I have been out of lending for a year or so and I wanted to make sure I remembered correctly, or if the "rules" have changed. Here is my situation
Bank A has a loan for $45k, collateral is a mortgage on a 1 acre plot. The plot has 4 buildings, a mobile home, a restaurant, a store, and a storage unit. The appraisal is for $172,000, but does not breakdown the value of the land nor the value of each building. The only flood coverage in the file is for $80,000 on the mobile home. Bank A has enough insurance dollar wise but that amount needs to be appropriated to each of the structures. Correct???