-this is crucial information for someone that is looking to invest in PRE-FORECLOSURES, knowing the difference between these 2 very similar but very different terms, could end up saving your butt in a possible deal:
ASSUMING EXISTING LOAN: when buyers assume an existing mortgage, they sign an assumption agreement with the lender that makes them legally responsible for repayment for the loan.
BUYING SUBJECT TO: all the buyer is really doing is taking over the loan payments without being personally liable for repayment of the promissory note.
knowledge is everything- read it, know it, live it, SULLY
YOUR HERO, SULLY