How Many Assumable Mortgages Exist in the US?
Thursday, June 25
# How Many Assumable Mortgages Exist in the US? Roughly 12 million. That's the estimated number of active FHA and VA mortgages in the United States that are technically assumable. Not all of them are on the market (the homeowners have to decide to sell), but the underlying loan is assumable whene...
Average Assumable Rates vs Current Market Rates
Thursday, June 25
The average assumable rate across Colorado's inventory is approximately 3.2%. The current market rate for a new 30-year fixed mortgage is approximately 7%. That's a 3.8 percentage point spread. On a $250,000 loan, that gap is roughly $905/month. Per month. The Rate Spread Over Time This gap hasn'...
The Growing Demand for Assumable Mortgages
Thursday, June 25
The assumable mortgage market is experiencing explosive growth. Transaction volume for assumptions has increased roughly 500% since 2022. Google search volume for "assumable mortgage" has tripled. Media coverage has gone from zero to constant. Why? Because the math finally makes sense. What Chang...
How Assumable Mortgages Work in a High Rate Environment
Tuesday, June 23
# How Assumable Mortgages Work in a High Rate Environment The value of an assumable mortgage is directly tied to the gap between the assumable rate and the current market rate. When that gap is wide (like right now, with assumable rates at 2-4% and market rates at 7%), the savings are enormous. P...
Why Banks Make Assumptions Difficult (And How to Get Through It)
Friday, June 19
# Why Banks Make Assumptions Difficult (And How to Get Through It) Let me be direct about something. The bank servicing the seller's loan does not want you to assume that mortgage. They have zero financial incentive to help you. Understanding why is the first step to getting through the process. ...
How Assumable Mortgages Affect Home Appraisals
Thursday, June 18
One of the cost advantages of an assumable mortgage is that a new appraisal often isn't required. But the rules vary by servicer, loan type, and whether you're getting a second mortgage. When an Appraisal Is Not Required For the assumption itself, many servicers don't require a new appraisal. You...