House Insurance on Investment property - no tenants

S

Snork Maiden

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Hi,

If you have an investment property with an investment mortgage, do you have to have Landlord house insurance even if you dont have the property rented out?

Currently the house is being lived in by one of the owners so no tenants, but when the mortgage was taken out the bank insisted on Landlord insurance. The house insurance is due for renewal today and it will cost well over €150.00 extra for the landlord insurance which the owner doesnt want to pay if he doesnt need to.....

Has anyone any ideas?

Thanks.
Snork
 
If landlord insurance was a condition of drawing down the mortgage, then the penalty for not having it could be foreclosure.
 
Yes but realistically no bank is going to call in a loan over that, that condition would have to be have been put on if the mortgage type applied for was designated a 'buy to let' as obviously it was assumed to be let.

Once you have proper house insurance in place I doubt there will be any issue, many people have lapsed house insurance and the bank aren't rushing to call in the loans, won't happen.
 
Thanks for your replies.

If we did go with owner occupier insurance, would any future insurance claim be null and void?

There were never any tenants in the house as the house was initially purchased as an investment but due to change in circumstances shortly after it was acquired one of the mortgage holders/owners moved in and now there is no intention of renting it out (at least in the foreseeable future).
 
Once you give the insurer all the material facts then there should not be an issue, is it going to be occupied all the time by an owner? That will be the main thing.
 
Yes, it will be occupied on a full time basis by one of the owners.

Will declare the mortgage interest and other joint mortgage holder
 
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