough: What’s going on with mortgage rates?

What makes them rise, or fall? Is it the Fed? The economy? Inflation? The banks? The President? Fannie Mae or Freddie Mac? Is it a secret conspiracy?

The answer is that rates are moved by a number of related factors, and believe it or not, you — Joe or Jane Consumer — are one of those factors.

Mortgage money can come from many sources, including deposits at banks and brokerages, but most comes from investors through what is collectively known as the “capital markets.” This is where investors interested in purchasing certain kinds of debt instruments — bonds, in this case — come to buy these items.

In order to attract investors, sellers of bonds must compete with one another to get their money. They do this by offering a variety of ” instruments” (also called “product”) with differing structures of risk and return over given periods of time. These offerings compete with other investments which are reasonably similar in performance, such as US Treasuries, corporate bonds, foreign bonds, and others.

Who are these investors, and why are they so fickle? Mostly, they’re people like you, and you want two opposing things: low payments on your debt, especially your mortgage, and high returns on your investments. You (or your investment advisors or fund managers) will only buy so many low- yielding bonds (mortgage or otherwise), because you’ll take your money elsewhere if your returns are too low.

Investor demand for a given kind of investment plays a considerable role in moving market yields, because investors have literally hundreds of places to put their money. It’s a crowded marketplace, with many sellers of various product competing for those investor dollars. Investor demand for specific product rises and falls with changes in investment strategies; if demand falls enough, a change needs to be made to attract investors again. How to attract them again? Usually, by raising interest rates.

Of course, it’s not as easy or simple as that. Mortgage market makers serve not one client, but two: investors, who want the highest possible return on their investments, and the homeowner or homebuyer, who wants the lowest possible interest rate. Simultaneously, rates need to be high enough to attract investors but low enough to attract borrowers. It’s quite a complex dance; investors, though, make the music.

As interest rates (yields) decline, investment customers can become more or less interested, depending upon the direction of economic growth, inflation, appetite for the given product, and several other factors. Typically, though, the lower those rates get, the fewer investors are interested in putting them on their books.

In the case of financial instruments like bonds, things get a little more complicated. Bonds have an interest rate (yield), a dollar amount (face) and a current price (price).

A very simple explanation — which leaves out a number of very important factors — would be as follows:

Let’s say, for example, that you want to sell a $1,000 (face) bond with a yield of 6%. And let’s say that it’s a good deal, so ten investors start offering you more than the $1,000 you want. They bid the price up to $1,010 — $1,020 — $1,030. In effect, that increase in price is actually borrowing from the interest which the bond will return. Because some of the interest is gone, the actual return to the investor is no longer 6%, but something less than that. When demand for a given bond is strong, prices rise to the seller, and the return to the investor (yield) declines.

Conversely, when demand for a given bond is weak, the price falls. For example, you might have to sell that $1,000 for only $980; and the return to the investor (yield) rises, since the buyer not only gets all the interest on $1,000, but also got a discount on his purchase price.

The principle to remember is this: as a bond price rises, its yield falls, and vice-versa.

Relationships to Other Investments

Mortgages are priced for sale to attract investors who seek fixed income investments. There are many kinds of bonds available, and mortgage rates (yields) rise and fall with those competing investments to a greater or lesser degree.

But how to price them? Fixed mortgage rates, like other bonds, track US Treasury bonds quite well. Since Treasury obligations are backed by the “full faith and credit” of the United States, they are the benchmark for many other bonds.

There is no specific “lockstep” relationship between Treasuries of any term and fixed mortgage rates. Given enough data points, a relationship could be established against many different financial instruments. However, as a 30-year fixed rate mortgage rarely lasts longer than about 10 years before being paid off or refinanced, the closest instrument which has similar (though lesser) risks is the ten-year Treasury Constant Maturity. Because of this, the ten-year year Treasury makes an excellent tool to track mortgage rates.

Here’s an oversimplification of the relationships of mortgages to Treasuries:

As we mentioned, intermediate term bonds and long-term mortgages (more properly, Mortgage-Backed Securities, or MBS) compete for the same fixed-income investor dollar. Treasury issues are 100% guaranteed to be repaid, but mortgages are not; therefore mortgages carry more risk of default or early repayment, which could potentially disturb the return on the investment. Therefore, mortgage rates must be priced higher to compensate for that risk.

But how much higher are mortgages priced? In a normal market, the average “spread” or markup above the 100% secured Treasury is about 170 basis points, or 1.7%. That markup — the spread relationship — widens and contracts with a range of market conditions, investor appetites and supply of available product — as well as the presence of competing investment opportunities, like corporate bonds or domestic (or foreign) equity markets. Professional money managers, and investment and retirement funds constantly strive to obtain high-yielding instruments at a given level of risk. Money shuffles from place to place in search of this — from bond to bond, and market to market.

As we mentioned, the relationship isn’t a fixed one, but one that changes with market conditions. Recently, for example, ten-year Treasuries rose from of 3.30% to 3.94% over a period of a few months — about 64 basis points, altogether. At the same time, the the average overall 30-year fixed mortgage rate rose from about 5.29% to 5.41%, a rise of only 12 basis points. Over time, there are any number of examples where Treasury yields have risen faster than mortgage rates, as well as times when mortgage rates rose faster than Treasury yields. Consequently, the spread between the two expands and narrows appreciably, which is why you can’t simply take the ten-year yield, add 1.7% to it and know exactly what today’s rate is. It goes without saying that these ’spread’ relationships vary by mortgage product and also by whether a loan will be held in a lender’s portfolio or sold to other entities.

An update, in light of more recent market events

All of the above text assumes for the most part that we are in a fairly normal marketplace. It goes without saying that mortgage and bond markets have been far from normal in recent years.

It may be some time until we return to normal mortgage markets, fully free of extraordinary efforts by government, and where private-market investor needs shape the marketplace. That said, we are starting to move in that direction again.

A large influencing force in the mortgage market came to an end in April 2010, as the Federal Reserve finished its program of purchasing $1.25 Trillion in Mortgage-Backed Securities. Since the Fed not only bought new production from Fannie Mae, Freddie Mac and Ginnie Mae (FHA-backed loans) but also certain existing “agency” stock from investors, there remains in the market some momentum from the program, as investors look to re-fill holes in their portfolios with newly-issues, often better-quality mortgage investments.

At the same time, some additional holes in investor portfolios were created when Fannie Mae and Freddie Mac decided to re-acquire up to $200 Billion of previously-securitized-but-now-failing loans from investors, an occurrence allowed under the terms of the guarantees which accompany the MBS issued by these entities. Like a portion of the Fed program above, retiring these holdings means that at least some new private-market demand for newly-issues MBS should occur.

This increase in demand by investors for new MBS means that prices for those MBS should remain fairly firm for a while, which in turn means that low yields — low mortgage rates — should be with us for at least a little while, too.

So there should be at least some demand for new securities. What about supply… will new supply overwhelm the demand in the market? Probably not, at least for a while. With home sales well below peak levels, and even small flares in interest rates making sizable dents in the refinance market, the number of new loans coming into these security machines isn’t all that strong, so there shouldn’t need to be a cascade of supply into the market. Better still, even if demand for MBS doesn’t remain constant, Fannie and Freddie have considerable space to balloon their portfolios of loans (upstream of turning them into securities) and so can release new MBS supply into the market at a measured pace, which should also serve to stabilize prices, keeping rates level.

In a nutshell, the Fed may have stepped away from the mortgage market, but there are now different mechanisms in place which should have much of the same effect of keeping rates fairly low and steady, at least for a time.

Other Factors

Then, there’s the “unknown supply stream”, aka “volume”. Unlike many other investment opportunities, no one really knows how many mortgages will be originated, then made available for sale (as bonds) in a given period of time. Recently, a quick drop in interest rates produced a large buildup of loans to be sold to investors as homeowners rushed to refinance. This made way too much bond supply available in too short a time, and investors simply couldn’t absorb it all at once. Too much supply, not enough demand; prices had to go down, and yields had to go up to attract investors.

Delays, Delays

There’s also a time-lag for mortgage pricing. Though shorter than in years past, it takes anywhere from several hours to several days for increase or decreases to get from capital markets to wholesalers to retailers to “the street” where loan originators are working with you.

Not all increases or decreases are passed along, either. Depending upon the size of the change, rates may stay the same (but fees, such as points, may change). Sometimes, a minor increase in bond yields in the morning is followed by a minor decrease in the afternoon, while mortgage rates remain the same all day.

Other Risks

There’s also the impact of inflation, which affects both Treasury, mortgage and other fixed-income investments. Rising inflation reduces the actual return on a fixed interest rate investment, so with 2% inflation, that 6% mortgage note returns only 4% “real” interest.

If inflation is expected to decline for the foreseeable future, you can bet that mortgage rates have some room to fall. Conversely, an outlook which suggests higher inflation ahead will see mortgage rates rise, sometimes very quickly.

Also, a poor economic climate affects mortgages much more profoundly than Treasuries. After all, the US government isn’t likely to lose its job and suddenly stop making payments, but it’s a safe bet that a percentage of homeowners will, even in good economic times.

There’s much more to the structure or bond, mortgage and capital markets, including government influences and overseas relationships to our capital markets which can also have an effect, but the above should be enough to give you a modest working knowledge of the market. You’ll notice that so far, we didn’t mention the Fed at all. Fed moves have no direct effect on fixed rate mortgage pricing, but their action or inaction (and expectations thereof) can indeed have indirect effects.

The Fed’s Role

Contrary to popular myth, the Fed (more properly, the Federal Reserve) doesn’t control mortgage rates. (For more on this, click here.) In fact, their most well-known policy tool — the Federal Funds rate — is the overnight interest rate which banks charge each other when a bank needs to borrow money to meet end- of-day reserve requirements. Simply, those rules say that a bank must have so much cash on hand when the books close at the end of the day, and those funds can be borrowed from another bank at this interest rate. You should know that the Fed merely “suggests” what that rate should be, which is why it’s called a “target” rate; the actual rate is negotiated between the borrower bank and the lender bank.

A good way to keep a handle on the Fed is to remember that the Fed Funds rate is the shortest of short-term rates — literally, an overnight loan — and a fixed-rate mortgage is all the way at the other end of the scale, a loan that lasts as long as 30 years.

From Fed Funds moves, there’s a complicated discussion of monetary policy about how Fed moves affect certain deposit and loan markets and inflationary expectations. We’ll leave that for another article.

The end result is that the Fed raises or lowers interest rates to help address increases or decreases in economic activity. Lower rates can help banks to make certain kinds of loans more cheaply, especially for business and certain kinds of consumer lending, and that can help to generate greater economic growth. Higher rates can cool demand, helping to keep inflationary pressures from forming.

In some ways, expectations of what the Fed might do can be more important than what the Fed actually does, as their actions or inactions can help to confirm or deny what investors believe.

You may also have noticed that sometimes the Fed cuts interest rates — and fixed mortgage rates actually rise as a result. Why? If the Fed is taking steps to address economic weakness by lowering rates, that likely means that a return to faster growth — and possible higher inflation, as well — is coming sooner, rather than later.

So what moves mortgage rates? Supply. Demand. Competition for money. Inflation. The Economy. Expectations. And you, of course.

We hope that this helps you understand a little better how the whole thing works.

Home Selling tips

Paul — Mon, 23 Aug 2010 14:43:09 +0000

It’s About the Basics:

RISMEDIA, August 23, 2010—Since the housing boom ended and the market began to shift, the phrase “going back to basics” has been tossed around quite frequently. From the way agents handle their business to the way they communicate with clients, the phrase has gotten quite the workout.

But what about consumers? They were caught up in the housing boom as well…with homes selling in a day, sometimes a few hours. Getting back to basics seems like something simple that sellers should look at as well. It might just mean the difference between selling within a month and selling within a year.

Here are some basic tips from State Farm on selling a home:

Set your price carefully
Too high and buyers may not consider it, too low and you’re selling yourself short. Agents often give a free home market analysis if you ask. This gives you an idea of how your home compares financially with similar, recently sold homes in your area. The analysis may also include how much you might expect to earn after closing.

Don’t do major remodeling
Don’t break the bank preparing your home for sale. Pricey items such as a new roof may be big hits with buyers, but rarely does the buying price end up covering the payout for such costly home improvements. When possible, stick with the simpler (and less expensive) options rather than major remodeling.

Make a good first impression
Curb appeal is important. Keep your lawn and other landscaping neatly trimmed, weeded and watered. Check the exterior of your home for signs of wear and damage, such as peeling paint, foundation cracks or loose shingles, and fix what is needed. Clean the outside of the house, including windows. Many people suggest giving the front door a fresh coat of paint for that warm, welcome feeling. In addition, adding a few flowers in the spring and summer, or keeping the walks cleared of leaves and snow in the fall and winter can be inviting to potential buyers.

Clean!
The obvious seller’s commandment: thou shalt clean. Remove all clutter from every room, including closets. Organize your basement and attic. Have a garage sale with all the stuff you don’t want to move to your next home! Wipe down and paint walls and trim if necessary. Many people advocate repainting with a neutral color palette to appeal to a wider range of potential buyers. Clean all windows, light fixtures and ceiling fans. Bathrooms should always be squeaky clean. Inspect and make any necessary repairs to the plumbing, heating, cooling and electrical systems. Highlight the bath and kitchen by selecting some attractive new towels, curtains or cabinetry knobs.

And keep it clean
Maintain the new and improved interior and exterior of your home until you successfully sell. It’s hard, but it’s necessary. A professional cleaning service may be able to help maintain the new clean look with occasional visits.

Light it up
When showing your house, provide plenty of light and make your home a warm, welcoming place. Open the curtains to let in the sunshine. In the event of an evening showing, make sure you have ample lighting available in all areas. Fresh cut flowers make a nice addition, and a pleasantly scented house is very inviting.

Go away
Many agents and potential buyers would prefer that the seller not be present during a showing, to avoid limiting the buyers’ conversation or making them uncomfortable. Children and pets should also be absent or out of the buyers’ way during a showing, if at all possible.

Vacant Homes & Insurance

Paul — Wed, 04 Aug 2010 13:01:53 +0000

Vacant Homes Pose Insurance Risks

RISMEDIA, August 4, 2010–As the U.S. housing market struggles to rebound, many homeowners are stuck with hard-to-sell properties longer than expected. Some frustrated home sellers who must relocate for a new job opportunity, want to downsize or simply want to buy a new place have left homes empty. Vacant or unoccupied homes can leave the homeowner exposed to loss and liability that may not be covered by their insurance, according to the National Association of Insurance Commissioners (NAIC).

The Pending Home Sales Index, released today by the National Association of Realtors, dropped 2.6 percent to 75.7 based on contracts signed in June from 77.7 in May, and is 18.6 percent below June 2009 - another sign of the stagnant housing market.

“In many cases, people who have been trying to sell their homes for awhile have moved forward with their plans regardless, leaving a vacant home on the market,” said NAIC President and West Virginia Insurance Commissioner Jane L. Cline. “Having an unoccupied home can create several insurance implications that typically are not covered under a standard homeowners policy.”

The Added Risks of Vacant Homes
Homeowners policies are meant to insure homes that are occupied, so they generally include exclusions for neglect or property abandonment on a home left vacant or unoccupied for a specified number of consecutive days.

In insurance terms, a vacant home is one the resident has moved out of and taken his/her belongings with him/her. An unoccupied home is one where the resident is not staying at the home, but the furniture and other belongings remain.

Because vacant and unoccupied homes pose a higher risk for damage than occupied homes, insurance companies insure these properties differently and usually at a higher price. These risks include:

– Break-ins: When a home has been unoccupied for awhile, it can show signs that nobody is around - unkempt lawn, full mailbox, no lights on - that can tip off burglars to an easy target.

– No emergency response: Without anyone home to call 911 or respond to emergencies, a manageable problem - such as a small electrical fire - can turn into a much larger, more costly disaster.

– Property liability: There is no one present to prevent others from entering the property or to supervise activity, which could increase the likeliness of an accident on the premises or property damage when the owner is not there.

Keeping A Vacant Home Properly Insured
The definition of vacancy and unoccupancy can vary from policy to policy. Some insurers may not pay claims if a home is vacant for 60 days or more. Some policies might automatically shift to a different amount of coverage (e.g. liability insurance only) after a specific number of days unoccupied.

Many homeowners policies have a “vacancy clause” that can be triggered if the homeowner is gone for an extended period of time. If this happens, the homeowner could violate the terms of their contract and some or all of their coverage may not apply in the event of a loss.

“Before you decide to leave a home vacant or unoccupied for a long period of time, talk to your insurance agent or company to learn how they define vacancy and unoccupancy, and whether the company will pay claims if a house is unoccupied,” said Cline. “Be honest about your situation, because while an extra policy might cost more, it could save you money down the road should there be an accident or damage to the home.”

Many insurance companies offer an endorsement that will provide coverage for a dwelling that is unoccupied for an extended period of time. Vacancy policies can also be purchased for different term lengths to cover a few months to a year, depending on the need.