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If a spouse dies will the mortgage be paid in full by insurance?
Depends on what insurance is being carried. Most mortgage holders require individuals to purchase insurance to cover the balance if there is less than 15 or 20% equity being held. If you aren't carrying PMI on the mortgage, you could obtain private life insurance that can be used to pay off the mortgage.
Does homeowners insurance pay your mortgage if you become disabled?
Homeowners insurance does not cover your mortgage if you become disabled. You would need to obtain mortgage protection insurance for that.
Does homeowners insurance cover foreclosure?
No. Homeowners Insurance does not cover the owners default on a mortgage note.
Does house insurance cover a mortgage if the holder dies?
NO Home Owners insue covers the Home. You might look to Mortgage Insurance for paying a mortgage.
What is mortgage insurance?
Private Mortgage Insurance is a policy that covers the mortgage company in the event the home buyer defaults on the mortgage note. It is commonly referred to as "MI" and is usually obtained through the mortgage company. Mortgage Insurance does not cover the real property but rather the Mortgage Note. It comes under the category of Contract Performance Insurance and is in the Property and Casualty line. The term "private mortgage insurance" differentiates it from government insurance. Loan products such as FHA, VA and USDA Rural Housing loans also carry insurance but it is from the government and is built into the cost of the loan, rather than being purchased seperately.Answer:It is insurance that the lender forces you to buy if you do not have enough equity in the property (usually 20%). The insurance only protects the lender in the event the borrower defaults and the foreclosure sale does not bring enough to pay off the loan.
If a spouse dies will the mortgage be paid in full by insurance?
Depends on what insurance is being carried. Most mortgage holders require individuals to purchase insurance to cover the balance if there is less than 15 or 20% equity being held. If you aren't carrying PMI on the mortgage, you could obtain private life insurance that can be used to pay off the mortgage.
What kind of insurance would cover a mortgage in the event of a spousal death?
Credit life insurance, Mortgage insurance, or decreasing term insurance.
Does homeowners insurance pay your mortgage if you become disabled?
Homeowners insurance does not cover your mortgage if you become disabled. You would need to obtain mortgage protection insurance for that.
Will homeowner's mortgage insurance pay for failing drainage pipes under foundation?
Mortgage InsuranceNo, Mortgage Insurance is NOT Homeowners Insurance. Mortgage Insurance does not cover your home at all.Mortgage Insurance covers your finance note, not your home.
Does homeowners insurance cover foreclosure?
No. Homeowners Insurance does not cover the owners default on a mortgage note.
Does house insurance cover a mortgage if the holder dies?
NO Home Owners insue covers the Home. You might look to Mortgage Insurance for paying a mortgage.
What does Mortgage insurance premiums cover?
the house payment
Will Homeowners insurance reimburse for mortgage during renovation?
NO, your homeowners policy will cover 'additional living expenses' but will not cover your mortgage.
What is mortgage insurance?
Private Mortgage Insurance is a policy that covers the mortgage company in the event the home buyer defaults on the mortgage note. It is commonly referred to as "MI" and is usually obtained through the mortgage company. Mortgage Insurance does not cover the real property but rather the Mortgage Note. It comes under the category of Contract Performance Insurance and is in the Property and Casualty line. The term "private mortgage insurance" differentiates it from government insurance. Loan products such as FHA, VA and USDA Rural Housing loans also carry insurance but it is from the government and is built into the cost of the loan, rather than being purchased seperately.Answer:It is insurance that the lender forces you to buy if you do not have enough equity in the property (usually 20%). The insurance only protects the lender in the event the borrower defaults and the foreclosure sale does not bring enough to pay off the loan.
Do you have to carry mortgage insurance?
No you don't have to, but you would be a fool not to carry enough insurance to cover your mortgage! However, most mortgage lenders do require it, and if so, they will not make the loan if you refuse to carry the mortgage insurance. In that case, the choice is yours.
What situations does mortgage insurance cover?
There are many different situations covered by a mortgage insurance plan. The most common issue addressed by the company would be a missed or late mortgage payment.
What does Private Mortgage Insurance cover?
PMI is not a product that you purchase from an insurance agent like myself. It is an insurance policy that covers the bank if your mortgage is foreclosed on. Generally PMI is required by the bank if you are financing 80% or more of the value of the home. The insurance covers the bank but you are required to pay the premiums. After your mortgage balance falls below 80% of appraised value you can and should drop the coverage. The bank will not notify you of this so you have to tell them.
