justamember
Junior Member
What is the name of your state (only U.S. law)? Wisconsin
My mother lives alone in the house she has lived in for the last 40 years and doesn't want to move. The past 2-3 years, we have brought up with her that she needs to think about downsizing, the house is too big and too costly to maintain. The house is not in the best of shape. I don't know the severity of the work that should be done. There is significant organization needed inside, but she doesn't want to throw anything out (I am sure this is common with many parents!)
She has had her home insured with her insurance company and has their ‘gold star’ plan coverage since she has lived in this house. Last fall, a new insurance agent in her town sent a mailer that they wanted to come out to inspect her house. She said she never saw anyone stop by, nor did anyone leave anything indicating someone had been there. She had a small corner of roof that was loose and had already planned for a neighbor to fix it for her (he nailed it down a few weeks later.)
Six weeks ago, the insurance office called and asked if her roof had been fixed. She said yes, it was fixed last fall.
Last week, she gets a letter from her insurance company saying that she has to get her roof fixed by the end of July or they will cancel her policy. She has never received anything in writing of the damage they saw or expected her to repair.
She is on social security but ran out of money to cover her expenses, so she did a reverse mortgage several years ago. A few months ago, the mortgage company has now paid out the maximum to her. She is now asking us for money to help with monthly expenses and none of us are not in a position to make up the difference of the payment she was receiving.
The house is very old, in an older neighborhood with small lots and small houses. We (my siblings and I) did not oppose this as this was her only avenue to help with her expenses. No one is likely to buy the house considering the shape it is in, offer more than what she owes to the reverse mortgage company, nor is the area prime for tear downs. None of us want to spend any significant money to repair the house. (Even a few hundred looks like we’d be throwing it away if a foreclosure is in the near future.)
I think she needs to call her insurance agency to get some kind of documentation that lists their expectations for the repair. We don’t want them to come out to the house and want to inspect the inside as it may open up new problems. She is overwhelmed with the house and her life, but doesn’t want to think about it nor let go of anything.
I think I have to tell her it is time to think about moving to an apartment – and soon.
In all the years she has had this house, she has never had a home inspection before. I have to wonder if this is routine where homeowners who have reverse mortgages that come to the end of their payout. They make a demand for a large repair knowing the homeowner doesn’t have the money to fix it. This forces the policy to be cancelled and the mortgage company forecloses on the house. I understand this line of thinking by the mortgage company – and the amount my mother owes keeps accruing interest that they will likely never see.
Any other options we have?
My mother lives alone in the house she has lived in for the last 40 years and doesn't want to move. The past 2-3 years, we have brought up with her that she needs to think about downsizing, the house is too big and too costly to maintain. The house is not in the best of shape. I don't know the severity of the work that should be done. There is significant organization needed inside, but she doesn't want to throw anything out (I am sure this is common with many parents!)
She has had her home insured with her insurance company and has their ‘gold star’ plan coverage since she has lived in this house. Last fall, a new insurance agent in her town sent a mailer that they wanted to come out to inspect her house. She said she never saw anyone stop by, nor did anyone leave anything indicating someone had been there. She had a small corner of roof that was loose and had already planned for a neighbor to fix it for her (he nailed it down a few weeks later.)
Six weeks ago, the insurance office called and asked if her roof had been fixed. She said yes, it was fixed last fall.
Last week, she gets a letter from her insurance company saying that she has to get her roof fixed by the end of July or they will cancel her policy. She has never received anything in writing of the damage they saw or expected her to repair.
She is on social security but ran out of money to cover her expenses, so she did a reverse mortgage several years ago. A few months ago, the mortgage company has now paid out the maximum to her. She is now asking us for money to help with monthly expenses and none of us are not in a position to make up the difference of the payment she was receiving.
The house is very old, in an older neighborhood with small lots and small houses. We (my siblings and I) did not oppose this as this was her only avenue to help with her expenses. No one is likely to buy the house considering the shape it is in, offer more than what she owes to the reverse mortgage company, nor is the area prime for tear downs. None of us want to spend any significant money to repair the house. (Even a few hundred looks like we’d be throwing it away if a foreclosure is in the near future.)
I think she needs to call her insurance agency to get some kind of documentation that lists their expectations for the repair. We don’t want them to come out to the house and want to inspect the inside as it may open up new problems. She is overwhelmed with the house and her life, but doesn’t want to think about it nor let go of anything.
I think I have to tell her it is time to think about moving to an apartment – and soon.
In all the years she has had this house, she has never had a home inspection before. I have to wonder if this is routine where homeowners who have reverse mortgages that come to the end of their payout. They make a demand for a large repair knowing the homeowner doesn’t have the money to fix it. This forces the policy to be cancelled and the mortgage company forecloses on the house. I understand this line of thinking by the mortgage company – and the amount my mother owes keeps accruing interest that they will likely never see.
Any other options we have?