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I have a mortgage with Chase and i was told by a title person that i should be able to get chase to give my mortgage to another bank to save on the mortgage tax is this true??????????????????
ASSUMPTION/ASSUME: When the noteholder (bank) allows the owner of a property to sell the property and the note transfers (all terms remain the same, balance, interest rate, payment dates) to the new buyer. Any difference between the sales price and the loan balance is paid from the new buyer to the seller.
The above is the definition of an assumption. When one bank buys a mortgage note from another bank, that is not an assumption. When one bank buys a mortgage note from another bank, the terms to the homeowner do not change.
The only thing I can think of from your statement is most states have a recordation tax. This tax is waived if the homeowner returns to the original lender, then tax is only paid on the difference between the original loan amount and the new loan amount. What the title company is telling you (I think) is if you can find a lender to broker your refinance loan to Chase, you may save some of the recordation with your refinance. (Personally, I find that to be a poor reason to select a lender).
The words "assume" and "assumption" would not even apply in a refinance transaction.
the recording fees in new York are very expensive.............they are over a point....so on a 300k loan it is about 3500 add that together with the rest of the cost and it is nearly 8 grand to refi a 300k loan with a different bank.............thats crazy..................the only way around this is if you go to the same bank than no transfer tax....the bull**** part is that you have already paid that tax when you bought the house and now they want you to pay it a second time....thats why the title girl said the bank should let your new bank assume the loan hence saving you the tax..........just wondering if anyone has done this before................
I think after the market finally collapses by the end of 09, they will reintroduce the assumables. Probably start out as qualifying assumables and then move to non-qual. Mostly FHA/HUD stuff to start then mainstream.
As far the bank assuming the note. I think they mean the current holder of the note selling it to a different entity. Got nothing to do with you and it is not up to you .
VA and FHA loans are assumable w/ qualifying. Many lenders will allow adjustable loans to be assumed, as long as, no conversion to fixed rates have been exercised. It would be nice to see them make a comeback, but I don't think we will ever see the non-qualifying assumptions again. The only way a comeback would happen, would be if banks would let up on their fear of liquidity. And, I don't see that happening as long as we have banks fearing getting caught holding the bag on bad mortgages, bad helocs and credit card debt.
As for the OP, why not just go back to Chase? Why find a middle man?
VA and FHA loans are assumable w/ qualifying. Many lenders will allow adjustable loans to be assumed, as long as, no conversion to fixed rates have been exercised. It would be nice to see them make a comeback, but I don't think we will ever see the non-qualifying assumptions again. The only way a comeback would happen, would be if banks would let up on their fear of liquidity. And, I don't see that happening as long as we have banks fearing getting caught holding the bag on bad mortgages, bad helocs and credit card debt.
As for the OP, why not just go back to Chase? Why find a middle man?
to shop my bussiness
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I am looking to refi
