An assumable mortgage is one which lets a buyer take over the existing loan of a seller. Assumable mortgages require the lender's approval. The person who assumes a mortgage takes the same interest rate and monthly payment schedule as the original loan, which can result in big savings if the interest rate on the existing mortgage is lower than the current rate on new loans. However, the lender can change the loans terms. The person assuming a mortgage still needs to qualify for the loan and pay closing fees, including the costs of the appraisal and title insurance.
The lender also holds the seller liable for the loan. For example, if the person assuming the mortgage defaults on payments and the lender forecloses, but the property sells for less than the loan's balance, the lender can sue the seller for the difference.
Form property sold with vacant possession refers to a legal document that signifies the transfer of ownership of a property to a buyer without any occupants or tenants residing in it. This type of property sale is common in real estate transactions and can be beneficial for buyers who want full control and immediate occupancy of the property. Here are some relevant keywords and types of Form property sold with vacant possession: 1. Vacant Possession: This term signifies that the buyer will receive the property without any occupants, tenants, or ongoing leases, ensuring a clear and empty property. 2. Property Transfer: The process of legally transferring the ownership rights of a property from the seller to the buyer. 3. Real Estate Transaction: Refers to the buying and selling of properties involving legal contracts and formalities. 4. Form Property: This indicates that a specific form or document is required to establish the sale of the property with vacant possession. 5. Title Deed: A legal document that proves ownership of a property and is transferred from the seller to the buyer during the sale process. 6. Conveyancing: The legal process of transferring property ownership, including preparing and reviewing legal documents, conducting searches, and completing the necessary paperwork. 7. Residential Property: Refers to any property used for residential purposes, such as houses, apartments, condominiums, or townhouses. 8. Commercial Property: Property used for business purposes, including office spaces, retail establishments, industrial buildings, and warehouses. 9. Land and Development Property: Vacant land or land with potential for development, such as for constructing new buildings or infrastructure projects. 10. Leasehold Property: A type of property ownership where the buyer has the right to occupy or use the property for a specified period but does not own the land itself. Leasehold properties may be sold with vacant possession if the lease agreement ends before the sale. It's crucial to consult legal professionals and understand the specific terms and conditions of a Form property sold with vacant possession, as they may vary depending on the jurisdiction and contract terms.