attorney recommendation for NPN in Michigan?

[Johnathan Norman]

have a borrower who doesn't have insurance and is way behind on payments. Any recommendations ?

[Chad U.]

Originally posted by @Johnathan Norman:

Originally posted by @Tim Holmes:

@Jonathan Norman  I don't have a attorney recomendation but on the insurance side, force-placed insurance  may be necessary  if the asset  is valuable enough to protect while you're foreclosing. Normally the cost is passed on to the borrower. However if they're not paying the note they probably won't pay for the insurance either. So you'll have to foot the bill.

When the insurance cost is passed on to the borrower , if they don't pay is that amount just added the the principle of the note?  

No, but it's generally considered a Corporate Advance and tacked onto the arrearages which is typically included in the final judgement amount at Foreclosure.  Otherwise, you can direct your servicer that it must be paid off by the borrower as part of their reinstatement.  Make sure to keep your servicer up to date on any FPI insurance made on the borrower's behalf.