Skip to main content

Pros and Cons of an Assumable Mortgage? Can you do an Assumable Mortgage with a Conventional Loan?

I just have a lot of questions about it as I thought it was an interesting topic and possibly want to consider. I'm not in the process of purchasing a home for a few years, but some relatives (both the seller and buyer are related) of mine seem to be in the process of doing this between themselves. However, from my understanding, the relative selling has a conventional loan. I was reading up on assumable mortgages and it seems it's generally only possible with FHA, VA and USDA loans.

Questions:
- What situation(s) would one able to able assume a conventional loan?
- What are the pros and cons of an assumable mortgage for both the seller and the buyer?
- If an assumable mortgage is possible and goes through, is the seller ever liable for any payments in the future if the buyer defaults on their payments?
- How complicated is the process to assume a mortgage?
- I read that an appraisal is not required for assumable mortgages. What does this mean for both the seller / buyer? Does this mean that the seller may sell their home at a lower value than it may be currently?
- Are assumable mortgages private sales? Do you need a realtor to walk you through the process or does the seller and buyer work with the seller's bank who gave the mortgage?
- Any other information niche about assumable mortgages would be cool to know!

Thanks in advance! :)

submitted by /u/SnooPoems8286
[link] [comments]

source https://www.reddit.com/r/RealEstate/comments/1afcjhe/pros_and_cons_of_an_assumable_mortgage_can_you_do/
Labels:

Comments

Post a Comment

Popular posts from this blog

North Carolina – “One to Buy; Two to Sell”

I realize I will likely have to contact a real estate attorney but also hoping to hear insights and experiences from others! I have a house in NC that I bought by myself in 2009, and paid off, in full, in 2022. I got married in 2023. My spouse and I have not lived in the house as our "marital residence". We have maintained separate residences even after we got married. (That a separate topic!). I am now selling this house. Realtors have told us that my husband has to sign the deed at time of transfer but I am not convinced since the house has not been our marital residence. The realtors like to use the phrase "one to buy; two to sell", which seems like a broad-stroke statement which is not applicable under all circumstances. And of course, the realtors don’t realize the details of my specific circumstances: I purchased and paid for the house in full prior to marriage Only my name is on the deed And most importantly, we have never lived in the house as a marit...
Post a Comment
Read more

Question With Tricon "Pending ID".....

My wife and i, along with 2 other peopl applied to rent a house, and our application says "Approved, Pending ID". Anyone else know what that means? Do we pretty much have the place or are we missing something? submitted by /u/Itskrueger [link] [comments] source https://www.reddit.com/r/RealEstate/comments/1orixqj/question_with_tricon_pending_id/
Post a Comment
Read more

warning about Biggins and Scott Brunswick

his is a general warning for people who use this agency to rent a property. I am going to share a disgusting experience that I had with the above agency. I was new to the rental experience after a marriage breakdown so I answered a add on Real Estate .com and met a guy in Maribyrnong to look over a apartment . He suggested he was not only going to be my roommate, but he also worked at the company in Brunswick. All looked good and myself and a lovely lady moved in to the apartment in late March. Everything was going well ,we were paying our rent and things were moving forward with 3 people coming from different age groups and different upbringings. Then on the 25th of June out of nowhere 3 Breach Notices appeared on my email from my roommate but on Biggins and Scotts letterhead. I was completely surprised and after trying to reason with the sender of these documents, I then decided I had to call his boss the Director of Biggin and Scott in Brunswick. David told me that he was ...
Post a Comment
Read more