Buying
How to Find Homes With Assumable Mortgages
Take over a low rate someone already locked in. Here is how to find one.
By David Golovin · May 29, 2026 · 4 min read
Most mortgages are cheaper than anything you can get today
50.6% of U.S. mortgages are under 4%. About one in five is under 3%.
Share of U.S. mortgages by interest rate
Green = below 4%. More than half the market.
Source: FHFA National Mortgage Database, Outstanding Mortgage Statistics (Q4 2025)
An assumable mortgage lets you take that rate over
You assume the seller’s existing loan — same rate, same balance, same payoff schedule. Today’s 30-year average is about 6.25%.
Source: Freddie Mac Primary Mortgage Market Survey
The loans you can assume are government-backed
All FHA loans are assumable. VA and USDA loans are too. Conventional loans usually are not.
Source: HUD on FHA loan assumability
Your downpayment is the gap, and it varies
You take over the seller’s loan, so your downpayment is the gap between the price and that balance. Depending on the seller’s equity, it can be lower than a traditional downpayment or higher. Roots shows an estimated downpayment on every listing, including $0-down options.
Estimate your downpayment
Downpayment
Monthly at 3.5%
You save
Home price
$575,000Loan you take over at 3.5%
$470,000Your downpayment is the gap between the price and the loan you take over. Keep the seller’s 3.5% rate and your monthly payment stays far below a new loan at today’s 6.89%. These are estimates, not a quote.
Try the full downpayment calculator on the homepage →It costs less than a new loan
A VA assumption funding fee is 0.5% of the balance, vs. 1.25% to 3.3% on a new VA loan.
Source: U.S. Department of Veterans Affairs
On your own it is slow; with a coordinator it is fast
The VA gives servicers 45 days to decide an assumption once the file is complete, and issued a second circular (26-23-27) penalizing the ones who stall. On a servicer’s own it can still drag on for months. With Roots coordinating the closing, it averages about 43 days.
Source: U.S. Department of Veterans Affairs, Circular 26-23-10
The hard part is finding them
The MLS does not flag assumable loans. Roots scans every listing and shows the rate, downpayment, and monthly payment up front.
FAQ
Are FHA loans assumable?
Yes. All FHA single-family mortgages are assumable, per HUD. The buyer must pass the lender’s creditworthiness review.
Can anyone assume a VA loan?
Yes, not just veterans. The buyer must qualify with the servicer. But the seller’s VA entitlement stays tied up until the loan is paid off, unless another eligible veteran assumes it.
Who qualifies to assume a loan?
The lender checks credit, income, and debt-to-income — similar to a new loan, usually with lighter fees and a lower funding fee.
How long does an assumption take?
With Roots coordinating the assumption closing, it averages about 43 days. The VA requires servicers to decide an assumption within 45 days of a complete application (Circular 26-23-10) and penalizes those who stall (Circular 26-23-27) — but left to the servicer alone, it can still drag on for months.
How much do I put down?
Your downpayment is the gap between the price and the loan balance you take over. Depending on the seller’s equity it can be lower than a traditional downpayment or higher — some Roots listings are $0 down. Roots shows an estimated downpayment on every listing.
What does it cost?
Less than a new loan in fees. A VA assumption funding fee is 0.5% of the balance, plus a capped servicer assumption fee and standard closing costs.