Rules change on VA loan assumptionEdith Lank
Mortgage assumption is theprocess of one borrower taking over, or assuming, another borrower's existing home loan. When you're assuming a loan, the outstanding balance, mortgage interest rate, repayment period and other terms attached to that loan often don't change. The False Assumption That A...
Assumption clauses can be problematic in the case of VA loans. That's because of something called entitlements, which are tied to the VA guarantee in case of borrower default. If someone has a VA loan and then allows another buyer to assume it, that could affect their entitlement and their...