Escrow & Title
In Washington, when a buyer assumes an existing mortgage, the buyer should determine whether:
AThe interest rate is currently favorable
BThe lender's approval is required under the loan's due-on-sale clause, and whether the buyer is released from the obligation✓ Correct
CThe title company will issue a new policy
DThe original borrower wants to maintain connection to the property
Explanation
Most modern mortgages contain a due-on-sale clause that requires lender approval for assumption. The buyer and seller should confirm whether the lender will approve the assumption and negotiate whether the seller will be released (novation) or remain secondarily liable.
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