If its not possible to pay the written off debt, or otherwise save the house, does the bank (or whoever) come confiscate the house AND belongings when her father passes?

I used to be the educational person at the one I used to belong to. 

You can file a claim with your insurance company for the damage from the backup most likely.That line belongs to them. 

If so, it wont be long before you will have to replace more of it.

By the time a lawsuit got anywhere the house would be long since sold.

Yet, according to google the commute into Austin will be longer 20 minutes longer.

And I state to them; "my insurance will not cover any of your personal belongings, in any event, no matter what". 

.- Personal Articles: Coverage for belongings that have a special or collectors valuesuch as Jewelery, Furs, Fine Arts, Collectibles, etc...Your age should not be a factor on the pricing but, depending on the company these other factors may get you credits:- Insurance Score (company pulls certain info out of your credit report)It is not your credit score but generally better credit will result in a better score- Time at your job- Education level- time at current residence Good Luck & feel free to PM me if you have any questions.

She really belongs in a nursing home, with fire safety and an evacuation plan if there were to be a fire. 

This provides the accommodation for tenants who are less able to remove their belongings in a short period.