7 surprising perks of VA loans
Back in the day, virtually all home loans were assumable. Someone who bought your house could accept responsibility for your mortgage and start making payments.
There was no need to go through the expense and uncertainty of another loan.
Today, virtually no mortgages are assumable, except for VA loans, which can be passed on to new owners in one of two ways.
If the person buying your home has served in the military and can qualify for a VA loan, he or she can assume your mortgage. You’re free to take out another VA loan.
If the person buying your home does not qualify for a VA loan you can still allow it be assumed. You won’t qualify for another VA loan until the new owner pays it off.
"This is a tool that can be used to be creative in selling a home,” says Yael Ishakis, vice president and loan officer at First Meridian Mortgage in Brooklyn, New York.