Why are my mortgage and insurance companies insisting I have replacement cost in my mortgage insurance?
They say I need $ 160K insurance for a $ 76K loan. Appraisal on the house is about 85K. I have been bouncing back and forth on the phone and no one can give me a straight answer as to WHY they require replacement cost. Please help me understand why the mort co instsis I get a new free house if there is a fire.