Property Ownership
In Louisiana, a 'sale with assumption of mortgage' differs from a 'sale subject to mortgage' in that with an assumption:
AThe seller is released from all liability automatically
BThe buyer expressly assumes personal liability for the existing mortgage — they promise the lender to pay the debt✓ Correct
CThe lender must approve the sale without the buyer assuming liability
DThe mortgage is automatically cancelled
Explanation
In an assumption, the buyer expressly takes on personal liability for the mortgage debt and promises the lender to pay it. In a 'subject to' transaction, the buyer acknowledges the lien but does not assume personal liability — the seller remains personally liable.
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