Can someone take over the loan of a deceased person?

Get Legal Help Today

 Secured with SHA-256 Encryption

Can someone take over the loan of a deceased person?

A friend’s husband died and her name is not on the deed or mortgage. She wants to leave the house and let it go to foreclosure. We would be intererested in taking over the loan ourselves. Would this be possible?

Asked on May 31, 2012 under Real Estate Law, North Carolina

Answers:

M.T.G., Member, New York Bar / FreeAdvice Contributing Attorney

Answered 9 years ago | Contributor

I am so sorry for her loss and for yours.  No, you can not.  Generally speaking, a party that inherits real property when a person passes away has a right to continue to pay the mortgage and live in the home with out the bank calling in the loan (due on sale clause).  It is one of the few exceptions to that clause.  But you can not assume or buy that right. I would have her speak with ana ttorney about what you can do here.  Possibly transfer it to her and do a rent to own if the loan allows.  One really needs to read the fdocuments involved.  Good luck.


IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

Get Legal Help Today

Find the right lawyer for your legal issue.

 Secured with SHA-256 Encryption