Michigan Real Estate Blog

Real estate tips from Danyl Collings of REAL ESTATE EXECUTIVES.Information is provided by “It’s Time to Move Up”, the real estate resource for consumers who want their questions answers in ways they can understand. For more information please visit www.danylcollings.com or www.itstimetomoveup.tv

www.LarryGoinsFreeOffer.com Larry Goins Presents “How-To” Real Estate Tips And Real Estate Training Course Tips With Todays Topic Why You Should Invest In Real Estate? See www.LarryGoinsFreeOffer.com For More Information Now!

Getting less traffic and leads for your real estate website lately? Are you already feeling as if you want to quit because you are not receiving the quantity that you should be receiving? Could this be a lesson to you for failing to keep up with the necessary qualities that a deserving real estate should really be doing? There could be something wrong with your marketing tactics and the way you communicate with your general market audience. It could also be a case of how you build relationship with complete strangers who are interested to learn all about real estate.
Let us stop right there for now. Checking your marketing tactics is a very good idea. But you really wouldn′t have a complete clue how to do it, would you? How are you able to assess your very own marketing progress? At this point you may get confused, but don′t let it take over your entire system just yet There are still far better solutions than just thinking you are not an effective real estate agent.
Instead of brooding over your mistakes and the factors that caused you to get this kind of shortcoming, try other real estate marketing tactics. Don′t stick to what you already have because you’ll never know if it really is the most effective marketing style for you. The person who has recommended it to you may have used it to his advantage while it didn′t work the same for you. This means that there are many variations of marketing styles available and real estate agents are supposed to go out there and find which ones are best for them. Do the same.
At this point, it also calls for an effective learning opportunity. Just as you search for the most compatible marketing tactic for you and your real estate business, it′s also good to learn new and helpful strategies in using the convenience provided by the Internet. Perhaps, discover an updated approach to an already known marketing technique. By keeping yourself updated with the latest useful tactics in real estate marketing, you help yourself become a better real estate agent.

Tips from Tewksbury, MA real estate attorney on whether or not it is better to sell your house with an agent or by yourself? www.netitle.net

Homeowners’ insurance is a must for any owner of residential real estate. It has been around for many years, coming to the rescue of many real estate homeowners. Leaky pipes and their subsequent damage have been causing homeowners grief for an even longer time. Homeowners’ insurance has alleviated such problems by underwriting the cost for repairs.
I remember as a child my father making repairs with money from our homeowner’s insurance policy. He told me that there was never a claim too small, unless it was within the deductible range.
While my father’s information was correct for the times, the rules for small claims on residential real estate have changed. Submitting a small claim today, especially for water damage, could cost you multitudes more in the future.
A California Insurance Department study showed that 25 percent of insurance companies refused to renew policies for residential real estate owners, who made one or two non-water damage claims within the past three years. The figure rose to 32 percent, when the claims were water damage-related. This means the insurers are paying the legitimate claims but are apt to drop those real estate customers at policy renewal time.
Additionally, all insurers share claims information through the Comprehensive Loss Underwriting Exchange (CLUE) database. Not only are you apt to be dropped by your current residential real estate insurer, but others may not approve you. The study also showed that 62 percent of the top 13 insurers in the state of California refused applicants with only one-to-two claims in the past three years.
If another insurer does approve you, it will most definitely be at a much higher premium rate that will add up over the years to a much larger amount than the small water damage claim you made.
So, what has changed?
Toxic Mold
Litigators have jumped on the toxic mold lawsuit bandwagon. Toxic mold comes from water damage repairs that were incorrectly made or only partially cleaned up. It can literally make the real estate residents very ill. Some toxic mold is created by homes that were not quality built and allowed water to seep in between the outer and inside walls. There have been a few multimillion-dollar homes in California that had to be totally leveled due to toxic mold.
Insurance companies generally are expected to pick up the tab and then sue the repair contractor or original builder for reimbursement. This attitude has caused a lot of litigation – between insurers and residential real estate owners, as well as between insurers and parties assumed to be responsible for the toxic mold. They often lose court cases for reimbursement, as well as incurring attorney fees and court costs. Is it any wonder insurance companies have become gun-shy of small water damage claims that could lead to costly repairs and litigation later.
Administrative Costs
Another reason for the change in attitude toward water damage claims is the change in real estate insurers’ business practices. Since the early 90s, real estate insurers have looked for more practical ways to increase profits. Through studies, they found that small claims created the same large administrative costs as the larger claims, even though the payouts were small. They now weed out residential real estate customers who make small claims.
Alternative Game Plan for Real Estate Homeowners
Today, it is better not to make small damage claims of any type. Real estate homeowners should increase their deductibles to $1,000 or $2,500. This reduces their premium costs by as much as 30 percent. They are covered for large damages but not paying for services (small claims) that they are not receiving.
With the larger deductible, the premium savings can be placed into a savings account to pay for small claims that would earlier have been submitted to the insurer. Whenever used, the money should be replaced as soon as possible.
After seven-to-ten years of submitting no claims, most real estate insurers will qualify you for a claims-free discount, saving you even more money.
Is It Worth It?
In deciding if you should submit a claim (even a larger one), first determine if it is worth the possibility of losing your policy and/or paying higher rates. Add up all the repair costs. Determine how much the real estate insurer will pay, based on your policy. Subtract your deductible. Is the remainder only a couple hundred dollars or substantially more? Now, determine if it is worth it. Remember, even moving to another state will not escape the CLUE database.