hi all,
i thought i would bring up a topic for debate.
several weeks ago there was a unit that blew up from a “gas explosion”
http://www.abc.net.au/news/newsitems/200409/s1209017.htm
any way i have it on good authority, that the “gas” came from the tennant cooking up illegal substances (supposedly) and the fridge motor arced which ignited the fumes.
my thoughts are,
why wasnt the unit being inspected regulary by the property manager.
The owner of the unit did not have landlords insurance. As the explosion nearly demolished the whole block of units and did damage to several houses around it. Who’s insurance is going to cover that?
I guess this is just a friendly reminder, that without insurance, murphy’s law will almost always come into effect!
Thoughts anyone?
cheers
shaunLead, Follow or get out of the bloody way
Hi shaunwalker,
This subject comes up daily in my office with clients,
We do inspections every 3 months(nsw law only allow’s quarterly inspections)religiously it’s a system more agents should take on board, If the tenant know’s were coming every 3 month’s there’s more of a chance the property will be in good condition and to check if any Ilegal practises are being carried out.Secondly, Landlord protection insurance very important a friend has a IP in newcastle and guess what, a fire brakes out taking the kitchen and dining room out.
He can count his lucky stars he had insurance, property was being repaired and collecting rent at the same time.Imagine otherwise.
Joseph Scarcella
prime real estate agents
property management specialists E: [email protected]Secondly, Landlord protection insurance very important a friend has a IP in newcastle and guess what, a fire brakes out taking the kitchen and dining room out.He can count his lucky stars he had insurance, property was being repaired and collecting rent at the same time.
Hi Joe and Shaun,
While this sort of ‘issue’ causes grief to the landlord it is not even close to the grief caused by a public liability claim. This is even bigger issue as the dollars involved and the strain on the individual landlord concerned are far greater.
To give an example – a boy in WA fell through a glass shower screen and died from blood loss. Someone in the properties past had replaced the safety glass with standard glass – the authorities haven’t been able to identify who is responsible but the pressures on all parties are significant and, in this case, compounded by the tragic loss of life.
Give me a burn’t out building or loss of rent anyday.
Derek
[email protected]Property Investment Support Available. Ongoing and never stopping. PM welcome.
Hi derek,
I agree with you, please dont take it the wrong way I was only responding to the risk’s of not having insurance.
cheers
Joseph Scarcella
prime real estate agents
property management specialists E: [email protected]Hi Joe,
Not a problem and no offence taken at all.
It’s just that most (all ?) people primarily focus insurance issues on matters related to building damage/loss, loss of rent etc without due consideration of public liability matters.
Hopefully my comments will highlight this aspect of insurance for other landlords.
Derek
[email protected]Property Investment Support Available. Ongoing and never stopping. PM welcome.
There’s also a point in there about doing repairs the right way, without being a cheapo…..
who knows what may happen because someone does a fix the cheap & nasty way……
sad really…..
You may know the cost of everything…. but what about the value ????
Hi Derek,
My PM’s pointed out this incident and asked if we wanted an inspection ($’s for them)of the glass in the shower area.
I pointed out we didn’t have any in that property!
As part of a massive mail-out to all thier clients, i wonder how much extra ca$h they raked in from that? They offered to have it replaced if need be from a contractor they had organised..
It came across as an excuse for making money as they didn’t even check whether the IP had a glass shower screen.
REDWING
“Money is a currency, like electricity and it requires momentum to make it Effective”
Count The Currency With This Online Positive Cashflow Calculatori hadnt even thought of the public liability of this. i do know that a security guard was hired to protect the property the first night it happened. the next day the insurance company decided it didnt need a security guard there. and lo and behold the other units were broken into that night and a fair amount of stuff was stolen.
the units strata titled so at least public liability can be addressed in good concience.
on another note, my IP which is about a block away from this, had been tennnanted for two months but i had forgotten to get landlords insurance!. i dont know how it slipped my mind, but rest assured i got it put in place very quickly
cheers all
shaunLead, Follow or get out of the bloody way
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