As the landlord of a house, you will almost certainly be the owner of the property’s freehold too. This means responsibility for maintaining the building and the land it is on also falls to you.
Give or take a few exceptional circumstances, most houses for sale come with their own freehold agreement in place. For those fortunate enough to own a buy to let house, either with or without a mortgage in place, it is important therefore to make sure the cost of any repairs is also covered by having the appropriate landlord house insurance in place.
Landlord buildings insurance tends to provide for the loss or damage of a property itself, and more often than not, will also pay out in the event of a fire or flood, for example. Some policies will also provide insurance for malicious damage to a property caused by the people you are renting it out to and should always cover the cost of repairing or rebuilding a house if required.
Many insurers will also make provisions for structural damage caused by outside disasters both to the main buildings and those outside, such as fences, walls, sheds and garages. Burst pipes, leaks, smoke damage and other issues caused by one off incidents or inclement weather conditions, for example, may also be provided for.
Buy to let
For buy to let house owners with a mortgage in place, buildings insurance will likely be a key requirement that your lender will request to be in place before a loan can be made. Those without a mortgage in place are under no legal obligation to have buildings insurance in place, but as a key investment for you and your family – either as a standalone venture or as part of a wider property portfolio – the need to protect yourself against any further costs which may be incurred as a result of your ownership is paramount.
Securing appropriate landlord house insurance may also involve taking out a joint buildings and contents insurance policy, depending on whether you are letting your property out without any furnishings at all, or as a part of fully-furnished house for rent. Either way, repairs to a house can be extensive and expensive – and a real drain financially, especially without the appropriate landlord buildings insurance in place.
As a buy to let house owner, can you afford not to make sure the bricks and mortar you are banking on making you a sound and secure return on your investment is protected as fully as possible, therefore? Landlord house insurance offers comprehensive cover against fire, flood damage, structural issues including subsidence and, heaven forbid, the cost of rebuilding - should it quite literally all fall down in front of your eyes.