Assumed loan example
Existing loan at 2.75%
Same $530,000 balance used for comparison
Estimated monthly payment$2,864
- Principal and interest
- $2,164
- Property tax
- $550
- Home insurance
- $150
Assumable Loan Options In and around the sacramento region
Buy a home and take over the seller’s low interest rate!
All FHA and VA loans are assumable. You as the buyer must still qualify, and the current loan servicer must approve the assumption. We help you find these homes, understand the gap, and navigate the process.
- ✓Stay up to date on the newest listings with FHA and VA loans that can be assumed. We have access to more than 600 properties in the Sacramento Region.
- ✓See the estimated gap between the loan balance and purchase price.
- ✓See the rate and monthly payment that the current seller has.
- ✓Get professional guidance from agents who have helped families take advantage of these opportunities.
No obligation. Updated opportunities depend on current inventory and available loan information.
Start here
Request your assumable home list
Tell us what you are looking for. There is no cost and no obligation.
Get assumable loan opportunities sent to meWe will text you current opportunities with the estimated gap on each one.
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FHAAll are assumable
VAAll are assumable
Lower rate potentialExisting note terms
Servicer approvalAlways required
Assumable loans, explained
You take over the loan and keep its existing rate.
Instead of replacing the seller’s mortgage with an entirely new loan, an approved buyer assumes the seller’s remaining balance, interest rate, payment schedule, and remaining term.
The difference between the purchase price and the assumed loan balance is called the gap. That gap may need to be covered with cash, another loan, or a combination of both.
Simple hypothetical example
Purchase price$550,000
Less existing loan balance$530,000
Estimated gap$20,000
Example only. The actual loan balance, allowable financing, closing costs, and required funds must be verified for every property.
See why the rate matters
Compare the full monthly payment side by side.
This example uses a $550,000 purchase price, a $530,000 loan balance, a 30 year term, 1.2% property tax, and $1,800 in yearly home insurance.
New loan example
New loan at 7.00%
Same $530,000 balance used for comparison
Estimated monthly payment$4,226
- Principal and interest
- $3,526
- Property tax
- $550
- Home insurance
- $150
Estimated payments include principal, interest, property tax, and home insurance.
A lower existing rate can make a meaningful monthly difference.Illustrative monthly difference$1,362
Educational example only. Mortgage insurance, HOA dues, additional assessments, closing costs, loan fees, and any payment used to finance the gap are not included because they vary. An assumed loan keeps its actual remaining term, which may be less than 30 years. Verify the actual balance, rate, payment, escrow, and remaining term with the loan servicer.
Which loans are assumable?
All FHA and VA loans are assumable.
The buyer must still qualify, and the current loan servicer must review and approve the assumption.
FHA
FHA loans
All FHA insured mortgages are assumable. The buyer must complete the servicer’s credit and underwriting review and receive approval.
VA
VA loans
All VA loans are assumable. The buyer does not have to be a veteran, but the buyer must qualify and receive servicer approval. If the buyer is not an eligible veteran who substitutes entitlement, the seller’s VA entitlement may remain tied to the loan.
USDA
USDA loans
Some USDA loans may be assumed in limited circumstances that are specific to each program. These require especially careful review with the servicer and USDA guidance.
What about conventional loans? Most conventional mortgages contain a due on sale clause and are not assumable in a normal purchase. Never rely on a listing remark alone. We verify the underlying loan and servicer process.
How the process works
Six steps from the first conversation to receiving the keys.
Assumptions can be worth the work, but they require more research, coordination, and patience than a typical purchase.
Connect with a local Homeology agent
Meet with a local Homeology agent to discuss your situation, goals, available funds, and the game plan that makes the most sense for you.
Find the right opportunity
Tour homes and review the loan balance, rate, payment, and estimated gap before you decide whether to make an offer.
Make an offer
We help you structure and negotiate an offer that accounts for the assumption process, timing, inspections, and the gap.
In contract! Complete inspections
Once accepted, complete your inspections and due diligence while the assumption process moves forward.
Apply with the servicer
Submit the servicer’s application and documents for income, assets, credit, occupancy, and approval.
Close and receive the keys
After servicer approval and final documents, close the purchase, take over the loan, and receive the keys.
These transactions can take a little longer than standard transactions. On average, plan for 30 to 60 days.
Why work with Homeology
Finding the house is only the beginning.
We use specialized search and loan data tools to identify current listings with FHA and VA loans and estimate the gap. Then we research the details, coordinate with the listing side, and help keep the servicer process moving.
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Specialized assumable loan search
Filter opportunities by location, price, estimated rate, balance, and gap.
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Upfront gap analysis
Focus on homes that have a realistic path for your available funds.
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Offer and timeline strategy
Build the extra assumption steps into the contract and expectations.
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Local guidance for Sacramento and surrounding areas
One team supporting the search, negotiation, and closing coordination.
What your custom list includes
See the numbers that matter before you tour.
We organize each opportunity so you can quickly compare the existing loan, the estimated gap, and the next step.
Loan details
Existing terms
Loan typeFHA or VA
Existing rateAvailable rate data
Remaining balanceBest available estimate
The servicer and loan documents control the final terms.
Budget fit
Gap estimate
Purchase priceCurrent asking price
Estimated gapPrice less loan balance
Gap optionsCash or another loan
Closing costs and reserves may increase the funds needed.
Local guidance
Next step
LocationYour selected areas
StatusCurrent availability
ReviewServicer and lender check
Availability and loan information can change and must be verified.
Questions buyers ask us
Assumable loan FAQ
Every loan and servicer is different, but these are the important starting points.
No. The buyer does not have to be a veteran, but the buyer must qualify and receive servicer approval. Unless an eligible veteran substitutes their entitlement, the seller’s VA entitlement may remain tied to the loan until it is paid off.
It depends primarily on the gap between the purchase price and the remaining assumable loan balance, plus closing costs and any required reserves. Some homes have manageable gaps; others require substantial funds.
Sometimes. The existing servicer must allow the transaction, and a separate lender must approve the additional financing. The second payment also affects your overall qualification. We coordinate with lenders to evaluate the structure before you commit.
Yes. Keeping the seller’s rate does not mean skipping approval. The loan servicer generally reviews your credit, income, assets, debts, occupancy, and ability to repay.
It commonly takes longer than a standard financed purchase. Timing varies by servicer, loan program, application completeness, title work, and any financing used for the gap. Build flexibility into your moving plans.
Usually no. You generally take over the loan’s remaining balance and remaining repayment term. That is why the actual payment must be verified from the loan documents rather than estimated from the rate alone.
There is no hidden catch. You are taking over the seller’s existing FHA or VA loan instead of replacing it with a new loan at today’s rate. You must still qualify, the servicer must approve the assumption, and you must cover the gap between the purchase price and loan balance. The process can take longer, but the potential monthly savings may make the extra work worthwhile.
Most buyers never see these opportunities because assumable loans are not always clearly advertised or easy to identify. The remaining loan balance and gap must also fit the buyer’s finances. Homeology uses specialized tools and detailed research to find these homes and evaluate the numbers before you spend time touring them.
Many loan officers focus on helping buyers obtain new mortgages. An assumption is mainly processed by the seller’s existing loan servicer, so it falls outside the normal loan process and many loan officers do not specialize in it. A knowledgeable lender can still help review your qualifications and any additional financing needed for the gap.
Let us do the searching
Get a list built around your budget.
Tell us where you want to buy, your price range, and your available gap funds. We’ll text you matching opportunities within one business day.
Homeology Real Estate and Realty ONE Group Complete are not mortgage lenders. Buyers must qualify, and all loan terms, balances, payments, fees, and assumption approvals are determined by the existing loan servicer and participating lenders.
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