Real Estate Explained

Insurance 101 for First-Time Buyers: What You Must Know Before Closing with Arely Aguila

• Nick Bush

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In this episode of Real Estate Explained, Nick Bush sits down with Arely Aguila — insurance broker, homeowner-turned-entrepreneur, and founder of The Águila Group to talk about the real cost of homeownership, the hidden gaps in your home insurance policy, and what she wishes every first-time buyer knew before closing.

Arlie shares her personal journey: from buying a single-family home, navigating unexpected repairs (yes, sewer lines are a thing), going through a breakup and selling her house, to building her own insurance agency from scratch. She gets real about the $8,000 mistake that could’ve been avoided with a $48 insurance add-on, and why reviewing your policy every year matters more than you think.

Whether you're a first-time homebuyer, seasoned homeowner, or real estate agent helping clients through the process, this episode breaks down:

🎙 What home insurance actually covers (and what it doesn’t)

🎙 Why most homeowners are unknowingly underinsured

🎙 How to prepare financially and emotionally for owning again

🎙Why insurance brokers offer more value than captive agents

🎙 The power of community, risk-taking, and building something on your own terms

If you own a home or plan to — this is a must-listen. Perfect for real estate agents, homebuyers, and current homeowners who want to protect their investment and their peace of mind.

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Speaker 1:

Arlie's in the building.

Speaker 2:

Hello.

Speaker 1:

Welcome. Hello, thanks for joining me.

Speaker 2:

Thank you. Thank you for having me.

Speaker 1:

Yeah, I appreciate you for coming in. Like I was saying before the camera rolled, I've been trying to get Arlie on the pod for a long time. I've reached out on every platform Email, text, instagram, facebook, and then Bronson put it together just by you being here. So thanks for coming on, and you know it's interesting that you don't like to be on camera, because your people love you.

Speaker 2:

That's so funny. My marketing person was like every single time you post videos, it's like it gets good attraction. But when I post them and I'm like I just hate being on camera, I'm sorry. And she tells me she was like I think, nick you, you have a friend named nick, right, he's a realtor. I'm like yes, he's like one of my favorite realtors. And she's like well, he's been trying to get you. And I'm like, yes, tell him, we'll reach out to him soon perfect.

Speaker 1:

What's her name?

Speaker 2:

um. Her name is angie. She's my marketing director.

Speaker 1:

Angie, I appreciate you and I am forever indebted to you now.

Speaker 2:

And she, yeah, she works in Bolivia.

Speaker 1:

Okay.

Speaker 2:

That's why, if I had her here, she would probably be here instead of me, because I hate being on camera.

Speaker 1:

You hate being on camera that much. Well, before we get started, introduce yourself. Tell the people who you are and what you do.

Speaker 2:

Okay, so my name is Arlie, I'm a real estate agent, I'm an insurance broker. I do home insurance, auto insurance and business insurance.

Speaker 1:

Let me see what do.

Speaker 2:

I do. What else do I do? I'm not sure that's kind of. We have an agency, we have a couple of agents, we have customer service representatives. My agent's been open for about two years now, so we've grown a lot in those two years, so I'm very thankful for that. I work with a lot of realtors and I work with a lot of loan officers, so I'm very thankful for referrals.

Speaker 1:

Yeah, that's great, and I know Arlie, because it was actually interesting. One of my good friends' name is Erica Bellows. Yes, and so that's obviously Christian's Christian's um older brother, and so I was interested in that, like Christian and Chelsea and I'm just naming names that no one knows Christian and Chelsea and Laura and Gavin, and then Jenny and Los they were all buying at the same time they were back to back.

Speaker 2:

I don't think it was even supposed to happen back to back it just happened.

Speaker 1:

I feel like one person initiated and they just all got the bug. Yeah, and then that same year I did my first giveaway and you participated in the giveaway and, uh, I've been on you ever since and you had a house in for washington, right, yes, and then did you end up selling that house?

Speaker 2:

um, I did end up selling that house. Um, I went through a separation um with who I bought it with um, so I ended up selling that house. I went through a separation with who I bought it with. So I ended up selling the house and then I haven't bought anything since then. But this market's kind of crazy, so I'm going to try and get back in here in about two years or so.

Speaker 1:

Have you been a non-homeowner? How many years have you been a non-homeowner?

Speaker 2:

Two years now. Okay, if you wait another year, you're technically a first-homeowner.

Speaker 1:

How many years have you been a non-homeowner? Two years now. Okay, if you wait another year, you're technically a first-time homebuyer okay, awesome, because I'm going to yeah, so I have a lease.

Speaker 2:

I just signed a lease for two years, so I'm gonna. My goal for the end of this lease is to buy a home, so I'm I'm saving up for that you feel like you need the full two years to prepare I think it it's not only financially.

Speaker 2:

for me it's more because I owned a home. I know what home ownership comes with and because I owned a single family home, it wasn't like a townhome, it was a lot. Buying that home was a lot. Honestly, it was great in the beginning, but I think everything that could have happened to a home happened. My HVAC went out, my water heater went out, my sewer lines which usually you never hear of. There was a leak there so I had to get that dug up they kind of I had. There was a leak there so I had to get that dug up and that was like eight thousand dollars and it was. It was. There was a lot. I had a huge flood that went into the basement.

Speaker 2:

it was a lot wow it was a lot and I only had that home for about three, four years. So in the span of like four years for having a home, I spent a lot of my like, thousands and thousands of dollars and just like maintenance and, like you know, repairing and stuff like that.

Speaker 2:

So I think I'm like okay, I know what could happen. And now, just because of that, I want to make sure I'm also not just financially, but like also like time, time consumption, you know it's, it's a lot to maintain a home. So I think that's what I'm trying to like build up for.

Speaker 1:

No, that's great and that's like, oh, I totally didn't know that you were going to say all of that. Um, but that's a lot of that's like really solid information for people, because I think you buy a house, especially single family, that's really important. You're like I didn't have a townhouse so there was no hoa managing all of these things. I was responsible for the house in its entirety and I think it's easy to be like, hey, I want to be a homeowner, so I'm gonna buy a house, it's gonna be great, I'm gonna pay my mortgage and you don't think we'll have a roof, the sewer thing, the floods, like that's that's always tough. And then obviously, those big, uh, those big ticket items like the hvac and water heater. Did you do a home inspection when you purchased your house?

Speaker 2:

I did, but, uh, I purchased my home in 2019, um, and the home inspection was fine okay um, honestly speaking, it was right before covid era, so we did do a home inspection, um, but it was also for washington, so all of the homes in that area are very old and actually like are prone to like having water for Washington?

Speaker 2:

Yeah, so it was just like a lot going on, and it's funny because I have been in the insurance industry for what? Over 10 years at this point, and like having sewer back sewer line service line, is something that you can add to your home insurance for $40 a year. So that's like something super easy to add, and I didn't have it on my home insurance.

Speaker 1:

Even you.

Speaker 2:

Me as an insurance agent. And it's crazy because when I called my insurance to, you know, tell them, hey, like this is what's going on, they're like, hey, that's an added endorsement and you didn't request to have it. And I was like you know what, when I bought the home, everything was so quick that, like with the closing costs and, like you know, signing a million documents and everything, like that I myself, as an insurance agent, didn't think through my home insurance as much as I should have.

Speaker 2:

Um, and that was. That was silly, but that $48 a year cost me like $8,000.

Speaker 1:

Yeah, well, they say uh, you know, lawyers don't represent themselves on purpose, right? Um, because you know every real estate transaction I've done, it's like opposite of what I tell my client, cause you're like in it and you're emotional about it and you're not thinking about everything, and so that happens Before we go into the insurance, just quickly, what are you doing? Aside from, obviously it sounds like you're saving some money and you're going to think about the purchase more and consider the maintenance more, but what are you doing to prepare for your next home?

Speaker 2:

Yeah, Also, I think, other than, how would you approach it differently? Yeah, I think another thing, um that I also didn't think about at the time was like commute um. I, my daughter's school was in andale and I purchased a home in fort Washington, um, and I didn't want to take her out of her school. So I was driving because I in my head I was like, oh, I work from home, cause at that time I was working from home, I was like it's fine, um, but I still had to take my daughter's school, so I still had to commute to Annandale and back um. All the time my mom's home was at that time in springfield, um, and so it was just a lot of community.

Speaker 2:

So I think I really, when I do decide to like purchase a home, um, I think the area which we all you know, location location, location, location, um is going to be a big one, and I know the area that I want to be in okay especially because, uh, my daughter is going to probably go into the. The home that I'm going to purchase is most likely going to be where she's going to go to middle school and high school yeah that's a huge decision. You know you want to make sure that they go into a good school.

Speaker 2:

Um, that's going to affect the rest of their lives yeah um, so I really need to be really, uh, smart about the choice of the location that I want to get into yeah, okay, and so you're a real estate agent.

Speaker 1:

I didn't know that. So you have your real estate license, um, but you're building out your own insurance agency right now, right, and so tell me more about that. Like, how did you end up? You know first, like you got your real estate license did you use it at all.

Speaker 2:

I don't have my real estate.

Speaker 1:

Oh, I thought you said real estate agent and insurance agent no, no, just insurance broker.

Speaker 2:

I only have my real estate, uh, uh, no, my property and casualty insurance oh, okay, maybe I misheard. Okay, so my life insurance as well. Um, but no, I don't have my real estate.

Speaker 1:

Okay, I thought I heard you say that I was like oh, that's interesting, I didn't know that.

Speaker 2:

I don't think so no I don't think that's a field that maybe in the new near future to have on my, I guess, bucket of things. I have as certifications. Maybe, I don't think it's the field that I would, you know, really get into. I think it's it's it's a field that a lot of I know a lot of people are in and I know what kind of personalities and you know a lot of the marketing you have to do.

Speaker 1:

You have to like you know, be on camera, not something I like to do Okay. So where did you start? In insurance, like what was the first?

Speaker 2:

So I started as a customer service representative at State Farm. I had no idea, basically I was working and I was looking for a reception job, just like an office job, something to you know make money at um. And then from there that's not really where I fell in love with insurance. I I went to another insurance agency as also a customer service representative, but this one was in coolmore, um, and that's kind of where I fell in love with insurance, because that's where, when I say my people, I mean like my, I guess more Hispanic community is where they came into the office a lot and I saw the need in insurance agents that speak Spanish and that can educate and help. So that's kind of where I fell in love, because a lot of our community don't really like know, like what's going on and they just pay their bills and that's kind of like where I'm like, I like to help, I like to educate, I like to give back to our community and that's kind of where I went.

Speaker 2:

And then from there I just went to different agencies, learned from a lot of different agents. I think one of the biggest things that I honestly loved about my experience is that I worked for different agencies and I love that, all the different agents that I've worked for, because they've all taught me different things. Yeah, even you know the last agent I work with. You know, the last day I worked with him, he kind of let me go and he was like you're unorganized and he's like you're really good at sales, but right now we need somebody that's really organized and we need our structure.

Speaker 2:

The insurance world at that time was very up and down, so he was like I was also new at that agency yeah so you know first one first one out, kind of thing um, and I understood I was also going through a lot at that time completely understandable um, but I think that gave me the push to like kind of say, hey, you know what? Like he's telling me like what I need to work on, and I do agree, like these are things that I do need to work on, um, but I know I'm, I know what I'm capable of, you know, and I can do this, you know. And so I put, I put my hat on and I was like I'm gonna do this all on my own, um, but I've worked with other agents who have also been great and they've all been amazing. So OK.

Speaker 1:

And so from that, like job right, when you kind of were getting let go, was that the push to start your own agency? And so how do you go from that moment to starting your own agency, Like, what do you have to do to, you know, become a licensed broker? And then like, why, like, like, why start your own agency?

Speaker 2:

Yeah, so I was a manager for so many years. I was a manager in the insurance world for so many years. I was a licensed producer. I was a top-selling producer for so many years. You can only go and be so much, you know. And then my goal has always been to have my own agency and have my own brokerage. And I was just scared At that point. I was just really scared of like, what if nobody comes? What if I can't sell things on my own comes? You know what if? What if I can't sell things on my own? Um, what if I can't get my name out there? Um, what if no one wants to hear me, you know? So I think that was like my biggest um, I have a daughter so I can't just be like, hey, you know I'm just gonna need to make the money I need to pay bills, you know, um.

Speaker 2:

So I think that was like my biggest thing, because I think a stable paycheck was something that I was scared of. Not having that stable paycheck, that's really scary, and I've always had one. So I think that was really scary for me. And when that happened, it, coincidentally, was when I was selling my home. So I it was exact the last, that specific last month, uh, when I was selling my home. So I was like you know what I'm going to be making? Well, not making, but I'm going to be getting this lump sum of change. I was either going to what? Spend it on traveling the world or, quote unquote, saving it for a rainy, rainy day, which we all know is probably going to be a shopping spree or something yeah, or a car or something I don't know something dumb, or putting not all my eggs in one basket and saying, hey, it's either now or never.

Speaker 2:

um, I'm going to use all this money and you know, not have a paycheck but use it to pay my bills for the next year and then see if it works, and if it doesn't, then I'll just look for another job.

Speaker 1:

That's great. That was great, good for you. Yeah, yeah, we need to add some claps in here for, uh, cause I mean, you know, obviously everybody in the in the building we're going to call CPV. The building is like an entrepreneur Bronson's crushing. He's always say bro. He's always say bro, he's 24. I'm so like, just like this guy's 24, he's dominating. And then, uh, you know, javier and and jacob out there, we're all you know, we're all like we eat what we kill, right, we have to sell and you do have to, like, take a risk. You know, and I had a kid when I was 20, so, like I know, it's like I'm gonna have no paycheck, and you had a daughter already, so that's's tough. And you're an insurance broker and not an agent. So is there a difference there?

Speaker 2:

Yeah, so well, there's like two different types of insurance agents. You're either a captive agent or a independent agent. Insurance broker basically means that you're able to call and you're able to have contracts with different companies like Progressive, general, american, modern, like just different companies. Captive agents are only allowed to sell like usually primarily one product which is like State Farm. They're mainly supposed to only sell State Farm product, all state. They're also mainly only supposed to sell all state.

Speaker 2:

Now they have like some uh, smaller products under them but, that's not what their goals are and they are pushed to sell that yeah um, and so they have to meet their goals.

Speaker 2:

So I feel like it. They have great intention and I've worked for allstate and safe arm my whole like insurance career. But I think I kind of wanted to branch out into a brokerage to be able to give my customers more options and not have to push any type of product on my customers. I feel like I kind of am able to find like what my customers are looking for. So I'm shopping for yeah, I'm not trying to push a certain product.

Speaker 1:

I was. I was just at a conference last week in Detroit um with with one of my lenders, marcus Fields, and uh, he's a broker also. So you have, like the traditional mortgage lender and you have um the broker, and I think it's something we always heard in the industry. I only know a handful of insurance brokers and most of them have. They're kind of like doing their own thing.

Speaker 2:

Yeah.

Speaker 1:

And I went at at the conference they have, they can shop your loan with 200 people.

Speaker 2:

Right.

Speaker 1:

And I just realized the value of that One. You have way more options, just you know, from a product standpoint.

Speaker 2:

Yeah.

Speaker 1:

You can truly find something that's tailored to you. Yeah, and then the pricing is typically better also, yeah.

Speaker 2:

So there also, yeah, so there are a lot of benefits and I think, from the insurance broker standpoint, um, I've always heard, like travelers, goosehead insurance and all these others, so definitely, um, so goosehead is kind of funny because they um how do I say this so I don't want to downplay anybody so goosehead is basically, um an insurance broker, but they own agents, so what basically they do is they give all of these contracts to agents and the agents pay goosehead to have the contract okay, so you're still kind of working for somebody um, but anybody that has goosehead, I definitely tell them.

Speaker 2:

I'm like hey, you know, go out on your own and get your own products or get your own contracts. It's really hard, though I will say, like the first year that I was opening up my agency and my brokerage, nobody. It was hard to find companies that wanted to give me contracts. They were like, oh, a new broker, like a new agency, why should we give you a contract? You know, um, but this past couple of months, um, now that I've been in business for like two years, and now that I have like all these numbers that I can show them, all of a sudden I'm getting all these emails like, hey, you should sign up for yeah, you should sign up for us, and now it's super easy for me to get contracts anywhere.

Speaker 1:

So how many different companies are you can you broker out to?

Speaker 2:

So right now I'm working with about 15 different companies.

Speaker 1:

Oh, that's great. So a lot of options.

Speaker 2:

Yeah, At the beginning I literally had about five and that's it. So I was working with like five different companies and I was pushing for those. But I specifically looked into the five that I wanted to work with because those are the five companies that I've worked with before. I knew their products and I also knew their claims handling processes and I knew their customer service and all of that.

Speaker 1:

So who are those five?

Speaker 2:

It was National, general, american, modern. Who was that Lemonade? Lemonade was a really big one. Was that Lemonade? Lemonade was a really big one. I love Lemonade. I think at the time AIC was a big one, and then for home Universal property as well those were the big ones, but the companies that I really wanted to get into, like progressive, they were like oh no, we don't even want you. And then, all of a sudden, now I have all these other you're like, let me talk to flow yeah, now I have.

Speaker 2:

Now I have. Now I have all the companies that I couldn't even have dreamed of having at the beginning, so good for you.

Speaker 1:

Yeah, I do want to talk home insurance, but also I want to go back and ask what was the void specifically? It was just a Spanish speaking agent, like what was the voice? Specifically? That that you felt like the Hispanic community was missing, because obviously I know what Kumar looks like, right. And so what was the void? What did you feel like you had to service that then no one else could?

Speaker 2:

Um, I think there was a huge void in uh helping out our community. Um, there was a lot of uh clients that would come in in their work boots um, after you know, three, 4 PM um making their payments and asking like why their insurance went up and all of that, and they had no say, they would just kind of pay yeah um, there was a lot of times when their their licenses were suspended and they didn't know why, and it was because they didn't pay their insurance in time and they didn't know that insurance correlated with their driver's licenses, um.

Speaker 2:

So now they have all these like hundreds and hundreds of dollars of fines, um, and they just said, well, I just wasn't driving my car, so I canceled my insurance, um, and I didn't think it would affect me, you know, and so it was like a. I think for me it was more like having that education, um, with my community, being able to help my um, help my community in that process, um, and I definitely think that there's not a lot well at that time.

Speaker 2:

I think there's a lot more now um, but especially like younger people, um, they weren't really, you know, helping out. So it was just like a lot of the agents that at that time that I knew were a bunch of like older white male and they didn't know how to service our community at that time.

Speaker 1:

Yeah, that's good, that's good. Okay, so let's talk home insurance. The first question I want to ask you is why does everyone need home insurance?

Speaker 2:

Well, other than the fact that, um, you're investing and you have a loan for like let's say, 300 000, which is a really cheap home in this area, but let's say minimum 300 000, one fire, that's it. You're still gonna have the loan, but you have no home. So everyone needs home insurance to protect their assets. So you're buying and you're putting, you're going into debt of hundreds and hundreds of thousands of dollars and to not have home insurance to protect that asset is, like to me, is crazy. So I have a couple. Well, I'll say myself, I have customers and I have even friends that have told me hey, like I paid off my mortgage, I don't need home insurance because you know they don't require it.

Speaker 2:

I'm like, oh OK, so if something happened to your home, do you, are you just going to build a new home?

Speaker 1:

Yeah.

Speaker 2:

Like. Is that what you're?

Speaker 1:

going to do? Do you have the cash in the bank?

Speaker 2:

to do that. You're going to home, yeah, like you have the cash in the bank to do that, like you're gonna. You're gonna just go and take out a new mortgage to build a new home, like you know, or you're gonna pay what? Twelve hundred dollars a year to have the insurance build a new home for you. Um, I don't know, to me it's a little crazy. Um, just like you know, for a car it's the same thing. You're not going to go out and buy a Porsche and then not get car insurance on it and hopefully nothing happens, you know just pray that nothing happens.

Speaker 1:

Yeah.

Speaker 2:

I just, I don't know.

Speaker 1:

Just because you're like it's common sense to get home insurance, because you just spent hundreds of thousands of dollars on something and if it, you know, catches on fire or you get the water damage or anything, you can protect it and not have to pay for it again.

Speaker 2:

I think. For me it's more like you're protecting your assets. But if you don't get home insurance, then that's fine. Just make sure that you're saving up a lot of money to make sure that you can cover that cost if something happens.

Speaker 1:

So if I have a $500,000 home, am I just getting $500,000 of insurance or do you need a little more coverage?

Speaker 2:

Like, how did cause, you know, the home value goes up. Right, that's a good question. You know what I will say a lot of people that's a question that we don't really talk about. Um, because a lot of, let's say, new homeowners, right, they a 500, 550, 000 home. But then our insurance. When I explain to them, I'm like, hey, you know, your your dwelling coverage, so your home coverage is, uh, you know, 480, and they're like, oh no, I'm buying my house for 550 yeah so why so you're just going to give me 480?

Speaker 2:

that doesn't make sense yeah well, basically, the home insurance is covering what? The structure of your home. But when you're buying a home, you're not only buying the structure of your home, but you're also buying the land yeah so if the whole home, you know, you know goes down on fire, god forbid um. The land is still there yeah so it's still your property.

Speaker 2:

So really, um, when you buy a home, not only are you purchasing the structure of your actual home, but you're also purchasing the land, which is a big part of it. That's what makes a $350,000 home, which probably looks exactly the same as a 550, but in Fairfax versus like Safford, in Fairfax versus like Safford, you know.

Speaker 1:

So if I buy a house today for $500,000 and then over the course of 15 years it appreciates to a million, right, and if something happens, let's say like a win, the win knocks it over, right? Then am I getting you know? So how does that claim work? It's like, okay, you have $500,000 of insurance, like that should cover the cost of the home, and then just that appreciation kind of comes from the market, so you don't need like I guess I'm asking like, do I need to continue to update the amount of coverage that I get to match the market value?

Speaker 2:

Yeah, so home insurance gets renewed every year.

Speaker 1:

Okay.

Speaker 2:

And something that everyone gets upset about is why is my home insurance going up every single year? Why is my home insurance going up? Well, because the value of your home is also going up every year, right, and the structure of your home is also going up every year. The cost of material is going up because inflation is going up every single year. So, let's say, this year your coverage was for $450,000, right, and the renewal. They realize that you, um, but your the value or the structure, the dwelling coverage, um, will also go up with it. Okay, so yeah, it should. It should be going up with your you know, within the year.

Speaker 2:

Yeah, within the years that you have the home, um the value of your home. But definitely, definitely, I would suggest always restructuring the home insurance every five years to make sure that the coverage isn't, you know, too low. It's keeping up with the value of your home.

Speaker 1:

That makes a lot of sense. So what as far as home insurance? Like what is generally covered as part of home insurance, what?

Speaker 2:

is generally covered as part of home insurance. So home insurance is covered under different structures, but the most important one is the dwelling, so it's going to be the structure of your home. But also your personal property is also covered. So your furniture, your TV, you know anything that's your personal property, your computers, all of that is also covered. Loss of use, which is basically, let's say, like my home when it was flooded and I couldn't live in it, you know, to get a hotel or an Airbnb. Your home insurance covers all that. So that's loss of use. And then there's also different things that you can add to it.

Speaker 1:

Like a sewer line, like sewer backup, sewer backup should be added.

Speaker 2:

Service line should also be added. Water backup All these other endorsements should definitely be added. Other structure of your home is also always covered. So let's say, like your shed, if you have a shed in the back, if you have a detached garage or everything like that, that's always covered under your home insurance as well.

Speaker 1:

I have a friend that she has a house on the bay in Shadyside and it was maybe like two years ago. It was really cold and, long story short, the bay rose and flooded and something about the weather. You got in her house and something about the weather, like you got in her house and it's something about the weather created like a mold situation and basically her house was like completely, completely finished and she has like nice bags and nice shoes and you know everything. Her husband was a builder then it was. They were actually like trying to renovate their house at the time and, um, they had to like basically, you know, um, like it had to move out, right, the house was inhabitable. Their home insurance provider helped them get with the Airbnb right and then they helped them obviously rebuild. But when she was rebuilding and kind of getting the quote for the contractors, it was like it was not matching what they thought that the value was.

Speaker 2:

Once a year, or maybe every three years, take pictures of every single room in your home maybe every three years. Take pictures of every single room in your home, take pictures of your really expensive items that you buy and keep your receipts for everything. Why is that? Because, let's say, your whole home burns down. Now you have to tell and prove to the insurance what you had. And how are you going to prove to them without pictures, without you just basically telling them?

Speaker 2:

hey, I had a, you know ten thousand dollar tv they're gonna be like yeah, well, a regular person has a two thousand dollar tv, so we're gonna give you two thousand.

Speaker 2:

You know, but if you really did have that and you have proof that you had a $10,000 TV with a picture or a receipt, then that can show enough proof and the insurance has to take it. They have to be able to do that. So I always say always take pictures of all of the rooms in your home. That way you have that in your part of your. How would um, uh, how would I say this?

Speaker 1:

kind of your case to build, just in case.

Speaker 2:

Um, sometimes I tell my customers, uh, especially when they buy a home, uh take pictures of the home, um, that way they know, like if they had like really nice sinks or anything like that, because the home insurance, like to be honest, like the home company, insurance companies are not there to pay right yeah, they're not there to be like oh they, they deserve a you know five, the, the newest five thousand dollar faucet.

Speaker 2:

They're gonna give you a standard faucet yeah even if you had a really nice one, and they most insurance companies don't do um home inspections. They uh inside, they only do the outside.

Speaker 1:

So everything inside they're gonna give you everything standard, even even if, like you tell them anything wow, so that's so interesting and uh, I mean, that's such a nugget to like take pictures of the rooms in your house, your house, so you can kind of say, hey, no, this is actually what I have and it makes me so when we renovated our kitchen in dc in our house it's now rental but, um, it was like our first house and I, you know, obviously I get to go inside houses all the time and you get to see stuff that you like, and so I really want to. Bird is only appliances, like I have like nice cabinets and stuff, but I really want to. Bird is only appliances. And so I have a cooktop.

Speaker 1:

I think it's like four thousand dollars. I have like a bird is like a rent. Like a fridge is like five thousand dollars. Like my dishwasher is paneled, like I like basically built my forever kitchen in my first house, which was like not the right thing to do. My cabinets are like custom from italy, like it's really nice. Yeah, but I would never but like if I called the insurance company, I was like no, I actually had a bird is only Bertazzoni range. They might be like we'll be happy with this KitchenAid, right, because we don't, because we don't pay that out. You know, and I have no proof of that. Yeah, so I just need like a stack of receipts basically in my house also.

Speaker 2:

So so it would be really simple Take pictures of your home once a year. Send it to your agent and they keep. They keep it on file, that and and they're not going to send it to. Well, hopefully you have a broker that way they don't send it to the insurance company, definitely don't.

Speaker 2:

I'm not saying send it to the insurance company I'm not saying that send it to your agent, because us agents, we're, you're basically, we're your third party, we're basically fighting the insurance so I send it to you and then you call the insurance agent.

Speaker 1:

So we shouldn't actually like talk directly to the insurance insurance.

Speaker 2:

I always say like we're there basically to fight for you guys right um.

Speaker 2:

So what I do is I'll save it into our crm under their files, and then we basically have proof. Hey, they sent us this picture, um, back in 2022 and this doesn't get changed. So we have proof of it. Here you go and there you go, that's it. But they don't know that. You know you sent that to us, unless something happens, right? So these are kind of things that you're supposed to be able to have, like close relationships with your agents. So I always say, definitely have use your agent to your advantage, because not only are they there to shop you on for a price or anything like that, but they're there to help you with these kind of things so if you're arlie's client right now, just like take pictures of your house, email it to her.

Speaker 1:

I'm gonna. If you have an admin, you're just gonna be uploading photos and receipts to the crm I do.

Speaker 2:

I have a good number of customers that already did and we've had their, especially with new homeowners. I tell them when we do a policy review. So whenever loan officers or realtors send us clients, most likely we never get to talk to the homeowners.

Speaker 1:

Okay, we never.

Speaker 2:

Yeah, we don't even. We're not able to be like on that side, because you're like we just need a quote and then we'll send them a quote.

Speaker 1:

Lenders are very much like I need to get the loan done. Give me the quote so I can plug in the number. Yeah, yeah, yeah.

Speaker 2:

They're like we need a quote for this house with these people and I'm like, okay, here's a quote.

Speaker 2:

And they're like, okay, they accept it. So they probably they send it to the customer and then you know they're like they accepted it, go ahead and bind it. Here's information to bind. Cool, we send it, done deal. The closing happens. And then we try and reach out to them and we're like, hey, by the way, we're actually your insurance agents. Let me know when you have, you know, 15 minutes for a policy review. We would like to go over you know what company you have, what kind of coverages you have, if you would like extra coverages, because that's something that obviously loan officers. They want the least amount possible to have the lowest rate in closing costs, which is understandable, but sometimes that's in closing costs, which is understandable, but sometimes that's not that great for home insurance purposes.

Speaker 2:

So we try and do a policy review after closing. That way the customer is able to be fully covered and have all the great endorsements and have all the great coverages that they should have.

Speaker 1:

Okay, that makes a lot of sense. So I just saw on the news. You know, obviously the fires happened in Malibu and the Pacific Palisades and you know people have to rebuild. I'm actually going to LA in a few weeks and I'm like, is it the best time to go to LA? But it's always a great time to be in California.

Speaker 2:

Yeah, I love.

Speaker 1:

Cali, and I know that there were a lot of people, some people that have paid their homes off and or some people that just didn't have enough coverage and then also in california state, certain companies are increasing the premium by like 15, which is almost making it unaffordable for people to have insurance. Do you have an opinion on that like?

Speaker 2:

yeah, there was also a situation where a company specifically apparently non-renewed a lot of um insurance uh policies. Oh wow, and so a lot of insurance policies.

Speaker 2:

Oh, wow, and so a lot of people didn't even know they didn't have insurance when that happened. Yeah, so they were stuck calling their company and finding out that their home didn't have insurance and they had no idea. So that was really sad. When all of that happened, it was a really sad time and I think in the insurance, insurance world it was really hard because a lot of, a lot of my own friends were like hey, like what's the deal here?

Speaker 2:

and I'm like, um, it's unfortunate, um, a lot of uh, I think flor, uh, california had an insurance guidelines that weren't really that great um, and there was a lot going on um at that time. So the fires kind of casualty basically made sure that a lot of companies were able to raise their rates and nobody could do anything about it.

Speaker 1:

You know, for me I think it's kind of tough because the way I look at it right, obviously I'm of the people, right, and I'm not a CEO making $20 million a year but I feel like we're not there yet, Right? But I also I also look at the other side and I feel like, okay, if I'm a CEO of a big insurance company and people build houses in this state and live here and it's almost a guarantee that it's going to catch on fire it's happened six, seven, eight times, or okay, hurricanes come here every year I'm going to have to rebuild.

Speaker 2:

I kind of feel like, from that side of things, it's logical to increase the premium I think there should be like a increase of premium, but like there should be like a max yeah, that they're allowed to have, um, because I don't think that you should be able to increase it to like, let's say, 15, 30, 50 percent yeah and then still be able to air a commercial at halftime show in a super bowl yeah because you know that costs a lot of money.

Speaker 2:

So I think it's just like for me it kind of goes to play with, like, the insurance companies. It's all a business, everybody's.

Speaker 2:

Everything is a business right, yeah um, I think insurance companies specifically should also be of the people and kind of understand that this is day to day people's lives and that, yes, understandably so, having a higher risk home, like living in California or like in during near the beach or all of that, is probably going to have a higher home insurance rate, but I don't think you should increase it to a certain non-livable or not something that you can afford.

Speaker 1:

I'm sometimes like get your bag up, then Make it so you can't afford it right.

Speaker 2:

And I'm so like opposite. So I think it's more like find a middle ground, dude, it's like be able to make sure that everyone can afford it, because I think you'll be fine if you don't have a commercial.

Speaker 1:

It's totally reasonable, right? You're like if you're going to spend $13 million in an ad, you can. No, it's totally reasonable. I mean, you can't just increase people's premium to the point where they can't afford it anymore. The market shifts completely. But I totally understand that premium. To the point where they can't afford it anymore, the market shifts completely. Um, but I you know.

Speaker 2:

So I, I totally understand even about the increase in california there was a lot of companies that just didn't insure, like there was a lot of people that just it doesn't matter how much they wanted to get home insurance they're just like no, they were just like no, yeah we're not accepting it yeah and that's where I think the government should kind of get into.

Speaker 1:

Yeah, because that can also create price gouging and people are like, oh, you can't get it there, Like you're going to pay the premium here and that's kind of what happened actually. Okay, you sold me on. You sold me on it being a bad thing. There you go. Do you have any horror stories?

Speaker 2:

Do you have any horror stories? Um, yeah, so I actually had a customer that unfortunately, um had his insurance with, um, I'll say, for three years. I was just an agent back then, just like a licensed representative. Um he had his uh insurance uh, home insurance for three years. Um he had unfortunate event where he lost his job and all of that. Um, he finished paying off his mortgage, so, um, he canceled his home insurance and within that year, um, he had a really bad fire, so half of his home got burned down, um, and that was really sad. I mean, I think that was probably one of my, one of the stories I still think about to this day Because, thankfully, a big part of his community was able to help him out.

Speaker 1:

It was great.

Speaker 2:

But not everybody has a community like that. Not everybody has a community, a huge community, and a lot of family and a GoFundMe and all of that.

Speaker 1:

So it was a lot of money that he would have had to come up with and he still had to come up with even after all that hell and all because he wasn't able to afford, um, you know, a couple hundred a month yeah, and it's not like the time to be like, hey, I want to do a heat lock on my house, you know, because it? Because because you have to file that claim. That's tough, you know. I feel like a lot of people feel like insurance in general is like a scam. I've heard people all insurance is a scam, like life insurance is a scam, it's like sure until you need it, you know every day I say I'm, I.

Speaker 2:

I think they're like insurance is scam. I never use insurance for like 10 years and I'm like okay, but then something happens and they're the first one that's like why are you not paying enough, why you should be paying for all of this, and I'm like it's not me.

Speaker 1:

Oh yeah.

Speaker 2:

I'm not paying.

Speaker 1:

I'm like, so you have to deal with all of those calls. Come in, yeah sure.

Speaker 2:

I have to deal with the people that are upset that they're having to file a claim and then their insurance goes up because now they're higher risk yeah um all the time, but I think it's more like I think for me um there's a big difference between, like car insurance that you legally have to have it right or you get that sr22 right.

Speaker 1:

Is that what it's called?

Speaker 2:

But if you're like in, if you have a loan on $500,000 and you don't put insurance on it, I think that's crazy because, like, let's say, something happens to your car, yeah, that sucks, but you know, it's like what?

Speaker 2:

$20,000 you get out, you know, get another car and you make your payments for a couple of years, you'll be fine. You're not going to go in debt for $500,000 and not have a home to live in, you know. So I think home insurance for me, um, it's just crazy that people don't have insurance on their home. Um, although car insurance is very, very important, um, I think not having home insurance is like crazy.

Speaker 1:

So what do you think people and you can just this could be about home insurance or just insurance in general. What do you think people don't know or don't understand about? You know insurance that they need to understand.

Speaker 1:

Um you know, like for us it's like you know what do people do people? What if I was to answer that question like what do people need to know about real estate or buying a home? That that, uh, that they don't know? It's like it would be the easy with a low-hanging fruit is like you don't need to put 20 down, or that your home is going to appreciate. Even if the market crashes. The value is going to come back right. I think we lean on like the down payment all the time. Is there anything like that insurance? I think?

Speaker 2:

policy reviews, making sure people check their policies all the time. I think a lot of. I have customers that haven't switched their insurance companies in 10 plus years and specifically I had a customer that was paying $800 a month for car insurance for the past five years. I quoted them because she finally was like hey, like this is insane to me. Let me just quote you around. She dropped to $400 a month.

Speaker 2:

Saving $400 a month is crazy to me just because you didn't want to shop yeah you know, and and just give an insurance broker you know a try or like, not even with me, but like any agent like that will help you out. Um, definitely do policy reviews, making sure a lot of I know a lot of customers that still pay for car insurance. Uh, on cars they don't even have anymore. They're like well, I sold my car and I'm like well, did you call your agent?

Speaker 1:

Yeah.

Speaker 2:

They're like oh well, I returned the plates. I thought that you guys talked to each other Do you not talk to the DMV? And I'm like no.

Speaker 1:

I would never have known that. That's not how it works, so you have to physically call to get that.

Speaker 2:

You, you know we have to call your agent or your insurance company and let them know hey, I sold a car. Please remove my car from my insurance so I don't have to keep paying for it you know, that car thing happened to us at some point.

Speaker 1:

We're paying, like my wife like handles all this stuff, like she like does, sets it up right, so I don't know anything, yeah. But, um, we had like a six hundred dollar insurance, like a month car insurance for like our two cars. And then she, um, I think I one day I was like this is expensive, are you sure we have to pay that much? And then she called and shopped it and now it's like 180 dollars, yeah, and it dropped significantly and I was personally offended, just like in general, just from paying that much yeah, and then, um, I don't know.

Speaker 1:

I've been sitting here the whole time trying to figure out who our home insurance carrier is, and I have no clue, it's not coming to me at all.

Speaker 2:

I will say, out of at least 50 people in a room, I can promise you maybe two will know who their home insurance is with.

Speaker 1:

Yeah.

Speaker 2:

Maybe I have no clue.

Speaker 1:

And they're all homeowners.

Speaker 2:

obviously I will say that.

Speaker 1:

The whole time I've been here'm like who do we have? I know who the agent is, but we haven't talked to him in three years either. So no policy review has happened. Yeah and uh, I have no, even now. I have. No, I have no. I was hoping you would say they were part of your five. Oh man, okay, well, let me get you out of here. Any. Any. Any last words for the people.

Speaker 2:

I'm not, I don't have any last words. I will say just make sure you look and you know, review your policies, make sure you quote around, make sure you have someone on your side. Try and save some money for yourself, you know.

Speaker 1:

Okay, and I ask this question. I'm usually sitting down with lenders and realtors, but you owned a home before and you kind of know what that entails. So what's one piece of actionable advice you can give to a home buyer and a home seller?

Speaker 2:

oh, um, it's a good one. Wait, like, what do you mean?

Speaker 1:

like if you were, if you, if someone was out like buying a home and they were like, hey, arlie, like I'm trying to buy a home, like what's one piece of advice that you would give them?

Speaker 2:

I would definitely say do your homework, um on where you want to buy your home and um what buying a home entails. Like I never knew that low. Uh, lawnmowers were so expensive. I didn't know trash cans were so expensive. It's honestly a lot. Um, maintaining a home is really expensive. Um, it's not just the mortgage, so I think it's definitely um, but it's definitely doable. It was an amazing time having a at home. I loved it Every minute of it. I can't wait to do it again.

Speaker 1:

Yeah, we're going to get you back Now I know. So now I know like I'm going to get you, you don't want a home, so I'm going to reach out to you via email and text message and IG, dm and.

Speaker 2:

Facebook Got you in two years.

Speaker 1:

Yeah, okay yeah, okay.

Speaker 2:

So where can the people find you? How can they get in touch? Um, you can get in touch with me in instagram. We have a? Uh instagram with the agula group, and then facebook, uh email. A little bit of everything hit up, arlie.

Speaker 1:

I'm gonna blast you on social and collaborate on every post because your people love you and you need to do more of this so they can see you shining I will do my best.

Speaker 2:

My my goal this year is to be doing more networking and honestly, it was a great time being here with you, nick well, thanks for joining me.

Speaker 1:

I appreciate you. All right, all right, we out.

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Nick Bush

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