In a market where interest rates have hovered around 6%, even dipping briefly below that mark recently, most buyers are laser‑focused on current rate trends. But what if there were a way to get an even better deal… something in the 2% range?

That’s exactly what happened for one of our buyer clients this month, thanks to the persistence, patience, and hard work of Tyler Strode, a star agent on our team. It was the first FHA/VA loan assumption anyone on our team has taken from start to finish, and while the process was tedious, the payoff was absolutely worth it.

A Rare Opportunity: The Assumable FHA/VA Loan

Finding a home with an assumable FHA/VA loan is no small task. These gems are scattered and often hard to identify, and we typically don’t recommend restricting your home search only to homes with assumable loans. But if you can find that diamond in the rough? It can mean enormous savings over the life of a loan, sometimes hundreds of thousands of dollars.

In this case, the buyers were able to assume a loan somewhere in the mid‑2% range, saving them almost $1,000 per month compared to what their payment would have been at today’s 6% market rate. The difference is substantial!

Behind the Scenes: Tyler’s Experience With the Assumption Process

Tyler documented his experience in detail, and his takeaways are priceless for anyone considering the same path. Here are the highlights of what he shared, and what we learned as a team:

1. Prepare for a Deep Dive Into Your Finances

When you assume an FHA/VA loan, the lender handling the assumption performs a thorough financial review, often more rigorous than a traditional loan process. That means:

1. Get your financial documents organized early
2. Expect more scrutiny
3. Respond quickly to requests

2. You May Need a Gap Loan and It’s Not Always Easy to Find

If the home’s purchase price is higher than the remaining mortgage balance, the buyer must cover the difference. In many cases, this requires a gap loan, often secured through a HELOC.

Very few lenders specialize in this type of lending, so buyers should identify a willing gap lender before beginning the assumption process to avoid delays.

3. The Process Takes Time, Sometimes a Lot of It

FHA/VA loan assumptions aren’t quick. While the average timeline is roughly 60 days, they can take up to 120 days or even longer.

Buyers should:

1. Avoid planning a firm moving date until closing details are locked
2. Hold realistic expectations
3. Stay patient when delays happen (and they almost certainly will)

4. Communication Is Everything

Very few professionals, even inside lending institutions, are experts in FHA/VA assumptions. Coordinating between:

1. Your realtor
2. Your gap loan officer
3. The assumption officer

…is essential. Tyler emphasized how critical consistent updates were in keeping the process moving.

A Bonus Insight for Sellers: Your Assumable Loan Could Be a Hidden Superpower

Tyler offered one more valuable takeaway after reviewing this final article:

If you’re a homeowner with an FHA or VA mortgage, your assumable loan could be a powerful marketing advantage when it comes time to sell.

In today’s rate environment, the ability for a buyer to step into a 2–3% mortgage is an incredible incentive, one that could attract more interest, increase demand, and potentially help your home stand out in a crowded market. Many sellers don’t even realize they hold this competitive edge, but it’s absolutely worth leveraging if you choose to list.

Why This Matters for Today’s Buyers

Even as rates show signs of softening, opportunities like this don’t come along every day. Most buyers focus on current rates… but as this story proves, sometimes the best opportunity is the one that already exists in someone else’s mortgage.

Assuming an FHA/VA loan isn’t for everyone. The process is long, the requirements are demanding, and the inventory is limited. But for buyers willing to stick with it, and who can find the right property, the reward can be unbelievable savings.

A Win Worth Celebrating

Huge kudos to Tyler Strode for guiding our buyers through this complex transaction and helping them secure a phenomenal rate. As a team, we learned a ton from this experience, and we’re excited to help more clients explore opportunities like this when they arise.

If you’re curious whether an FHA/VA loan assumption could be a fit for you, or you just want to better understand the process, reach out anytime. We’d love to help you explore all your options in today’s shifting market.

And as always, here’s a summary of the stats for single family homes in Mecklenburg County in December compared to the previous month and again to the same month last year:

• Home sales are up 29% from last month and 6% from last year.
• Average sales price is down 4% from last month, but up 8% from last year.
• Median sales price is down 2% from last month, but up 3% from last year.
• Average price per square foot is down 2% from last month, but up 2% from last year.
• Sale to list price ratio at 98% is even from last month and down 1% last year.
• Average time on market is up 16% from last month and 14% from last year.
• Pending sales are down 13% from last month and 2% from last year.
• Supply is down 16% from last month, but up 21% from last year.
• Mortgage rates at 6.06% are down slightly from last month and down from 7.04% last year.
• Average house payment is down 5% from last month and 2% from last year.

You can always find the detailed stats on our website here.