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Aug 6th, 2022
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How to Finish result in the Assumption Agreement

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[Music] on this video im going to discuss the loan assumption process is becoming more and more popular especially now that interest rates are higher current loans could be much more attractive to assume from a buyer so the number one thing that we are doing as a team is making sure that we ask every owner thats selling is your current loan assumable it might be able to get you a better price because theres better interest rate financing that a buyer can assume than the the current rates that are offered in todays market so lets dive in heres a couple things you need to know or think about and do on the front end before assuming alone we had just put together a loan assumption on a building in orange county which sparked this video and these are some of the things that we went through number one we asked is what is the timing of the loan assumption process we were told start to finish its going to take a total of 45 days thats best case scenario so we want to make sure we mana

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Use a termination clause. Generally, a termination clause will stipulate that due notice of termination must be given in writing for termination to be acceptable. There may also be an early termination fee that must be paid.
Seller agrees to provide to Buyer (as an additional Seller Disclosure under Section 7 of the REPC) copies of any notes and trust deeds to be assumed by Buyer. Seller represents that the Existing Loan is assumable. Buyer agrees to make application to the Lender to assume the Existing Loan, if required.
An assumption agreement, sometimes called an assignment and assumption agreement, is a legal document that allows one party to transfer rights and/or obligations to another party. It allows one party to assume the rights and responsibilities of the other party.
Assumption Documents means those instruments of assumption and other instruments and documents as may be necessary or appropriate to effect or to evidence assumption of the Assumed Liabilities by Buyers in ance with the terms of this Agreement.
Assumption Documents means those instruments of assumption and other instruments and documents as may be necessary or appropriate to effect or to evidence assumption of the Assumed Liabilities by Buyers in ance with the terms of this Agreement.
In consideration of the assumption of the Debtors Liabilities, the Creditor (a) agrees to look solely to the Assuming Party for the payment and the performance of the Liabilities; and (b) forever releases and discharges the Debtor from the Liabilities.
The assignor assigns their rights and duties under the contract to the assignee and the assignee accepts, or assumes, those rights and duties. The other party to the initial contract must also consent to the transfer of rights and obligations to the assignee.

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