Legal Question in Real Estate Law in California
How often does a mortgage holder have the right to inspect a fire-damaged house?
2 Answers from Attorneys
A reasonable number of times with prior notice to the owner or tenant. What is "reasonable" depends upon many things. Ask them why they are doing so;point out it has become very irriating to you.
A borrower promises the lender to maintain the value of the collateral. Damage by fire or otherwise is a breach of that agreement, regardless of fault. The lender presumes the borrower has insurance and will promptly use the insurance proceeds to repair the damage and restore the value of the collateral. Until the breach is cured, the lender may inspect regularly and in many cases must inspect regularly under rules imposed by an agency such as Fannie Mae or Freddie Mac. Usually, these agencies require loan servicers or originators to inspect once a month until the damage is corrected. I'd say the answer is "once a month," but more frequent inspections might and needed when reconstruction is under way to verify that it's being done right.