Buying a property that has a mortgage against it by the seller?

Are the new owners liable for the mortgage amt if the seller doesn't pay off the mortgage that they owe? Do the buyers have any way to protect themselves? Would a warrenty dees cover them?Buying a property that has a mortgage against it by the seller?
You should make sure that an owner's policy is purchased from your title/escrow company at closing! ALWAYS ALWAYS make sure of this as it protects you from any liens (including mortgages, property state and federal tax liens and anything) that were the sellers'. The deed is your proof that you now own the property and nothing else. This is the item to record your ownership on the title of the property. The new owners are not in anyway responsible for the sellers' mortgage and as long as you have proof of the sale you are in in clear on that loan.Buying a property that has a mortgage against it by the seller?
If you go through a real estate closing and buy title insurance, you should not have to worry about that. A closing is the paying off of that original mortgage from the seller's profit. It shouldn't impact you unless you aren't using a title company, which would be ill-advised. You need to make sure no one else has any liens on that property.
If you go through a finance company, bank, or mortgage lender, then they should process the payment to whoever holds the mortgage. At least this is what our agent told us when we were looking at buying a house and there was money owed on the house. The only way to protect yourself is get an attorney to look over any paperwork that has been or will be filled out. Don't sign anything unless you understand what you read.
if you buy it ,you take it on to pay.the property has a lean on it. get a lawyer, real estate lawyer.


he/she can help you ,so you don't get screwed..
The new owners can be liable for the mortgage amount if the seller does not pay off the mortgage at the time of sale. However, if you plan on getting financing to pay for and buy the home, your lending bank will require that the prior owner's mortgage be paid off before it lends you the money. It's called ';clear title'; which means that the property exchanges ownership without any liens or mortgages carrying over from one owner to the next. The mechanism that ensures that the seller's mortgage gets paid off is to open an escrow for the purchase and sale of the property. The escrow will hold your deposit, among other things. A title report will be issued which will show how much the seller's mortgage is and from which lender and if there is more than one mortgage or any other liens against the property. At close of escrow, basically you deposit the money you borrower from your lender into the escrow account and the escrow company pays from your money the seller's mortgage, any second or third mortgages and any other liens that may exist on the property (including tax liens). The remainder goes to the seller, less things like escrow fees, insurance, etc. Consult with a good realtor or banker about this process. Almost all legitimate real estate deals are structured this way so any good realtor/banker can explain the process to you. There are ';assumable loans'; which means that the seller can transfer or assign the mortgage to you which, if you agree to it, and the seller's lender approves you as the buyer, will put you on the hook for the mortgage. This method is found more in commercial real estate transactions than in residential real estate transactions, but is certainly done a lot and is a common practice in both sectors.