Condo HO 6 insurance required? (PMI, California, refinance, properties)

[RockyCity]

My friend is in the process of a refinance for a condo he lives in. He has enough equity to avoid PMI, but was told by his lender that HO 6 insurance is now required. I've never heard of this. Can anyone shed some light on this new rule and can it be avoided? What is a reasonable amount to pay for this insurance? His condo is located in the bay area in California.

[SmartMoney]

Very simple. Not mortgage insurance but hazard, aka, fire, aka, homeowners. It insures from the walls in.

During the crisis, when many let their properties go to hell, and HOA master policies woul not cover anything interior, including pipes and wiring.

It's in your friend's best interests to get the policy. Costs the same as a renter's policy.

[RockyCity]

Originally Posted by SmartMoney

Very simple. Not mortgage insurance but hazard, aka, fire, aka, homeowners. It insures from the walls in.

During the crisis, when many let their properties go to hell, and HOA master policies woul not cover anything interior, including pipes and wiring.

It's in your friend's best interests to get the policy. Costs the same as a renter's policy.

Thanks!

[mgt04]

Yup Smartmoney is well on the money lol

I just had to get this for my condo. Mine was $350. Depends on your coverages, deductibles, etc.