Mortgages : How to Assume a Mortgage

Hello, how to assume a mortgage, that’s going
to be the discussion of today’s topic. My name’s Adriel Torres and I’m the owner of Now, assumable mortgages are not there anymore. Those are long gone.
They stopped assumable mortgages back in the eighties. But when they were around, there
were two types. There was an assumable mortgage, non qualifying and one that you had to qualify
for. The non qualifying assumable mortgage basically just said you found an owner that’s
willing to sell the property and you didn’t want to take out a mortgage in your name so
you assumed their mortgage, their terms. You worked out the paper work with the bank and
now the mortgage was in your name and obviously the title of the property in your name. The
qualifying assumable mortgages, you had to qualify for that mortgage. Now, the reason
you would do that is because the mortgage that was in place would have been lower in
rate that what you could have gotten at the bank. Now if you were able to obtain a mortgage
that had a lower rate on your on your own than the mortgage presently on the property
you’re going to buy then obviously you would take out the mortgage in your name. But those
are the difference between the two assumable mortgages, a qualifying assumable mortgage
and a non qualifying assumable mortgage. Again, my name’s Adriel Torres. I’m the owner of Thank you very much.

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