if i buy a 2nd loan, can i assume the 1st loan?


#1

If i buy the a 2nd loan, can i assume the 1st loan? how quickly do i have to pay off the 1st?


#2

Hi Michael,
You could pay the 1st current to potentially stop any pending foreclosure. It is doubtful that they would all you to formally assume the new first but they may continue to accept payments to prevent them from foreclosing. Keep in mind that most standard Deeds of Trust have an acceleration clause where they can call the note due an payable if a beneficial interest in the property has been conveyed which means they could call the entire note due and payable.
How long you have will depend on the status of the foreclosure on the 1st Deed of Trust.


#3

Would they then have to forclose on us the new owners? Would restart the process, giving 111 days the term of the foreclosure process? Or would they forclose on the person who is on the current loan?