![]() ![]() As mentioned previously, premiums for NFIP policies are paid in full for an entire year. The only slight downfall to a policy transfer may fall on the seller. Premiums for NFIP policies are paid annually, so by assuming an existing policy you do not have to worry about paying a flood insurance premium until the renewal date. This can save you hundreds, if not thousands, of dollars on your required flood insurance. Additionally, if you are buying a home that has been recently moved, or will soon be moved, into a high-risk flood zone, you can assume the existing policy on the home and keep the rates for the lower-risk flood zone. ![]() Policy assumption allows the homebuyer to avoid the extra cost of an elevation certificate, which are typically required for properties in high-risk flood zones. With policy assumption the buyer does not have to go through the hassle of meeting underwriting requirements to purchase a flood insurance policy for the home, which can help your property sell faster.Īnother major benefit of this process is that it can be more cost-effective for the buyer. If your home is in a high-risk flood zone it can be difficult to sell your property in a timely manner due to flood insurance requirements. This process is called “policy assumption” and can make the homebuying process easier for both the buyer and seller. Did you know that National Flood Insurance Program (NFIP) policies can be transferred from one property owner to the next? If you are selling your home let the buyer know that you have an existing NFIP policy that can be transferred to them. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |