Step 16 to Buying a Home: Set Up Homeowner’s Insurance
One of the things the mortgage underwriter will require you do at some point during the underwriting process is to set up Homeowner’s Insurance
So it’s better to get a start on this task now. For most people, your home is the biggest purchase you will ever make and you want to make sure it’s properly insured.
My biggest piece of advice is to shop your homeowner’s insurance around because rates can vary dramatically. I recommend starting with whatever company insures your car and getting a quote from them first as you’ll likely get a discount for already having car insurance through them. After that, reach out to at least two other insurance providers for quotes.
Once you have chosen your insurance carrier, give the details to your Escrow Officer. They will arrange for coverage to go into effect at closing. They will also provide your underwriter with proof of insurance. They’ll need this before they can approve your loan.
Go back to Step 15 to Buying a Home: Review the Condo Documents, go forward to Step 17 to Buying a Home: Removing Contingencies.