Please call my customer service on Tuesday 619.521.3478. Mention my name and give them the property address. They can pull all of the open trust deeds & vesting deeds for the current owner, for free so you can see who actually owns it. You should also look over the trust deed copies they send you , so that you will know what specific loan & the terms you would be taking over. If you assume the mortgage without getting a deed to the property, you have no interest in the actual home.
A lender can call the loan due on a sale, assuming you are taking the property via a deed-aka "subject to", however, that is not as likely, if you keep the payments current. There is always a risk with this type of purchase so you should get a title report prior to buying this way (I can help you with this), so you will know if there are any liens, suits, judgements etc. on the property. You will want to inspect the home to make sure you know what you are getting and see the property profile my customer service could send you for sales comparables. Please be extremely careful if you decide to do this type of purchase. You must also see if the profile we send you indicates any notice of default or notice of trustee sale, since this would affect your decision. Please let me know if you need more information or need a referral to a Realtor, home inspector or appraiser.
You can't tachnically assume a mortgage with out qualifiying with the lien holding lender. And many loans aren't assumable. There are investors and buyers that do "take over mortgage payments" though. This is often call buying "subject to". Meaning you are buying the property subject to the existing mortgage. "Subject to" buyers and investors have the seller deed owneship of the property to them, and they start making the mortgage payments (and property tax payments, HOA, etc...).
However, the lender has the night to call the loan "due on sale". Meaning if they find the property title has been transfered, they have the right to ask to have the loan immdiately paid off. However from what I understand, lenders rarely do this if the mortgage is being paid on time.
I agree with everyone when it comes to doing your DD before taking over the payment but I do not feel that the process is RISKY at all. If you are concern about having the lender activate the "Due on Sale" clause, the easiest way to get around that is to setup a servicing account through the title company. You make the payment to the title company and the title company will make the payment to the lender. I have done "Subject-To" transaction before and had all the payments sent directly to the lender and never had any problems.
Windermere Exclusive Properties
Assuming a loan has not been something most people would consider in today's market, with many owners who bought in recent years owing more than what they could sell it for now. Is it a "for sale by owner"? I strongly encourage you to work with a Realtor if you are not doing so already. It's important to know the value of any property you are considering buying and the terms under which it is being sold. Buyers typically do not have to pay any Realtor fees unless you hire them to find properties both on or off the active MLS. Usually sellers pay Realtor fees, so be sure to get some help. I have access to property values and how much is owed on properties, so if you'd like to contact me, I will gladly assist you.