by Batiatus » Tue Dec 04, 2012 06:54 pm
I just bought a house last month and on the third week my 70 GL salt water tank Broke. It damage 60% of my flooring. The insurance company is replacing all the floors. With labor, materials and paint its coming out to $20,000.
Insurance made the check to us and lender.
Now my question is this. I did not hire a contractor. I did all the demo of all the baseboard, flooring and clean up. I already paid for the floors and installers are already scheduled. They will repair drywall, install wooden floor and baseboard. About $12,000. I bought tiles for the laundry room and doing the install myself. Im also going to do the painting.
So what is there us money left on the repairs since I did most of the labors and saved money on materials since I went to a wholesaler. The wooden floor are originally $5.99 sq/ft but I paid $3.99 sq/ft.
Thank you
Insurance made the check to us and lender.
Now my question is this. I did not hire a contractor. I did all the demo of all the baseboard, flooring and clean up. I already paid for the floors and installers are already scheduled. They will repair drywall, install wooden floor and baseboard. About $12,000. I bought tiles for the laundry room and doing the install myself. Im also going to do the painting.
So what is there us money left on the repairs since I did most of the labors and saved money on materials since I went to a wholesaler. The wooden floor are originally $5.99 sq/ft but I paid $3.99 sq/ft.
Thank you
Posted: Wed Dec 05, 2012 01:25 am Post Subject:
If there is money left over, you keep it (but your mortgage company needs to sign off on the check). If you did some work yourself, did some work to get lower prices, managed the job instead of a contractor then I you should be paid for your time. Your carrier paid what they felt the claim was worth and was owed under the terms of the policy. What you do with the money after that is up to you (and your mortgage company).
Do you have a Replacement Cost Policy? If so, and Actual Cash value was paid, then you need to submit confirmation to your carrier that repairs were done so that you can be paid the difference between ACV and RVC (the depreciation).
Posted: Wed Dec 05, 2012 03:45 am Post Subject:
The original flooring was laminate and I replaced them with hardwood flooring. Also the laundry was also laminate and it had mold because this was on the basement. I replaced the flooring with tiles.
I saved money on the labor because I directly hired these guys who work for the company. I just cut the middle man
Posted: Thu Dec 06, 2012 07:58 am Post Subject:
You're fine. As tcope said, you were paid what the insurance company considered the Actual Cash Value for your loss (replacement cost minus depreciation). If you are entitled to Replacement Cost, but completed the work, with upgrades, for less than the amount you were already paid, there is probably nothing else to claim. You get to keep the difference.
Posted: Tue Dec 11, 2012 05:12 am Post Subject:
Ok. So ive been calling my adjuster and emailing him about my check. I told him my lender said that I need to endorse the check and mail the check to them. It will take my lender 10 business days to process to at least give me 1/3 of the amount in order to start the construction.
On friday he said paymet will go out. I check online and I dont see any payment. I called customer service and they told me no payment went out.
So on Saturday I emailed him telling him if I will receive the paymennt by monday, because my lender informed me that it will take 2 days to post to my account then another 10 days for them to issue me a check. I need 3 days to acclimate the new floor so thats abot 15days. I asked him to give me temporary housing since my kids will be with me for the holidays. He responded that he will drop the check to me personally on Monday. I was not home and he just drop it on my mailbox. The check was made out to me only and not the lender. what shold I do? have another check or call the lender?
Thanks
Posted: Tue Dec 11, 2012 05:03 pm Post Subject:
The check was made out to me only and not the lender. what shold I do? have another check or call the lender?
Just use the money to fix the damage, and be prepared to provide receipts for the work to your lender.
Or you can call your lender and explain the situation.
Regardless of which you choose to do, you do need to know if your lender requires the work to be performed by a licensed contractor -- not Do-It-Yourself, or using an unlicensed "handyman" or day laborers from the Home Depot parking lot.
If you violate your loan contract, they may have the right to force you to pay off your mortgage as the result of your breach of contract. It's known as an "accelerate clause". Failure to comply would lead to foreclosure.
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