What if I told you we just sold a property and the buyer's mortgage rate is 2.375% - fixed for the life of the loan (up to 26 more years)!!! 😮
Well...it's true...it happened!
We went under contract on 10/8 and finally crossed the finish line on 1/16.
It's important to note that nothing went wrong with this transaction. However, it was a VA loan assumption and those tend to take a good bit of time. Persistence, patience, and a ton of trust in the process were required from everyone involved.
Some facts worth sharing:
~ VA and FHA loans can be assumed by anyone - you do not have to be a veteran to assume a VA loan.
~ It is important to note, when a non-vet assumes a VA loan. the seller's VA entitlement tied to that loan is not restored until the loan is paid off.
~ Even using UMe, a third-party platform that helps manage and coordinate assumable loan transactions, assumptions can still take months.
Here's the best part: The buyer locked in a 2.375% interest rate! That's over $1000/month in savings compared to current rates!!!
Assumable loans are one of the most underutilized tools in this market - especially for buyers who know how (and where) to find them and are willing to play the long game.
HUGE Congrats to Danny! Your patience and trust paid off, and we are so so so happy for you!
Curious how assumable loans work, how to search for them, or whether one might make sense for you as a buyer (or seller)? Hit us up and we'd be happy to break it down for you!
