Assumption of Mortgage?
What form would a person need if they were going to move into a place and pay the mortgage in another's name, subsequently taking over the note and changing ownership legally at a later date??
1 Answer from Attorneys
Re: Assumption of Mortgage?
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There is absolutely NO legal way to do that unless the loan specifically allows an assumption. Almost all mortgages and promisorry notes written in the past 25 years call for the loan to be due upon transfer which means the mortgage must be paid at the closing.
The only possible legal way to circumvent this is to enter into a lease purchase agreement whereby the buyer pays rent to the seller and receives a certain portion back at the time of purchase which is applied to the price. If you consider such a deal, you should have an experienced real estate attorney write the agreement as most do it wrong and therefore it does not serve the purposes it was intended for.
Scott R. Jay, Esq.