For many people, 2010 marks the time when they will be buying their first home.Â A federal tax credit of up to $8,000 for first time home buyers has made it a little bit easier to buy a home.Â Buying a home is a big financial decision, one in which if made appropriately, can lead to personal and financial benefit over time.
With this decision comes more responsibility.Â This responsibility in part relates to homeowners insurance. Â Many buying a home for the first time will have just come from a rental situation where if they had insurance, all they had to do was have insurance to cover the contents.Â With a home purchase, the owner is now responsible for insuring the structure as well as the grounds the structure is on.
It is important for first time homeowners to consider insurance before buying a home.Â Premiums very based on a number of factors.Â Older homes may be more susceptible to fire, while newer homes have more modern materials making them more fire proof.Â Also, the difference between living in the country or the city can have an effect on the price of insurance.Â Homes in rural areas can be more expensive to insure because they can be farther away from fire protection services.
While these are just a few things to consider before buying your first home, more research should be done by the purchaser to determine what insurance hazards there are with a prospective home.Â If you are considering a home, you should talk to a qualified insurance representative to help ask the right questions to make sure you are getting the best insurance advice.
For more information about California Homeowners insurance, please see www.aisinsurance.com/california-homeowners-insurance.
This content is offered for educational purposes only and does not represent contractual agreements. The definitions, terms and coverages in a given policy may be different than those suggested here and such policy will be governed by the language contained therein. No warranty or appropriateness for a specific purpose is expressed or implied.