What are the potential advantages?

It can be easier to sell a home via a mortgage assumption due to potential advantages to buyers, which may include:

• When interest rates are high, assuming an existing mortgage with a lower interest rate could potentially save a homebuyer money over the life of the loan compared to a new mortgage.

• Often, assumptions have lower closing costs compared to a new mortgage.

• The escrow balance stays with the loan (at the seller's expense).

• An appraisal is not required, which may cost hundreds of dollars.

• An owner's title policy is not required, which is normally paid by the buyer.