Hail! Hail! The gangs all here. The gangs of roofers, that is. Last month’s hail storm wreaked havoc on the shingles covering Nashville’s residences. With a record number of homes under contract and set to close, these mini icebergs have had a titanic impact on the real estate market.

In most cases, adjusters are more homeowner friendly than in the recent floods, or perhaps the RVC, replacement value coverage, was more standard in insurance policies than the ground water was. The most prevalent scenario is that the adjustor arrives evidently after completing a course in friendliness and customer service, as they are all most affable and knowledgeable. Of more importance, they are a generous lot and are quick to spend the insurance company’s money.

What most “victims,” or insured, relate is that the adjustor estimates the work and has the insurance company issue checks with payee listed as the homeowner and the mortgage holder together. For example, John Doe/Pinnacle Bank would be listed. This check is for half of the amount of the estimate and requires the lenders endorsement to be deposited. While generous, they are careful. No one is going to pocket roof money. Upon completion and a receipt of said completion, the insurance company will fund the balance.

1033 Sharpe Avenue

While the damage is visible in a number of the homes in the area, the adjustors are quick to note that the coating that protects the shingles from the UV rays of the sun are often compromised, which can cause the roof to heat and reduce its life by as much as 25 years on a new roof.

Therefore, home owners that may have felt that they escaped the effects of the hail might have invisible damage. A call to the insurance company is recommended for all that fell prey to the storm.

Along those lines, the catastrophe, as this has been labeled, has beckoned more roofers than the gold did during the California rush. Shingles are scarce, and roofers are aplenty. The area witnessed this phenomenon with the tornado in 1998. And, as is the case in witches, there are good roofers and bad roofers, and the East/West versus North/South thing doesn’t work as well with roofers.

1607 Shelby Avenue

So consumers should be warned against crooks in roofer’s clothing and check references and materials. As it relates to real estate closings, the transfer of ownership terminates the insurance policy. Therefore, all work must be complete and contractors paid in full before a property changes hands. If not, the owner should obtain a letter from the insurance company stating any variation is those terms.

Some buyers are incurring expenses that should have been covered by the sellers’ insurance company, while some feel the sellers are liable even though the house is closed. Aw hayull. Nuthin’s easy.

Sales of the Week

The sales of the week come to us this week from East Nashville where the Flippers have re-emerged as renovation for profit is once again a flourishing enterprise.

The first property is 1607 Shelby Avenue, a home that sold for $308,000 in 42 days after having been listed for $326,900. The house has 1948 square feet therefore selling for, or bringing as they say, $158 per square foot.

The property had been purchased in 2008 for $230,000, and the sellers had constructed a massive addition. According to listing agent John Brackeen of ReMax Choice Properties, the addition included a den, master suite with walk-in closets, a wonderful master bath and a two-car garage.

The second home was listed by Josh Anderson of Keller Williams and is located at 1033 Sharpe Avenue and sold for $234,900. With its 2,350 square feet, its price per square foot was a mere $99.96. It’s a shame they couldn’t have squeezed another nickel out of the buyers to break the $100 mark. Yet, weep not for the sellers, as they apparently acquired the property for $47,000 in 2011.

The sellers rebuilt the house, adding hardwood floors, custom cabinetry, granite counters and the works. Not a bad time to be flipping in East Nashville.

Richard Courtney is a real estate broker with French, Christianson, Patterson, and Associates and the co-author of Come Together: The Business Wisdom of the Beatles. He can be reached at [email protected].