Generally in case of housing accounts, the borrowed amount should be adequately covered for insurance, so that borrower's dependents, without borower's savings / salary may not be in a position to close the loan, and such hard earned residence must be put up to sale to repay the borrowing. Further, every borrowed account (Infact he housing boards are availing group finance and take responsibility of repayment, without consent, property can not be disposed) must have co-obligant and banks prefer nearest legal heir, so when some uncertainity has taken place the claim insurance, get the nominee proper discharge and show the amount as repayment for housing loan, and the family can become owners of the property, without remitting the outstanding amount further.