It is not out of line for vacancy insurance. If you get a regular rental policy most will give you 30 days to get it occupied no matter how long you paid for. If it goes over the 30 days the policy probably says they can (and do) deny any claim.
I have a small question concerning hazard insurance. Specifically I may be buying in the next few days a SFH at auction (foreclosure). Although I will not have actual possession of the property until the end of a court ratification period (approx. 45 days)I am liable as soon as the sale is complete at auction. My question: today I contacted my insurance agent for a short term policy (replacement cost of $52K) as I intend to buy and immediately resell. The agent gave me a rate of $436.00 (payable in advance)for 3 months. This rate is for a non-own. occ. empty residence. Does this rate sound about right or should I pursue other quotes?
You bet it is high, especially for a SF. Call around and get quotes. Do not tell them it will be vacant. Tell them it will be rental property. This way it will be covered while it is vacant (while you look for tenants shhh…)
Pay for a year or 6 months, then when you sell, you get the remainder of the premium back as a refund.