Having a house condemned with a loan on it - Posted by Angela

Real Estate Investing Real Estate Law
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Posted by Nate(DC) on January 16, 2003 at 23:21:23:

Yes. If something happened to the house that caused it to be condemned, and that something was covered by insurance, then the insurance should pay you and you could pay off the loan with the proceeds. However, if the thing that caused the house to be condemned was simple neglect, or failure to do needed repairs, or something else that is not covered by insurance, or you do not have adequate insurance, then NO, the mere fact that the house got condemned would not relieve you of your liability to pay the loan.

You made a bad deal; now get out of it like a man (and woman). Sell for what you can, even if it’s a loss, and move on.

NT

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Having a house condemned with a loan on it - Posted by Angela

Posted by Angela on January 16, 2003 at 16:39:08:

My husband and I have a house that his ex-wife is living in. When the house was purchased it had a lot of work that needed to be done to it, we got the house in living standards and there is a lot of work that stills needs to be done to the house and we are not financially able to have all the repairs done. Would we still have to pay the loan on the house if we had the house condemned?