Please ask questions when getting a new mortgage company regarding fire damage/replacement. Our insurance gave us and OneMain a check for $166,000 to rebuild our house that we lost 11 months ago.
They give you 1/3 and inspect to ensure you are using "their" money right. Remember this money came from Your insurance company that You pay (directly to them by us not escrow). You have no control over your money for your loss. They inspected, no problem but it took 30 days and 4 calls (two to supervisors) to get an inspection scheduled.
We had contracts signed and lost them. Thus costing previously agreed work to increase because material cost went up during that time. Finally got the send draw and was told no more money until the house was complete. So how would you build a house when you only get 2/3 of the money to build it although your insurance company agreed it would take the full amount to build it????
We had to struggle, fight, use up all of our contents money, and beg to get another draw, up to 85% complete is what they would pay. Now with no contents money left and $24000 that they are still holding, we are once again scrapping to finish. My husband is a fantastic builder and will get the job done right but it should have never been this stressful.
Make sure you know how your mortgage company dictates these type of disasters and take that into consideration when choosing a company. I learned the hard way.
Monetary Loss: $166.