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UMe Assumptions
UMe Realty Group © is committed to and abides by the Fair Housing Act of Equal Opportunity.
UMe Realty Group © is committed to and abides by the Fair Housing Act of Equal Opportunity.
In today’s world of skyrocketing mortgage rates, homebuyers are searching for creative, cost-effective ways to finance a home purchase. This has made a once-overlooked concept—the assumable mortgage—suddenly very appealing. But is an assumable mortgage a good idea?
This guide explores everything you need to know about assumable mortgages, from their advantages and disadvantagesto expert insights on how they really work. And if you’re serious about finding one, head over to UMeProjects.com—the premier destination for verified assumable mortgage listings.
An assumable mortgage is a home loan that allows the buyer to take over the mortgage loan of the current home seller—including the same interest rate, terms, and remaining balance.
Instead of applying for a brand-new loan at today’s rates (often over 7%), the buyer steps into a previously agreed-upon mortgage with much better conditions.
Learn more about how a mortgage assumption agreement works →
The mortgage assumption process looks like this:
The buyer must also pay the down payment difference between the mortgage balance and the full purchase price.
Explore HUD’s guidelines on mortgage assumption →
The most common assumable mortgage loans include:
⚠️ Conventional mortgages are generally not assumable, unless clearly stated.
Here’s when an assumable mortgage makes financial sense:
Yes. Negotiation is possible on:
Read about how assumable mortgage agreements work →
Yes. Unless the home is underwater, the buyer must pay the difference between the mortgage balance and the sale price. This is often done via:
For FHA loans, a mortgage insurance premium (MIP) may continue with the assumable loan. Factor this into your monthly payments.
More about FHA mortgage insurance →
Yes. A mortgage after divorce can sometimes be assumed by one party to remove the other from responsibility. The same may apply in cases of death, though terms vary by lender.
Rocket Mortgage reports a growing interest in assumable mortgages, particularly as interest rates rise. However, they emphasize the importance of lender approval and creditworthiness.
Learn more from Rocket Mortgage →
To assume a mortgage, you must:
UMe Projects can pre-qualify you for an assumable loan!
Yes. But be aware: you may lose your locked-in rate. Refinance only if it aligns with your goals or offers better terms.
Assumable mortgages are a rare but powerful strategy for saving money—especially in today’s rate environment. The right buyer, home, and loan can mean huge benefits, including lower payments, reduced closing costs, and easier qualification.
But success depends on meeting credit, income, and equity thresholds—and finding the right property.
UMeProjects.com is the only platform dedicated entirely to assumable mortgage listings. Here, you can:
Mostly FHA loans, VA loans, and USDA loans.
Not if you qualify on credit and income. But some lenders are strict.
Often, yes—to cover the difference between mortgage balance and sale price.
Very rarely. Most are not, unless clearly stated in the loan docs.
Possibly—but it depends on loan type and lender approval.
Hosted every Friday on Zoom. Buyers, sellers, realtors, or investors, please come with any questions about assumable loans!
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UMe Realty Group © is committed to and abides by the Fair Housing Act of Equal Opportunity.