Definitions for "Assumption of Mortgage"
Assuming or taking over the existing mortgage on the property being purchased. Depending on the terms within the mortgage document this can be done either with or without a qualifying process.
the process of taking over title ownership of a property by assuming payments of mortgage or deeds against the property.There are several ways of assuming mortgage.A purchaser can become all responsible for payment of the mortgage with the seller.The purchaser can also completely take over the mortgage, meaning that he or she is fully responsible for making payments.The purchaser can also take title subject to the mortgage, which means that the purchaser takes on less responsibility.Assumption of mortgage usually requires a fee as well as an agreement, but is commonly used in foreclosed home investing to help finance a foreclosed property.
The act of assuming liability for an existing mortgage on a property by the purchaser of that property. With builders' loans, the assumption is usually evidenced by written agreement.
A new owner assumes the loan obligation of the previous mortgagor.