How Do You Arrange Your Homeowners Insurance Before Closing Your Mortgage?
You must have homeowners insurance when you go to the closing table, and the attorney on the deal will need proof of insurance. This article explains how you arrange your homeowners insurance in advance of a sale, and you will find that your homeowners insurance company accommodates you in advance of your closing date. You will receive the paperwork you need for your closing once you have followed the instructions in this article.
#1: Find A Carrier You Prefer
You must research insurance carriers all around the state. Homeowners insurance in Texas is quite unique, and you must select a company that serves you well in the state. An agent many help you write a policy, or you may work with someone at their corporate office. Your research will tell you which homeowners insurance company offers the best value, which company has the best customer service and which company will communicate with your attorney.
#2: Write The Policy First
You already know how much you are paying for your home, and the value you pay for the house may be forwarded to a homeowners insurance agent at any time. The agent will begin writing your policy, and the policy paperwork may be forwarded to your attorney before the closing. Take the paperwork to the closing yourself, and your lawyer will use the paperwork to complete your closing.
#3: Keep A Copy Of Your Paperwork
You must keep a copy of your paperwork for the future. Homeowners insurance policies are required when you hold a mortgage on your house, and your mortgage company will purchase homeowners insurance for you if your policy lapses. You must be able to prove when you took out the policy, and your paperwork will show that the policy was originated before you purchased your home. You cannot prove your case when you do not have a copy of the paperwork in your possession.
#4: Choose The Policy That Is Most Accommodating
You must choose a homeowners insurance company that will accommodate your needs prior to your purchase. A local agent in Texas can help you write your policy, and the agent can do most of the communication with the lawyer. Lawyers need to have the information from your homeowners insurance policy for their records, and a copy of your paperwork will be sent to the mortgage company. The mortgage company uses the paperwork to verify your insurance policy, and you must send updated paperwork to the mortgage company when your policy changes.
Homeowners insurance is a requirement for your mortgage, and you must visit your agent in Texas to begin the policy purchase process. You must purchase your policy before you close on your home, but the policy will not take effect until you close on your home. The mortgage company needs proof that you have insurance, and the lawyer on your closing must have the paperwork for their records. Your agent may send the paperwork to the lawyer on your behalf, or you may take the paperwork to the closing yourself.