Dave Ramsey

What do you mean they're using the loan they previously had?

What do you mean?

What is the balance on that loan?

Has the house been put into your name?

That's something somebody made up on TikTok.

I've been doing real estate 40 years.

I've never heard that phrase.

So seller take back.

What this is is an illegal loan, though, because when the mortgage company finds out, and they will, when they discover, for instance, that the homeowner's insurance that has to be reported to the mortgage company is not in the seller's name, it's in your name.

Did you put the house in your name or not?

Then they cannot have insurance on your house.

I can't buy insurance on your house.

It's not possible.

Because here's what's going to happen.

If that is a standard mortgage that's laying on the house, in paragraph 17 on that mortgage, it has what's called a due on sale clause.

Due on sale means if that seller sells the house, that mortgage becomes due in full.

And that seller has sold the house.

And when they discover it, they're going to call that loan and

And they're going to demand that seller give them $320,000 in 30 days.

And if they don't, they're going to foreclose on the house that you thought was yours.