Where readers ask, and we (the community) try to answer:
I was wondering does anyone out there have a good way to determine how much dwelling coverage one needs in the homeowners insurance in the city of San Francisco because I noticed when I get a quote from insurance companies, the dwelling coverage really ranges big because from what I was told, it’s basically the squae footage in living space multiplied by the cost per square foot to rebuild from scratch which has a big range. Assuming you were buying a home on the market which is not new, one major insurer said to use the appraisers cost of rebuilt on the appraisal report while others basically said it should be based on the cost per square foot whch ranges from $180 to $375. My question is does anyone know what the cost per square foot is or how to find out and I thought cost per square foot in general does not include the roof and foundation so will probably need some formula to figure that part out so it truly is a cost to rebuild 100% and not just the floor, ceiling and walls only. A good example is for a 1065 square foot home in San Francisco, there were few insurers that said coverage is $200k-$250k while some places said $350k-$400k. It’s hard to use the mortgage companies calculation because I think they base it on either the loan amount or the purchase price so it depends if you got the property at below and above the actua rebuilt cost. Thanks in advance for any input!
Thanks for the question, and reading theFrontSteps. When you’re ready to buy that house (don’t think we can’t see your Clean Offer activity-remember that access is in exchange for agreeing to work with us), you’ll have all your questions answered, and be able to thank us and our community for it. Now get yourself out there and spread the word about our site! You know we’d do the same.