{"id":39527,"date":"2024-04-26T21:03:16","date_gmt":"2024-04-27T04:03:16","guid":{"rendered":"https:\/\/www.homelight.com\/blog\/?p=39527"},"modified":"2025-10-30T07:31:32","modified_gmt":"2025-10-30T14:31:32","slug":"buyer-how-to-assume-a-mortgage-from-a-family-member","status":"publish","type":"post","link":"https:\/\/www.homelight.com\/blog\/buyer-how-to-assume-a-mortgage-from-a-family-member\/","title":{"rendered":"How to Assume a Mortgage from a Family Member"},"content":{"rendered":"

In today\u2019s high-interest mortgage landscape, the idea of <\/span>assuming a mortgage <\/span><\/a>from a family member can be an appealing path to home ownership. But what does this process actually entail?\u00a0<\/span><\/p>\n

This guide breaks down what it means to step into a family member\u2019s mortgage shoes and purchase their home. But navigating this course can be tricky, especially when family relationships and emotions are involved.<\/span><\/p>\n

We’ll explore <\/span>what loans are assumable<\/span><\/a>, the pros and cons, and the financial, legal, and tax considerations to help you make an informed decision. Whether it’s keeping a beloved home within the family or securing a home with a lower interest rate, here\u2019s how to assume a mortgage from a family member.<\/span><\/p>\n

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An experienced agent can help minimize challenges and coordinate a home sale between family members. HomeLight can connect you to a top agent with experience in family real estate transactions.<\/p>\n \n

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What does it mean to assume a mortgage?<\/h3>\n

Assuming a mortgage may sound complex, but for the context of this post, it’s essentially <\/span>taking over your family member’s existing mortgage<\/span><\/a> \u2014 the remaining loan payments, terms, conditions, and interest rate. This means you bypass starting a new loan, often avoiding the higher interest rates that can come with it.<\/span><\/p>\n

\u201cIf you can assume a mortgage, this might be the most beneficial for you because you can try to obtain the lower interest rate and get lower costs,\u201d says <\/span>Eric Broesamle<\/span><\/a>, a top Michigan real estate agent who has been helping families buy homes for more than 22 years.<\/span><\/p>\n

For many, this option is like a financial shortcut in the journey of homebuying. It’s particularly attractive if your family member has locked in a lower interest rate compared to current market rates.<\/span><\/p>\n

This transfer of responsibility from one family member to another can be a practical solution, especially when trying to keep a home within the family or seeking affordability in a challenging market.<\/span><\/p>\n

Can I assume a mortgage from a family member?<\/h3>\n

When considering assuming a mortgage from a family member, it’s important to understand that not all mortgages are assumable. The ability to assume a mortgage depends largely on the type of loan and the lender’s policies. Here’s a breakdown of the common types of loans and their assumability:<\/span><\/p>\n