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Bot***** *****ne have mother contact lender here and they will let her assume the loan if she wants to keep the property here.
Hi and welcome to JA. Ray here to help you today.
More information on the law here, they have to let her assume the loan.She just needs to call them.Federal law, specifically the Garn-St. Germain Depository Institutions Act of 1982, allows an exception to the due-on-sale clause when a property transfers by inheritance. The law allows a close relative who inherits property to assume payments on the mortgage and retain ownership of the property. A joint tenant, who shares title to the house, may also assume the mortgage; the most common situation involves a surviving spouse who still lives in the residence
There is no qualifying here if she just notifies them she is heir and the other person deceased.Garn-St. Germain says they have to let her assume it without strings or qualifying here.
Please let me know if you have follow up here.It is not a problem, federal law allows her to assume the existing loan without qualifying, she just needs to contact the lender and do so.