Posted by Brian M. Powers(MI) on January 27, 2002 at 01:30:45:
In the most basic terms: Mortgages contain a due on sale clause which states if you sell the home or transfer the interest in the property to another party, the Lender can call the loan balance due.
Here is an exerpt from a mortgage loan I have on a property:
“If all or any part of the property is sold or transferred without lenders prior written consent, Lender may require immediate payment in full of all sums secured by this security instrument”.