Knob and tube wiring insurance for homes in New Jersey
Although you may be able to find someone to finance a house with knob and tube wiring getting the insurance for that house maybe a whole different story.. As of the last 5 years in New Jersey many insurance companies will not cover you if it is found that you have knob and tube this is usually discovered when the house goes to sale or needs inspection for some other purpose. a lot of times when the house is under contract the insurance company will require it to be replaced before closing or up to 30 days after closing.
When buying a house if the knob and tube system is found to be active your insurance company may agree to write the policy. Your insurance company at that point may require that the knob and tube wiring be removed first before you move in or sometimes it will allow an extension of 30 to 60 days after the inspection to have a licensed electrician to come in and remove it. It has also been reported that some insurance companies will not cover houses with knob and tube for any reason whatsoever.. At this point you may have to search for a sub standard insurance company or one that would take hi res policy at double or triple the normal insurance rates.
If you are considering purchasing a house that has not been to wiring you should have a licensed electrician look over the wiring and determine the overall condition and obtain an estimate to have the wiring replaced as soon as possible.