Assumable mortgage Question

[Dan Grove]

Hey all,

I am going to make an offer on a house that has an assumable FHA mortgage at 3.1%. The sale price is $200,000 and the loan balance is $142,000. The lower rate obviously has a huge impact on the returns.

1.  Can I take over he loan?

2.  Is it a good idea?

3.  What are the requirements?

Thanks so much

[Jeff Copeland]

Only another owner-occupant can assume an FHA loan, if they qualify based on the usual requirements (credit, income, and DTI).