What happens if my home experiences major damage?

Homeowners are required to maintain active homeowner’s insurance. If your property suffers major damage, you must notify your insurance carrier and your subservicer. The subservicer will guide you through the claims process to ensure repairs are completed or funds are applied appropriately. Generally, proceeds will be used to repair the home or pay outstanding obligations such as mortgages and liens.

If you elect to pay off the HEI rather than use insurance proceeds to rebuild the property, Point will require an independent appraisal to determine the home’s pre-loss market value (its value immediately prior to the damage). This ensures the payoff amount is calculated based on the property’s home value before the loss.