Home Buying in Rochester>Question Details

Stefon, Home Buyer in Rochester, NY

hello I have a really quick question? I'm wondering if its possible to buy a house if someone is still paying mortgage on it contact me via

Asked by Stefon, Rochester, NY Mon Dec 14, 2009

e-mail : stefonrob@live.com

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Stefon,

All the answers here are possibles for your own situation. If you phone me at 585.223.4449, I can give you the 1 best answer for your needs. There's no obligation, of course.
0 votes Thank Flag Link Mon Dec 14, 2009
If your question addressed the scenario in the first answer, that's fine. It's a good answer.

If your question was: "Is it possible to buy a house if the original owner--the seller--still is responsible for the mortgage?" the answer is yes. You can buy the house "subject to" the existing mortgage. It's like assuming a loan when the loan isn't assumable. The person deeds the house to you. You agree with the seller to continue paying the mortgage. But the original owner is still responsible to the bank for those mortgage payments. "Subject tos" can be tricky. For example, if you stop paying, the bank goes after the original owner. Even if you keep paying, there's almost certainly something in the owner's mortgage (called a "due on sale clause") that allows the bank to call the loan immediately due and payable. It doesn't happen too often, but it's a risk.

Hope that helps.
0 votes Thank Flag Link Mon Dec 14, 2009
Don Tepper, Real Estate Pro in Burke, VA
MVP'08
Contact
Check your e-mail, as requested I sent my reply there.

Thanks,
Michael Walker
Web Reference: http://mikewalkerhomes.com
0 votes Thank Flag Link Mon Dec 14, 2009
The first answer pretty much sums it up. Unless you are thinking of a Land Contract or Wrap. If this is the case seek legal help asap. NOT THE SELLER'S ATTORNEY, or the agents. There are so many pit falls to this type of purchase, please beware! You may contact me directly BOBKIRBY@REMAX.NET or 585.719.1940
0 votes Thank Flag Link Mon Dec 14, 2009
Stefon that is how most homes are sold! The mortgage gets paid off at closing by the funds that the seller receives from the buyer. The attorney takes the amount need from the money that the buyer brings and sends to the sellers bank the amount known as "the pay off" . The sellers lender sends a release of lien for the attorney to file and the buyers now have a new home. If they purchased it with a loan the atttorney files the new mortgage which creates a lien on the property again but this time the new owners are the grantors.
Web Reference: http://www.Find1Home.com
0 votes Thank Flag Link Mon Dec 14, 2009
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