How does a mortgage assumption work?
Tags: MORTGAGE, mortgage assumption agreement, work
This entry was posted
on Sunday, November 29th, 2009 at 7:54 am and is filed under Mortgage Questions.
You can follow any responses to this entry through the RSS 2.0 feed.
You can leave a response, or trackback from your own site.
November 29th, 2009 at 8:12 am
The seller’s debt (mortgage) is reassigned to you and remains in first priority as a lien against the property. Any further financing (junior financing) is considered a second on the property. If the current note (mortgage) is at a good rate, assumption can be a good thing. The bank already knows the property is worth the risk.