REO Builders Risk Loss Control Guidelines

Lenders insured with REO Builders Risk agree to take an active role in controlling losses and keeping costs reasonable. The following loss control measures are recommended upon taking possession of the property:

• Protect the structure from weather damage if the roof is not complete.
• Secure the structure from unauthorized entry by boarding up wall openings, locking windows and changing door locks.
• Shut off water service to the structure and drain the plumbing until the structure is under contract and ready for inspection.
• Disconnect electrical service at the main breaker.
• If possible, removing outside air conditioner compressors and place them in storage until the structure is under contract and ready for inspection.
• Clean and maintain the lot until the property sells.