"Assuming/taking over" a mortgage in Canada
#17
Re: "Assuming/taking over" a mortgage in Canada
All?
Someone was looking into buying my property and asked if the mortgage was assumable. RBC said their policy was not to offer assumable products. I doubt their policy would differ across provinces.
Someone was looking into buying my property and asked if the mortgage was assumable. RBC said their policy was not to offer assumable products. I doubt their policy would differ across provinces.
#18
Banned
Joined: Dec 2005
Location: In Limbo
Posts: 15,706
Re: "Assuming/taking over" a mortgage in Canada
#19
Banned
Joined: Oct 2008
Location: the GTA
Posts: 3,824
Re: "Assuming/taking over" a mortgage in Canada
It must be remembered that when a mortgage is assumed without the purchaser being qualified then the selling mortgagor remains responsible for any defaults the lender cannot recover from purchasing mortgagor. The lender may waive the requirement at its will.
#21
Re: "Assuming/taking over" a mortgage in Canada
That maybe but it is not advisable to let someone assume your mortgage.
If they default the lender can still come after you.
I had a fellow and his real estate agent try to get me to renegotiate my mortgage on our last home so he could give me a smaller down payment and assume the balance.
Because he (and he did admit this to me) couldn't qualify for a mortgage. Needless to say I threw them both out.
If they default the lender can still come after you.
I had a fellow and his real estate agent try to get me to renegotiate my mortgage on our last home so he could give me a smaller down payment and assume the balance.
Because he (and he did admit this to me) couldn't qualify for a mortgage. Needless to say I threw them both out.
#23
Re: "Assuming/taking over" a mortgage in Canada
OK, I should have clarified. By operation of law, Alberta....
Just because the lender doesn't require it it doesn't mean that they shouldn't. By operation of law, they should.
#25
Re: "Assuming/taking over" a mortgage in Canada
No. The law simply states that all mortgages have to be capable of being assumed. It is the vendor's decision to allow such an assumption - it is not compulsory.
#28
Citizenship Nov 10 2016!!
Thread Starter
Joined: Feb 2008
Location: Stewiacke Nova Scotia
Posts: 6,659
Re: "Assuming/taking over" a mortgage in Canada
Agree, we want to see how it fairs in winters and cost to run etc( Another wood order is on the way )