Take Over My Mortgage: What It Really Means

Many homeowners who search for a way to sell their house and hand over the mortgage are really asking for a mortgage assumption. It is a real option, but the lender, not the two people involved, decides whether it happens.

A formal assumption

The CFPB describes an assumption as a written agreement. Under Regulation Z, it happens when the lender agrees in writing to accept the new person as the borrower responsible for the loan. A lender can require one when a due-on-sale clause applies or when the original borrower asks to be released from liability.

Not every loan can be taken over, and not every servicer makes it easy. Ask yours in writing what it requires.

The informal handshake deal

Some people try to skip the lender and simply have a new owner make the payments. That can trigger the due-on-sale clause in the loan, which lets the lender demand the full balance. The original borrower stays responsible while the loan is still in their name.

Be careful with any buyer who suggests keeping your loan in place without the lender's knowledge. Have an attorney review the structure first.

When selling is the cleaner path

If the lender will not approve a takeover, selling the house and paying off the loan from the proceeds is a straightforward alternative. A buyer purchasing directly can often close without waiting for a new mortgage to be approved.

This is the situation our site is built around. You describe the house and the loan, and a buyer or other professional contacts you.

Getting matched

Tell us on the form that you are looking for someone to take over your payments or buy the house. We refer your details onward and we do not make lending decisions. Neither we nor the buyers we refer you to can promise that your lender will approve a takeover.

See our guide to selling without a realtor.

Common questions