Escrow & Title
A Kentucky buyer agrees to purchase a property 'subject to' an existing mortgage. This means:
AThe buyer personally assumes all liability for the mortgage
BThe buyer takes title with the existing mortgage attached but does not assume personal liability✓ Correct
CThe buyer pays off the existing mortgage at closing
DThe existing lender must approve the transfer
Explanation
Purchasing 'subject to' means the buyer takes title with the existing mortgage in place but does not personally assume liability. The original borrower remains personally liable on the note.
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