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  • Writer's pictureCharlotte Burr

Fix and Flips-What You Need to Know

When discussing fix and flips, you must first understand fix and flip insurance. Homeowners insurance and landlord policies cater to primary residences or rental properties, but house flipping insurance steps beyond these conventional protections. Specifically tailored for vacant or fixer-upper houses, this insurance encompasses properties in disrepair, those in need of refurbishment, or distressed homes requiring substantial renovations for resale at a profit.

These properties often remain vacant for extended periods, whether undergoing renovations or awaiting rental or sale, the risk of potential losses escalates. Vacant houses become targets for burglaries since they are vulnerable to theft. House flipping insurance helps cover you if these unfortunate circumstances happen depending on your coverage type.

Hard money vs traditional lending: When fixing and flipping a house it is important to know the differences between hard money loans and traditional loans. The first aspect to compare is speed. Hard money loans require less documentation and are approved by a bank much faster than a traditional mortgage. Another aspect to compare is the payment process. Hard money loans are usually expected to be paid off between 6 months and 2 years. Traditional mortgages take upwards of 20-30 years to fully pay off.

Hard money loans are tailored for fix and flips: With a faster approval rate and a payment plan that is customized for a real estate sale, Hard money loans are optimal for investors that are in the fix and flip business.

At AZ Insurance Team we specialize in fix and flip insurance, give us a call today! (480)-535-5709

Independent insurance brokerage located in Tempe, AZ. We offer auto insurance, homeowners insurance, life insurance, renters insurance, commercial insurance…

Disclaimer: Coverage will vary on state, insurance company, and type of policy.


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