assumable mortgage loan
Typically, the buyer must qualify for the mortgage loan in order to assume it. Some lenders allow a mortgage loan to be assumed without qualification if the principal amount is low enough.
Assuming a mortgage loan only benefits the buyer if the interest rate of the assumed mortgage loan is below current interest rates.
If the buyer cannot afford to pay the difference between the purchase price of the home and the remaining principal of the assumed mortgage loan, they may be able to arrange a blended mortgage loan.