what happens to my mortgage if my condo is condemned?
April 27th, 2010 | 
Author: I would like to know what will happen to my mortgage balance if my condo is condemned by natural causes, in California?
Posted in Mortgage FAQ
Posted in Mortgage FAQ
I would like to know what will happen to my mortgage balance if my condo is condemned by natural causes, in California?
Posted in Mortgage FAQ
The mortgage stays just as it is. Now, the homeowners insurance policy that you’re required to have will pay out up to the amount of the casualty/loss coverage. The casualty/loss coverage should be at an amount that would cover full loss of the home, but in the even it doesn’t, you’ll still owe the bank what your insurance doesn’t cover.
Nothing happens to it, you are expected to pay it off. Since natural causes are covered by your insurance this will not be a problem, just send in the claim.