Melissa,
I'm sorry to hear about your insurance. My mom's insurance did the same thing. So she said, okay since you guys are going to be that way I'll rebuild. She acted as her own "contractor" and drew up plans. She hired different guys to do different jobs. When all was said and done, she got every penny of her money back and ended up with a mansion (5400 sq ft) of a house. She turned her upset into a positive. Now she has the house she always dreamed of. It's worth hundreds of thousands of dollars now vs. tens of thousands when she bought it. AND she owes less money on this house then she did on the other one. In fact, I think she paid off the loan and took out a smaller loan for some other stuff that was house related, but she had collected every cent of her insurance money already. The down side of what she did is they raised her taxes astronomically. So if you go that route, beware that this can happen and I'd say especially in CA where the taxes are higher anyway. If you don't like what this contractor is telling you go to another one. There are plenty of builders out there. They always put that loophole in home insurance policies. It's the buy out price or the "rebuild" price. I hope you can manage and still end up with the same house payment that you would have had originally. Yes, I agree, that's too long to take to build a house. This is building season!
I'm sorry to hear about your insurance. My mom's insurance did the same thing. So she said, okay since you guys are going to be that way I'll rebuild. She acted as her own "contractor" and drew up plans. She hired different guys to do different jobs. When all was said and done, she got every penny of her money back and ended up with a mansion (5400 sq ft) of a house. She turned her upset into a positive. Now she has the house she always dreamed of. It's worth hundreds of thousands of dollars now vs. tens of thousands when she bought it. AND she owes less money on this house then she did on the other one. In fact, I think she paid off the loan and took out a smaller loan for some other stuff that was house related, but she had collected every cent of her insurance money already. The down side of what she did is they raised her taxes astronomically. So if you go that route, beware that this can happen and I'd say especially in CA where the taxes are higher anyway. If you don't like what this contractor is telling you go to another one. There are plenty of builders out there. They always put that loophole in home insurance policies. It's the buy out price or the "rebuild" price. I hope you can manage and still end up with the same house payment that you would have had originally. Yes, I agree, that's too long to take to build a house. This is building season!
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