LandInvestors.com Forums **Ask A Question** Liability if Potential Buyer Gets Hurt on Property While Visiting

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  • #29490
    Kelly Johnson
    Participant
    Post count: 5

    Hey guys! So usually I allow interested buyers of my properties to visit the land and take a look around, prior to agreeing to purchase. But I am wondering if there is any risk in doing this, because I do not know the law regarding if I would be at fault if a visitor gets hurt on my property while walking around. I am currently located in South Carolina. Does anyone know if I could be held liable as the property owner? What actions can I take to minimize this risk? Thanks so much!

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  • Kevin Farrell
    Moderator
    Post count: 2176

    Kelly – some people get insurance. I do not do that. Yes there is a risk. I have an LLC which creates a barrier to exposing my personal assets to risk of lawsuits. In reality, we hold the property for a very short time and that helps to reduce our risk as investors. I have done this since 2016 and I have sold hundreds of properties. Nobody got hurt and no one has sued me. I have not heard of anyone on this forum in all that time being sued for injury while on a property. That evidence suggests that the risk is extremely small.

    Kevin Farrell - Moderator
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    Schedule a 60 minute call - https://calendly.com/kevin-629

    Laurie Phillips
    Participant
    Post count: 238

    Hi Kelly,

    I’ve bought properties with houses, mobiles, barns, sheds, etc. on the land and all are called an “attractive nuisance.” The owner is liable for issues related to an attractive nuisance, and I have professional liability and umbrella insurance for this reason. In every one of these deals the land has sold within a week, but even though it’s under contract fast, the risk is that someone unconnected with the deal will make a claim while you’re waiting to close on the sale. Kevin’s right: the risk is very low (I’ve never had a problem) and holding time is short. My insurance is also right: it will be my problem if there is a claim of damages. I prefer to have insurance be the first line of defense before I rely on my LLC protection, but that’s just my comfort level. I’m in the minority.

    It doesn’t matter where you live: it matters where the property is located.

    Best,
    Laurie

    Greg Miller
    Participant
    Post count: 50

    I am interested in additional insurance but the places I contacted really struggled finding something that would work for me. I need Laurie to share her insurance provider, please.

    Kevin Farrell
    Moderator
    Post count: 2176

    Greg – you should PM Laurie. I am sure she will share her information about insurance.

    Kevin Farrell - Moderator
    Need more help?
    Schedule a 60 minute call - https://calendly.com/kevin-629

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