Demi's home got red tagged Monday night ... a house above the singer's was compromised by the storms and a mudslide cascaded into her driveway. The hillside above -- with a house attached -- could slide right into Demi's ... worst-case scenario.
Her house is in the Laurel Canyon area ... not too far from another home that caused chaos earlier this month when a portion of the foundation slid down the hill.
Demi bought the house for $8.3 million back in September and hasn't even moved in.
In case you're interested ... the house is 5,546 square feet with 4 bedrooms and 5 1/2 baths. We're guessing she might be in the market to negotiate.
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