Escrow & Title
A Connecticut property is sold 'subject to' an existing mortgage. This means the buyer:
AAssumes personal liability for the mortgage
BTakes title but does not become personally liable for the existing mortgage; the seller remains liable✓ Correct
CMust refinance the property immediately
DIs released from all obligations
Explanation
In a 'subject to' sale, the buyer takes title with the existing mortgage remaining on the property, but the buyer does not assume personal liability. The original borrower (seller) remains personally liable for the debt.
Related Connecticut Escrow & Title Questions
- A Connecticut property closes on March 15th. The annual property taxes of $6,000 are paid in full by the seller for the calendar year. How is this prorated at closing?
- A Connecticut foreclosure by strict foreclosure results in which of the following if the borrower redeems?
- A Connecticut buyer and seller sign a purchase contract. The buyer's attorney prepares a title commitment. What does a title commitment represent?
- A Connecticut property closes on July 20th. Annual property taxes of $7,200 are paid in arrears (at the end of the year). At closing, the proration should result in:
- A Connecticut property owner executes a deed but places it in a safe deposit box without delivering it to the grantee. This deed:
- A Connecticut buyer purchases a condo in a planned development. The purchase includes a review of the condominium documents. Which document establishes the legal framework for the condo association and the owners' rights and obligations?
- A Connecticut buyer's attorney performs a title examination and issues a 'title opinion.' This opinion states whether:
- A Connecticut closing attorney reviews the title commitment and finds a 'Schedule B-2 exception' for an unrecorded lease. This exception means:
Practice More Connecticut Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Connecticut Quiz →