Disaster decision - Do you need insurance?Written by Jakob Jelling
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are required to buy flood insurance through US National Flood Insurance Program. Of course, once those mortgages are paid, there is no longer a requirement to buy such insurance. But homeowners in those areas should carefully consider whether they really want to take risk that their home and everything in it could be swept away, leaving them with nothing but an empty lot. Homeowners that aren't in designated flood hazard areas should still know that floods can cause plumbing problems, like sewer and septic backups. These often aren't covered in a standard homeowner's policy, and they may want to consider an endorsement for coverage. In US, many tend to think that only area along west coast is subject to earthquakes. This isn't true however, and 39 US states have some potential for earthquakes. Coverage for seismic events can be very expensive in California and other western states, but homeowners in other states should evaluate cost vs. earthquake risk for area where they live.
Jakob Jelling is the founder of http://www.cashbazar.com. Visit his website for the latest on personal finance, debt elimination, budgeting, credit cards and real estate.
| | At home in your overseas homeWritten by Jakob Jelling
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When you're certain you want to buy, be sure to enlist help of real estate and legal professionals in your chosen country. This is a good idea of course even in your home country! When shopping, you will want to be as thorough as you would when shopping for your main home. Inspections, neighborhood comparisons, and location considerations are just as important. You may want to talk with other homeowners in area to ask about home construction quality, security issues, etc. You will need to make suitable financing arrangements too, and consider current interest and exchange rates where needed. Don't forget possible tax implications in your home country as well. Finally, be sure to think about arrangements for someone to look after your second home when you're away. It will need to be checked and maintained regularly, just as your main home.
Jakob Jelling is the founder of http://www.cashbazar.com. Visit his website for the latest on personal finance, debt elimination, budgeting, credit cards and real estate.
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