Mortgage Assumption

[Patrick Carney]

Hi all, A friend of mine is thinking of buying her sister's home from her to take some financial strain off her sister and to ultimately turn the property into a rental. Her initial thought was to buy the property from her and try to qualify for an FHA loan. I don't know exactly how that would work since it's not going to be owner occupied. I was thinking this might be a case where she could take over her sister's mortgage. The sister is behind a few months on the mortgage. I've heard folks say that as long as a loan is being paid that it's unlikely the bank would enforce the due on sale clause. Assuming my friend brings the mortgage current, does that still hold true if the original borrower has had some payment issues previously? Thanks, Patrick