Assumable Loans: The Hidden Advantage That Can Help Sell Your Home Faster
What Is an Assumable Loan?
An assumable loan allows a buyer to “take over” your existing mortgage—interest rate and all. That means if you locked in a low rate a few years ago, today’s buyers could potentially assume that loan and save hundreds each month.
Not all mortgages qualify, but many FHA, VA, and certain USDA loans do.
The way it works:
1. The buyer must qualify for the loan they want to assume with YOUR lender (who holds the loan).
2. The buyer must have cash sufficient to cover the difference between your current mortgage payoff and the agreed upon sale price.
Why It Matters in 2025
With current interest rates still hovering higher than in years past, assumable loans are one of the most powerful marketing tools a seller can offer. For buyers, it’s like discovering a hidden discount. For sellers, it can mean faster offers and less time on the market.
A Real West Linn Success Story
One of my recent sellers in West Linn had an assumable FHA loan. Prior to meeting with me they had struggled with selling their home, and were exasperated and needing to sell. IOn our converstaion I uncovered that their loan was assumable, and we gathered the necessary details about the loan and spoke with the lender prior to listing. After a quick prep and staging refresh, we marketed that assumable feature front and center. It caught buyers’ attention immediately—several asked about it on day one. We had many parties through the open houses, along with several showings.
The home sold quickly, with multiple offers and a final price that exceeded expectations.
How to Know if Your Loan Is Assumable
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Check with Your Lender: They can confirm whether your mortgage qualifies.
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Look for FHA, VA, or USDA Loans: These are the most common assumable types.
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Consult Your Agent: Marketing this correctly is key—it should be highlighted in all listing materials.
- Closing will likely take longer. In the case of my West Linn client, it took about 120 days. Patience is required!
Why Marketing Matters
Even the best features can go unnoticed without the right visibility. That’s why assumable loans should be part of your listing story—from MLS remarks to social media campaigns.
Bottom Line
If you’re planning to sell in Canby, Oregon City, or anywhere in the North Willamette Valley, an assumable loan could give you a competitive edge. With the right strategy and marketing plan, it can help you sell faster—and for more. If you're ready to explore your options, book a time in my calendar and let's connect!
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