My husband owns a rental property in NYC. It's a 2 family residence with his parents living on one floor and a tenant living on the 2nd floor.
Recently, we've had a lot of complaints from the tenant about heating issues to the point where the landlord / tenant relationship has deteriorated significantly.
I just found out that they've been running this rental property without landlord insurance. I (perhaps overly so) flipped out and felt he was putting our personal assets at risk (my name is not on the property but my husband's is)
My husband said that because his parents live there and maintain a homeowner's policy that a separate landlord policy is not necessary. I asked about potentially placing this business within an LLC and he seemed content to sit on his hands and not rope in a lawyer and the associated legal fees.
My retort was that if he wants to be involved in rental property, he needs to put in the appropriate time, research, and investments to make it a legitimate protected business that doesn't threaten our unrelated (and sizable) personal assets.
Am I wrong? What would everyone recommend?
Recently, we've had a lot of complaints from the tenant about heating issues to the point where the landlord / tenant relationship has deteriorated significantly.
I just found out that they've been running this rental property without landlord insurance. I (perhaps overly so) flipped out and felt he was putting our personal assets at risk (my name is not on the property but my husband's is)
My husband said that because his parents live there and maintain a homeowner's policy that a separate landlord policy is not necessary. I asked about potentially placing this business within an LLC and he seemed content to sit on his hands and not rope in a lawyer and the associated legal fees.
My retort was that if he wants to be involved in rental property, he needs to put in the appropriate time, research, and investments to make it a legitimate protected business that doesn't threaten our unrelated (and sizable) personal assets.
Am I wrong? What would everyone recommend?
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