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From: traite@wanginst.UUCP (Paul Traite)
Newsgroups: net.invest
Subject: Re: Re: Mortgage Insurance
Message-ID: <1286@wanginst.UUCP>
Date: Wed, 6-Nov-85 14:39:12 EST
Article-I.D.: wanginst.1286
Posted: Wed Nov  6 14:39:12 1985
Date-Received: Fri, 8-Nov-85 07:23:23 EST
References: <1229@mhuxt.UUCP> <81@noscvax.UUCP>
Organization: Wang Institute, Tyngsboro, Ma.  01879
Lines: 24

> ... If my household should lose my income, could my family
> continue to live comfortably in their present home?  If the answer is no, 
> then mortgage insurance should be seriously considered.
> ...

I don't have a house or a mortgage, but from the discussion on net, it
seems that mortage insurance will only pay the balance of the mortgage due
to the holder of the mortgage, AFTER ASSETS, OF THE MORTGAGE TAKER, I.E
THE HOUSE, HAVE BEEN EXHAUSTED (SOLD).  So, if your household loses your 
income and can no longer make the house payments, then the house would have 
to be sold.  If the receipts from the sale don't cover the remainder due on
the mortgage, THEN the insurance policy will kick in the rest, BUT you get
nothing out of the insurance.

Is my understanding as stated above completely off the wall?  Could someone
with a mortgage and mortgage insurance read the fine-print legalise and
comment?

					Hopefully not confused,
						Paul Traite
-- 

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