In a housing market where mortgage rates continue to hover around 7%, homebuyers are becoming more astute in their purchasing strategies. One method gaining popularity is home loan assumption, where the buyer takes over the original mortgage and interest rate at the time of purchase. This option is only available for government-backed loans such as FHA, VA, and USDA loans.

According to Realtor.com data, approximately 25% of mortgages in the past decade have been assumable, with states like Alaska, Wyoming, and Virginia having the highest share of such loans. While assumable mortgages offer lower interest rates and can potentially shorten the life of a home loan, they are still a relatively small portion of the market compared to conventional loans. Buyers interested in assuming a mortgage must also consider the seller’s existing equity and be prepared to pay it off in cash or through a second home loan at current rates.

You can read this full article at: https://papersourceonline.com/the-states-with-the-highest-number-of-assumable-mortgages-and-how-to-get-one/(subscription required)

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