[quote=urbanrealtor][quote=paramount]In general if a property is managed by a property management company, the actual eviction process (and related costs) is typically covered under a standard management contract.
What isn’t covered is lost rental revenue, possible damages to the house, etc…that’s where Eviction Protection Insurance comes in – it covers those expenses so essentially an eviction is no cost to you as the property owner at all.
I pay $15/month for the insurance.[/quote]
I am a property manager and I have heard of this but not come across it.
Who carries this that you deal with?
I am very curious.[/quote]
I think there are insurance companies that offer it, but from my experience dealing with management companies they just work the numbers in a way to benefit themselves and make more money off the owners. They calculate how many homes in their portfolio have an eviction in a given year. Figure out the cost associated then divide it by the number of units managed and offer it to everyone with a little extra for themselves. Some of the ones I’ve come across actually have different levels with different monthly rates for more or less coverage in the instance of an eviction.
Say you manage 100 units and charge $15/month as mentioned above. Of course not all of the owners go for it, but if they did that would be 18k a year and would probably cover a couple months of vacancy or a couple tall cans of Coors. Not that all property managers drink Coors…that’s probably just me.
