If I default on my mortgage, and part of my mortgage payment

by DolphinMajik » Sat Mar 13, 2010 03:02 pm

We are renting a house from someone, and we just found out her house is facing foreclosure. We signed the lease in December, for six months. We are three months into it and found out that at the end of March, this house is set to be auctioned off due to her defaulting on her payments. If she is paying extra money each month for mortgage insurance, but hasn't made a payment in 8 months or more, would that insurance still be valid?

Total Comments: 1

Posted: Sat Mar 13, 2010 03:55 pm Post Subject:

PMI is there to protect the lien holder. I'm not exactly sure about this but I'm betting the home is sold and the PMI carrier pay any difference on what is owed (if any). None the less, the bank takes possession of the home and you'd be forced to leave.

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