Wildfires: Impact on Buying and Selling Real Estate
Once again, Kelowna finds itself in the middle of numerous forest fires. With our dryer climate and higher temperatures, it’s a natural hazard we face each year. Along with the emotional and physical damage that homeowners experience, how do wildfires impact buying and selling real estate?
When there is an active fire…
When there is an active wildfire in the region, home buyers may not be able to get insurance, which in turn, will prevent them from securing a mortgage. This means that real estate closings will be delayed.
As the seller, do not cancel your insurance until you receive the proceeds of the sale. Home sellers are responsible for the home until 12:01 on the Completion Date. If the Completion Date is extended, so is the seller’s responsibility to have insurance.
Ask a professional…
If you have any questions regarding your particular situation, seek the help of a lawyer and insurance specialist. There are many Wildfire Clauses and Covenants on Land Titles that you will want to fully understand.
Stay safe and be responsible!