Assumability

Definition

• The ability of a mortgage to be taken over by a new borrower. See also "Assumable Mortgage."

Synonyms
transfer, assignment, shift, move

Related Terms and Acronyms

• Assignment — Definition,
  • The transfer of a mortgage from one person to another.
• Assumable — Definition,
  • A loan or obligation that can be taken over by a new borrower.
• Assumption Clause — Definition,
  • A provision in a mortgage contract that allows a buyer to take responsibility for the loan from the seller.
• Assumption Fee — Definition,
  • A lender's charge for updating records when a buyer takes responsibility for a mortgage from the seller.
• Mortgage Assumption — Definition, Important,
  • Taking over the payment and responsibility for an existing property loan.
• Non-assumption Clause — Definition,
  • A provision of a home loan that prohibits the transfer of the mortgage to another borrower without the lender's permission.
• Transfer of Title (TOT) — Acronym,
  • A document signed by the seller and purchaser transferring ownership, at which time the document is registered against the property.