Tenants who refuse to pay their rent are the single greatest obstacle to success in the rental market, whether you are in commercial or residential real estate doesn’t matter. It’s a little harder when your margins are thinner, though, and housing markets tend to operate in a small window of profitability before demand falls off due to the higher cost of living. That means many property investors with long-term holdings need legal expenses covered tenant stops rent. There are options for this that will help round out the risk management plan for your business, that’s the good news.
Rescue Yourself From Rent Stoppages
It’s not quite a traditional insurance product, but rent default insurance is out there for those who know how to ask for it. The issue isn’t that it is hard to find, it’s that many investors do not realize they have an option that protects their investment this well. With rates that can be easily worked into the rental rate, there’s no good reason to leave yourself unprotected. One option for quotes is www.rentrescue.com, with a scalable insurance option that covers replacement for lost rent as well as a portion of your legal expenses. In locations with the right tenant law, this could be enough to get out of most sticky situations.