3 Things Landlords Should Know About Co-Op Insurance
Investing in real estate is a great way to make an additional side income. You might consider buying into cooperative housing, often called co-op apartments. Essentially, it’s a building full of apartment units or condominiums, each owned by individual residents. These units are especially popular in large cities like Washington, D.C. and New York, where homes within the city are sparse.
Once you’ve purchased a co-op, you’ll want to fill it with buyers. While you’ll be selling units to autonomous individuals rather than renters, it doesn’t hurt to run a tenant background check free of charge. Whether or not they pay their mortgage is the bank’s problem, but you want to avoid criminal activities or disputes between neighbors as much as possible. You’ll also need co-op insurance. This is an essential component of buying a condo building that landlords should understand fully before taking out a policy.
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