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What is an Elevation Certificate and When is it Required?

Posted on July 27, 2022

There are many things we often consider prior to purchasing property. One of the things that we need to be aware of is the location of the property, or more specifically, whether it is in an area that is prone to flooding. In fact, the Federal Emergency Management Agency (FEMA) requires that all new or improved buildings in flood-prone areas have proper elevation. They ensure this by using elevation certificates to determine whether the property in question is susceptible to flooding.

Flood Insurance

Since 2013, every condo or home sold in Rhode Island must have a flood insurance addendum to an offer to purchase. This addendum is important because it helps to inform potential buyers of the cost of flood insurance based on the corresponding elevation certificate. This helps buyers to understand the additional costs that they may incur should they purchase the home.

Elevation Certificates

Elevation certificates are important because they include information such as the location of the property, the building characteristics, the flood zone, and the lowest floor’s elevation. These certificates are issued by the National Flood Insurance Program (NFIP) and certified by a licensed architect, engineer, or surveyor. Using the base flood elevation required by flood plain management ordinances, this certificate helps to determine the rate of your flood insurance premium.

Flood insurance is separate coverage not included in a homeowner’s regular insurance policy. Individuals with mortgages must have flood insurance that matches at least the amount of your mortgage. Your property can be foreclosed upon if you do not have the minimum requirement. Since Rhode Island is a coastal state, near lakes and rivers, with area more prone to storm waves, tidal surges, having flood insurance is extremely important for Rhode Island homeowners.

Can You Remove Your Home from the Special Flood Hazard Area?

Should your home be located in a high-risk zone that is still above the Base Flood Elevation, you may be able to have it removed from the Special Flood Hazard Area (SFHA) by filing a Letter of Map Change (LOMC). This would then allow you to convert the flood insurance policy that you currently have to a Preferred Risk Policy (PRP), which is less expensive.

Palumbo Law Helps Those in Rhode Island with their Water Damage Claims

When you are already stressed and dealing with paying to fix damage in your home caused by water, the last thing that you want to have to worry about it damage claim denial. That’s where a qualified property damage attorney, specializing in water damage, can help.

At Palumbo Law, our experienced Rhode Island Property Insurance lawyers work strategically to help our clients to get what they deserve. We have deep experience working with insurance companies and understand how to deal with them. If you are planning on filing a water damage claim, or if have already filed your claim and been denied, we can help. To learn more or to schedule a free consultation, call us today!

Protect Against These 3 Common Causes of Summer Fires

Posted on July 25, 2022

Many people think that fires only occur during the wintertime when the fireplace is glowing hot. However, fires are also a concern during the warmer months as well. It’s important to understand that outdoor fires, when not properly maintained, can lead to loss of property, serious injury, or even death. Here are three common causes of summer fires and how to protect yourself while enjoying your time outside.

1. Outdoor Cooking

Many people use the summertime as a great opportunity to cook outdoors. Grilling is a mainstay for many people when the weather is nice. Barbecuing with friends and family, camping in the great outdoors, and tailgating at a Red Sox game are all favorite summer past times. But whenever you’re cooking outside, you’ll want to do so safely. This means:

Remain at least 10 feet from all structures
Always cook on a level surface
When starting your grill be sure to leave it open
For small fires use a spray bottle with water
For grease fires use a lid of other source to cut oxygen
For any flame use a fire extinguisher
If a fire occurs and gets out of control call 9-1-1- immediately
Always clean your grill after each use

2. Fireworks

The summertime is often filled with fireworks, turning the night sky into beautiful, bright pops of color. But while they can be a beautiful sight, fireworks can also pose a fire hazard. To remain safe be sure to:

Check your hose and make sure it’s working
Have a bucket of water nearby in case a firework goes amiss
Keep the fireworks out of reach of children and animals
Only allow children to hold sparklers when supervised by an adult
Only ignite fireworks away from all structures
Never stand over the top of a firework
Never relight a firework once it’s already been lit

3. Fire Pits and Patio Heaters

While summer days are usually hot, the nights can sometimes prove a little chilly. Fire pits and heaters for the patio often serve as a great solution to the cold. However, they also pose a fire risk. To remain both cozy and safe, be sure to:

Keep fire pits at least 10 feet away from structures
Follow the manufacturer recommendations for heaters (this is generally at least three to five feet away from all structures)
Avoid placing fire pits and heaters on flammable surfaces or near low-hanging branches
Never leave a fire pit or heater unattended
Avoid using a fire pit or heater if it is windy
Avoid using lighter fluid in the fire pit

Palumbo Law Helps Those in Rhode Island with their Fire Damage Claims

When you have suffered damage due to a fire, it can be both devastating and overwhelming. By working with an insurance attorney, he or she can help to walk you through each step of the process of filing a claim to recoup your losses. Even if your claim has already been denied, a knowledgeable and qualified attorney can help.

At Palumbo Law, our experienced Rhode Island Property Insurance lawyers work strategically to help our clients to get what they deserve. We have deep experience working with insurance companies and understand how to deal with them. If you are planning on filing a fire damage claim, or if have already filed your claim and been denied, we can help. To learn more or to schedule a free consultation, call us today!

Is Homeownership Really Worth It?

Posted on June 22, 2022

We’re taught from a young age that buying a house is part of truly living the “American Dream.” But with rising interest rates and limited inventory, you may be wondering if it’s something to dream of attaining after all. So, is homeownership really worth it? Well, it depends. Here are three reasons for and against.

Why homeownership is worth it

1. You’ll build wealth

No matter where you choose to live, you are putting money into your home. But when you purchase a property, that money is eventually going back into your own pocket. When you purchase a house you gain equity, which can help you to gain wealth in the long-run. (Most homes increase in value over time.)

2. Your monthly payment won’t significantly change

While rent continues to increase year over year, you could have your mortgage payment set to stretch anywhere from 15 to 30 years. This means that aside from your taxes and insurance, your payments won’t likely change too much. In some cases, they may even decrease. Essentially, you can have a fixed housing cost.

3. You’ll have more privacy and peace of mind

A really big reason why people desire to buy a home is because they find that it brings them greater privacy and peace of mind. This can be especially true when it comes to children and pets. You can maintain the same school district for your kids and enjoy a big backyard for your furry family members. Buying certainly can help you to put roots down.

Additionally, when you choose to retire, if your mortgage is paid off – or almost paid off – you no longer have to worry about a housing payment which can make a big difference when you’re earning power is lower and inflation continues. Not to mention, you can always choose to downsize and sell your home, turning a profit.

Why homeownership is not worth it

1. Saving up for a down-payment can prove cost-prohibitive

Sure, it’s great to gain equity in a home and pay the same if not less monthly, but if you don’t have the money at all or if you need it for other pressing things, it’s a moot point. Whether you’re putting down 3% or 20%, it’ll still likely be significantly more than a month’s rent.

2. If you move you could actually lose money

When you rent you have the ability to pick up and move as soon as your lease is up (or even sooner if you’re allowed to sub-lease it). But when you own a home, you lose that freedom. In order to turn a profit, most people have to stay in a home for three to seven years. Depending on whether you have refinanced your mortgage to care for other financial matters, it may require you to stay put even longer.

3. You’re responsible for a lot, financially

Most people fail to think of all of the things you’re responsible for once your purchase a home. Put simply, anything that requires fixing or maintenance in your home is your responsibility. Whether the roof is leaking or the washing machine breaks, you must handle it yourself. This can take quite a toll on any savings.

Palumbo Law Helps Those in Rhode Island with their Property Insurance Claims

If you own a home and it suffers property damage, you’re on the hook to deal with it. But luckily, a qualified property insurance attorney can help.

At Palumbo Law, our experienced Rhode Island Property Insurance lawyers work strategically to help our clients to get what they deserve. We have deep experience working with insurance companies and understand how to deal with them. If you plan on filing a claim or have done so and been denied, we can help. To learn more or to schedule a free consultation, call us today!

What to Know About Smoke Damage Claims

Posted on June 15, 2022

When a fire starts it can wreak havoc on your property. But what about the smoke associated with it? Smoke damage can also be a big concern when it comes to how it can impact your health and how it can also severely damage your property. Smoke particles can end up embedding themselves into your skin, eyes, and respiratory system, causing serious health issues. Those with pre-existing medical conditions or weakened lungs or hearts can find themselves further injured.

Smoke Damage and Insurance

Smoke damage is generally considered a covered peril under most insurance policies, though it’s really important that you examine the fine print of your own policy. However, there are a lot of issues that arise concerning just how severe the associated damage is from the smoke. Insurance companies may despite a claim that the smoke caused as much damage as it did.

Smoke can cause damage to property by discoloring materials such as tile and marble or by infiltrating rungs, curtains, and other porous materials. Sometimes insurance companies will pay for cleaning companies to care for your property, but sometimes smoke damage may be so severe that no amount of cleaning could fix the issue; rather, it would require replacing the property altogether.

Denying a Claim of Smoke Damage

Unfortunately, sometimes your insurance company may deny your claim for smoke damage. There are several reasons as to why it may do so, such as:

Differing as to the valuation of the damage
Claiming that the smoke damage, resulted from a fire intentionally set (arson)
Believing the accusations or charges to be false
Finding a violation in the terms and conditions of the insurance policy

Partial Loss vs. Total Loss

When the property impacted by smoke damage can be salvaged, it is considered a partial loss. Partial loss may include things such as inadequate repair, remnants of smoke or ash, and diminished air quality. Since many insurance companies consider partial loss claims to be low priority, they often delay handling them.

When property is completely destroyed, it is considered a total loss. The insurer is responsible for determining if something is a total loss. If you believe that something is a total loss but your insurer does not, you can always hire a public adjuster to assess the damage and associated claim. He or she will determine whether your loss meets the criteria to be considered total. Considerable structural damage is often associated with a total loss. Put simply, if the foundation of a property is considered hazardous because its components are damaged, there’s a good shot it’s a total loss.

Palumbo Law Helps Those in Rhode Island with their Property Insurance Claims

Property damage claims can be very overwhelming – especially when you’re not familiar with exactly how they work. That’s why consulting with a knowledgeable and experienced property insurance attorney can help.

At Palumbo Law, our experienced Rhode Island Property Insurance lawyers work strategically to help our clients to get what they deserve. We have deep experience working with insurance companies and understand how to deal with them. If you plan on filing a claim or have done so and been denied, we can help. To learn more or to schedule a free consultation, call us today!

What to Know Before Buying a Condo

Posted on May 26, 2022

Purchasing real estate is one of the biggest decisions that you will make. You may be torn about whether to buy a townhome, single-family home, or condominium. If you are considering purchasing a condo it’s important that you think about certain things. Here’s what to know before you buy a condo.

1. Examine if the condo lifestyle is for you.

Different types of homes require different types of care. Consider whether you want to worry about things such as mowing a yard or snow removal. If these don’t appeal to you a condo may fit your desired lifestyle. However, if you see yourself desiring a large yard or don’t want to worry about noise, another option may be better.

2. Connect with a realtor who specializes in condos.

If you had heart issues you wouldn’t see a podiatrist; you’d see a cardiologist. Why? Because they specialize in what you are dealing with. The same can be said for shopping for a condo. If you are interested in a condo you want to find a realtor who specializes in condos. That way, he or she will be aware of potential issues, resale values, necessary documents, and the proper steps to take. Still, it’s always a good idea to visit the community on your own during the day and at night. Talking to the residents can also help you gauge what the community is like.

3. Decide upon your non-negotiable amenities.

All condos are different and some offer more amenities than others. One condo may take care of common area maintenance and snow removal whereas others may also have a pool and a gym. You can’t always have everything you want, but each of us has certain non-negotiables. You should ask yourself which amenities are necessary when purchasing your condo. Amenities are also important to consider when it comes to reselling the condo as they may help to boost the price.

4. Ensure your condo is FHA-approved.

When you apply for a loan to purchase a condo, they will consider not only your personal finances but also the condo development and any issues it has had. It’s important to find the proper financing for your condo. The Federal Housing Administration (FHA) is responsible for insuring FHA mortgages and has its own list of FHA-approved condos. Having an FHA-approved condo can help you to secure an FHA mortgage or even a conventional loan.

5. Research the property management company.

Finally, it’s also important to look into the property management company responsible for the upkeep of the property. Since you will be paying association dues to your home owner’s association (HOA), you will want to ensure that you are getting what you signed up for. In other words, you’ll want to research the property management company to see if there have been any complaints or issues concerning doing their job and doing it well. Be sure to review the association fees and regulations to understand exactly what is included and how much the fees will increase annually.

6. Inquire about special assessments.

Sometimes an HOA board may vote to complete a special assessment. Special assessments are large projects that come with extra charges imposed upon residents. For instance, the HOA may require that you replace your windows over the next year. While these assessments are generally limited in time, they can impact your wallet. This should be taken into consideration before purchasing a condo. Can you afford the extra expense? Keep in mind that most well-run HOAs usually don’t have special assessments. Therefore, it may be good to take a look at the HOA’s previous financial reports over the last few years to see if the financial health of the association is up to good standards.

Palumbo Law Helps Those in Rhode Island with their Property Insurance Claims

At Palumbo Law, our experienced Rhode Island Condominium Law attorneys understand Rhode Island condo law and will work strategically to help our clients to get what they deserve. If you believe that a condo unit owner has committed a nuisance, we can help. To learn more or to schedule a free consultation, call us today!

Couple looking through real estate documents

What Is the FHA Condo Approval Process?

Posted on May 24, 2022

So, you’ve made the big decision to buy a condo! While exciting, it’s important that you have a clear understanding of how you can afford the mortgage for the condo, which can help aid in your approval for one. Here’s what to know about the FHA condo approval process.

In order to get your condo FHA-approved and therefore able to accept an FHA mortgage, you must complete either the U.S Department of Housing and Urban Development (HUD) Review and Approval Process (HRAP) or a Direct Endorsement Lender Review and Approval Process (DELRAP).

FHA Appraisal and Influential Factors

Once you finish this paperwork, the condo must go through an FHA appraisal in order to ensure that it meets the requirements and standards of the FHA.

Factors that can influence approval include the following:

The age of the building (older buildings may take longer to be approved)
How quickly the FHA receives the proper documents
How eligible the condo complex is for FHA approval
The current caseload of the FHA, which can cause delays

Generally, it takes approximately 2-4 weeks for a condo to be FHA-approved. However, this approval is not permanent; the condo must be recertified for FHA approval once every three years.

FHA Condo Approval Requirements

The FHA requires the following before approving your condo:

The property must be completed in its entirety
The property must be insured for flood, hazard, and liability insurance as well as others required by state law and HUD
The condo’s homeowners association (HOA) must have at least 10% of its budget in a cash reserve
No more than 15% of condo units may be more than 60 days delinquent in paying their HOA dues
Only 50% (or less) of the units can be used as rentals or be owned by investors

It’s important to bear in mind that even if your condo complex hasn’t been FHA-approved, your individual condo may be with a “spot approval.” However, the condo complex must still meet all of the FHA standards.

If your condo lacks FHA-approval, you won’t be able to buy it using an FHA loan or sell to a buyer with an FHA loan.

The condo-buying process can be both complex and confusing. Fortunately, a real estate attorney can help.

Palumbo Law’s Team of Real Estate Attorneys Represent Buyers, Borrowers, Sellers, and Lenders in Rhode Island

At Palumbo Law, we understand that buying a home can prove quite complex. Our team is committed to delivering quality service and can handle all aspects of your residential purchase. We prepare all the necessary legal documents, including loan documents, deeds, and other closing documents, assist with obtaining financing, represent clients at closing, record documents, and obtain final Title Insurance policies. By handling all the details, we minimize the stress so that our clients can focus on their daily routines. To learn more or to schedule a free consultation, call us today!

Parent and child outside of the house in the rain

6 Tips to Plan Ahead for Spring Storms

Posted on April 18, 2022

“April showers bring May flowers.” It’s certainly undeniable that this time of year brings with it a lot of rainstorms. These storms can wreak havoc on our homes, causing a lot of property damage. But while we can’t change the weather, we can better prepare for it. Here are 6 tips to plan ahead for Spring storms.

1. Clean out your gutters.

When it rains, water falls onto your roof before emptying to the ground via your gutters. However, when your gutters are filled with branches, leaves, and other debris, they can clog them and back up water on your roof. When this occurs your roof is much likelier to experience damage. Your gutters should also be tightly affixed to your roof so that winds from a storm will not rip them away.

2. Inspect your Roof

Speaking of your gutters and accumulated water, it’s important that you check your roof in the springtime to make sure that the winter has in no way weakened it. With heavy rain and strong winds, a weak roof can prove disastrous.

3. Ensure that no tree branches are hanging over your roof.

If you have trees hanging over your roof, a storm may cause any limbs that hang over your roof to fall, damaging glass, or parts of your roof, among other damages. Since strong winds can pick things up off the ground and toss them into the air, it’s important you also make sure that you keep your property free from loose or broken branches.

4. Caulk Windows & Doors

You should check to ensure that all of your doors and windows are without gaps or cracks. If you have any of these gaps or cracks, strong storms can cause larger fractures and subsequent damage to your home. Therefore, if you find any gaps or cracks you should seal them with caulk. This helps to prevent leaks and water damage.

5. Check Your Sump Pump

A sump pump is a mechanism that helps to remove water from your property. If your home has a sump pump you should check to make sure that it is properly operating. If it fails to work correctly, it can allow water to flood your home, causing damage.

6. Review Insurance Coverage

Be sure to review your insurance coverage with your insurance agent in order to understand what is covered – and what isn’t. You should likely purchase flood insurance, which is separate from your standard policy. Since it generally takes 30 days for your flood insurance to become active, it’s important that you purchase it as soon as possible.

Palumbo Law Helps Those in Rhode Island with their Property Insurance Claims

At Palumbo Law, our experienced Rhode Island Property Insurance lawyers work strategically to help our clients to get what they deserve. We have deep experience working with insurance companies and understand how to deal with them. If you plan on filing a claim or have done so and been denied, we can help. To learn more or to schedule a free consultation, call us today!

New Sensors May Help to Prevent Water Damage

Posted on April 12, 2022

While your insurance adjuster can come in really handy after a flood, wouldn’t it be even better if you could prevent just about all of the damage before it occurs? That may just be a new reality for many.

There are now leak sensors that are deployed at residential, commercial, and institutional properties. These sensors may soon become standard with insurance policies for the major impact that they make.

Chubb Continues to See Importance of Detectors

The insurance company, Chubb, dove head-first into this new technology, employing thousands of leak sensors around the U.S. Chubb has noted that non-weather-related water damage is one of the biggest sources of losses within the insurance company. But after just two years of leaning on this new technology, Chubb has already seen a number of instances in which it has proven extraordinarily beneficial, preventing millions of dollars’ worth of property loss.

For instance, at Providence College, a washing machine supply line on one of the upper floors of a residential hall started leaking one night shortly after the start of the COVID-19 pandemic. With most students and faculty working from home, there weren’t many people around to detect the leak. Had the leak continued, it likely would have caused severe damage throughout the residence, costing hundreds of thousands of dollars. But with the leak detectors, a service center sent out a text, email, and phone call and a worker was notified and able to shut off the pipe, avoiding further damage.

Leak Sensors Help When No One is Around

Leak sensors will prove invaluable for the times when no one is there to detect a leak. This may be something as basic as someone out for the day or a family going on vacation.

Chubb isn’t the only insurance company leaning into leak sensors. Everyone from startup property insurers to major insurance companies have already started using them. However, Chubb has also begun to install leak sensors below roof decks in commercial buildings, since damaged roofs often cause a lot of damage after water leaks through. It should be interesting to see who follows suit.

Palumbo Law Helps Those in Rhode Island with their Property Insurance Claims

At Palumbo Law, our experienced Rhode Island Property Insurance lawyers work strategically to help our clients to get what they deserve. We have deep experience working with insurance companies and understand how to deal with them. If you plan on filing a claim or have done so and been denied, we can help. To learn more or to schedule a free consultation, call us today!

Rhode Island Condo Association Manager Charged with Fraud

Posted on March 19, 2022

The job of a condo association and its board members is extremely important. After all, they are entrusted with a lot of money, which they are expected to use properly. Unfortunately, this isn’t always the case.

Gambling with Other People’s Money

Cheryl Sullivan, the chair of Dedham’s Board of Assessors, was recently arrested on federal fraud charges after she allegedly used a debit card intended for use with managing a condominium complex at Plainridge Park Casino in Plainville, Massachusetts.

Sullivan was working for a Rhode Island condo owners’ association, taking money from residents that should have been used to maintain the building complex. Instead, she used it to gamble, allegedly having stolen as much as $46,500 from condo owners over many months back in 2019. Sullivan misused the funds from the condo owners’ association at the casino on at least five occasions.

Charged with Five Counts of Wire Fraud

Sullivan appeared in the United States District Court in Providence and was charged with five counts of wire fraud. Sullivan began her position on the board of assessors back in 2018, hired by the River Island Condominium Association. Her initial responsibility was to manage condos located at 148 Bernon Street in Woonsocket. In 2021 she was reelected and chosen as a board chair.

Sullivan was supposed to have collected monthly fees from condo owners and deposit it into the condo association’s bank account. Sullivan had access to the condo association’s bank account and also obtain a debit card to the same account as part of her role on the board.

Sullivan pleaded not guilty and was released on bond.

Palumbo Law Helps Those in Rhode Island with Condominium Law Issues

Board members are trusted to properly use condominium members’ monthly fees to care for the exterior and common interior parts of the building(s). If you suspect that these funds have been misused, you have options. You can first review your board’s finances. But if you have reviewed your board’s finances and still wish to request an official audit, it’s imperative that you understand to what you are entitled.

At Palumbo Law, our experienced Rhode Island Condominium Law attorneys understand Rhode Island condo law and will work strategically to help our clients to get what they deserve. If you suspect that there is theft or fraud going on within your condominium association and its board, we can help. To learn more or to schedule a free consultation, call us today!

Man signing a homeowners insurance claims.

7 Tips for Protecting Your Home While You’re Away on Vacation

Posted on March 16, 2022

Now that many travel restrictions and bans have been lifted, the number of people traveling has gone up exponentially. Vacations can be extremely enjoyable. But before you hop on the plane, train, or boat or load into the car, you’ll want to be sure that your home is safe while you’re away. It’s important to properly plan before you leave. Here are 7 tips for protecting your home while you’re away on vacation.

There are things to do both inside and outside of the house. Here’s what to remember for the inside:

Put your lights on a timer.

One of the easiest ways to determine if someone is away is by looking at their lighting. If a house remains dark at night – especially more than one night in a row – it can easily become a target for criminals looking for opportunities. Therefore, set your lights on a timer so it looks like you’re home – even when you’re not.

Don’t post any updates on social media.

Another really easy way for someone to tell if you are away is by looking at your social media. Many people tend to share when they are leaving for vacation or post pictures on vacation. And while it’s understandable to want to share good news, it can also be an invitation for people to come to your home. In other words, if you’re away then you’re not home. Leave the pictures, posts, and comments for when you return.

Set the HVAC.

An important way to protect your home when you are away is by setting a programmable thermostat that will lower the usage of your AC or heat while you are gone. Just remember to check on and change the thermostat battery.

Ensure pipes are insulated.

One problem with going away – especially when the weather is cold – is that you run the risk of a pipe bursting without you being there to minimize the damage. Water damage can cost thousands of dollars in repairs. That’s why it’s important to ensure that your pipes are insulated. This is especially true in more vulnerable areas of the home such as basements and attics. If you’re going to be gone for an extended period of time, it may be wise to ask a family member or friend to come over every so often and turn the sink on, which can help to prevent the pipes from freezing.

In addition to the inside of the home, there are things that you should keep in mind for the outside of the home when you go away.

Tend to your landscaping.

One thing that you may not think of is to have your landscaping done. By trimming tree branches and cutting bushes, you can prevent access to your home by someone climbing a tree, and allow a better view of the home by removing anything that might obscure view of it.

Stop newspapers and mail.

Another tell-tale sign that someone is away is that their mail begins to pile up. This is why it’s smart to stop all mail and newspaper deliveries or to have a neighbor or trusted individual pick it up regularly.

Set exterior lights on a timer.

Just as it’s wise to set your interior lights on a timer, it can also be very beneficial to do the same for the exterior lights. Again, this can help mask the fact that you are away.

Palumbo Law Helps Those in Rhode Island with their Property Insurance Claims

At Palumbo Law, our experienced Rhode Island Property Insurance lawyers work strategically to help our clients to get what they deserve. We have deep experience working with insurance companies and understand how to deal with them. If you plan on filing a claim or have done so and been denied, we can help. To learn more or to schedule a free consultation, call us today!