The wife take it.
If your husband has a will then his property is distributed accordingly, if he not have a will then the distribution of property is determined by a probate court.
Any property your husband owns with another as a joint tenant will automatically pass to the surviving joint tenant upon his death. For example, if he and his brother own a cabin as joint tenants the cabin will belong to his brother if your husband dies first.
The princess' son will be the prince.
the lawyers get rich
If the mortgage isn't paid the lender will take possession of the property by foreclosure and sell it.
The property of the wife would be distributed to family in accordance with applicable instestate law, including to the husband. After the husband died, his property (including any property inherited from the wife) would be distributed to his survivors according to applicable intestate law.
The property will become owned by the state in which the property is located. When this happens we say the property "escheats" to the state.
She dies of a heart attack
She will be crying and take over.
No. If he dies and defaults on the loan the bank's recourse is to take possession of the property by foreclosure. The bank has no claim against you.
Assuming no Will, if community property, then all goes to wife. If separate property, then divided between wife & kids.
Simply stated, you are living in his mother's house at her discretion. You have no rights in her property other than those provided under local landlord/tenant laws. If the property was owned by his mother and your husband inherited the property on her death, then you would inherit it.