Is home insurance cheaper for newer homes?
"I’m in the market for a house, but I don’t know whether to go with an older place or a newer place. Would I pay lower insurance rates if I buy a newer home?
“Insurance can be lower for newer homes because all of the utilities in the home are new (the furnace, plumbing, roof, etc.). Plus, most insurance companies give a new construction discount. Companies like to insure new homes because they are typically lower-risk.
However, older homes can get credits or savings for new or replaced parts. When buying a home, it is important to find out when the roof was last replaced, how old the furnace is, and if the electric system is up to code. Try to stay away from older electric systems in homes, because they can be expensive to replace and hard to insure.
So to sum things up, the insurance on newer homes can be cheaper, but if you know when everything was last replaced, you can get savings off your insurance if you decide to go with an older home. “
Did this answer help you?
Ask us a question by email and we will respond within a few days.
Have a different question?
You can meet us at our office and discuss the details of your question.
Read advice from car experts at Jerry
Browse by topics
What others are asking
Should I pay off the remainder of my car loan with a 0% interest credit card?
"I wanted to refinance my car, but because I rolled a previous car loan into my latest car loan, the loan-to-value ratio is too high to refinance. I currently have an interest rate on my car loan of 11%. However, I found a credit card that offers 0% interest for 18 months, and I think I can pay off the loan within that time frame. Should I do it?"
Jun 02, 2021
Does it matter if my daughter or I am the primary driver on our insurance policy?
We drive different cars, but does it matter which one the insurance company assigns to each of us?
May 24, 2021
Should I get a car loan or a personal loan to buy a Subaru Crosstrek?
"I can pay off a loan in a year, as I'm going to receive an inheritance. However, I don't know which type of loan to get. For a Crosstrek, is it better to get a personal loan or an auto loan? How will each affect my credit score?"
May 21, 2021