My question involves real estate located in the State of: Ohio
A person I am acquainted with needs to get off from under her house and business as soon as possible.
Is it possible to assume her mortgage without refinancing in that state or is that something mortgage contract specific?
I would like to put together an outline to present to an attorney so that they can draw up a contract.
If assuming the mortgage is a possibility is a quick deed helpful in this situation or at all applicable?
This is what I know I need so far (If I am able to assume the mortgage). I also want to make sure that this contract really is fair for both of us. :
- I will be paying $125,000 for the house with 5% interest over 15 years. (house is currently half paid off)
- That I will pay the portion owed to the bank each month directly to them and the additional portion directly to her until the mortgage she holds is paid off at which time I will be paying the entire portion directly to her until the sum is paid in full and she will sign over the property to me.
- That she will not refinance the property or use the property as a source of additional income or loan.
- That any additional amount paid monthly will be applied to principal and there will be no penalty for paying the property off early.
- That she will quick deed the property to me at the time payments begin and I will quick deed it back to her if I do not fulfill the payments (if this is allowed)
- That all items associated with the business are included in the "sale" as well as the clientele and those items are not associated with the business name.
- That if we are unable to make payments and complete the transaction the ownership will go back to her after "x" amount of missed payments. Not sure
how long is fair or if this is fair at all.
- That we will be responsible for property taxes, repairs and so on.
- That legally she will "close" on the property after it is paid off to give us full and legal possession.
Any information would be greatly appreciated. If I there are points I am missing please point them out?