Do I have to pay off my mortgage when I sell my house?

Do I need to pay off the loan to sell the house?

Need to pay off. Houses purchased in the form of loans are invalid if they are resold directly before the mortgage is paid off. Because the loan has not been paid off, the real estate license should be placed in the bank, so it is impossible to handle the transfer procedures, and the legitimate rights and interests of property buyers can not be protected. The state implements a unified registration system for real estate. The establishment, alteration, transfer and extinction of the real right of immovable property shall take effect after being registered according to law; Without registration, it will not take effect.

Legal basis:

Article 209 of the Civil Code

The establishment, alteration, transfer and extinction of the real right of immovable property shall take effect after being registered according to law; Without registration, it will not take effect, except as otherwise provided by law. Natural resources owned by the state according to law may not be registered.

Article 210 The registration of immovable property shall be handled by the registration institution where the immovable property is located. The state implements a unified registration system for real estate. The scope, organization and method of unified registration shall be stipulated by laws and administrative regulations.

There are three main risks of personal housing mortgage loan: first, the borrower's risk: individuals borrow money from banks (including housing fund management institutions) for housing consumption. If they don't pay back the money on time, there are two reasons for the risk: subjective reasons and objective reasons. The former refers to the borrower's intentional breach of contract, fraud, false borrowing and malicious failure to pay back the money; The latter is that the borrower cannot repay the money on time due to unemployment, disability, death, divorce and other reasons.

Second, the risk of the development project: the developer's poor management or misappropriation of funds leads to the failure to complete the project, forming a "unfinished tail", and the property purchased by the borrower as collateral becomes a "castle in the air"; The property purchased by the borrower has major quality problems. All these situations will make it difficult to perform personal loan-related contracts, and the rights and interests of borrowers and loan banks will be infringed.

Third, there are risks in banks: the review of borrowers is not strict; Insufficient control of the developer's sales situation, project progress, the flow of funds in the house payment supervision account and the deposit account; Lack of necessary contact with housing management and land departments, mortgage registration is not implemented; The lax file management and the loss of important contract documents lead to the risk of bank loans.

In the early days of China's personal housing mortgage loan, due to the shortage of housing and imperfect laws at that time, the borrower was unable to move out after worrying about personal risks and filed a compulsory execution with the court, but the court often refused to accept such lawsuits considering social stability. With housing as collateral, it is difficult to guard against risks objectively. Secondly, because our real estate administration can't meet the needs of market development, the speed of housing property right certificate processing is slow, without property right certificate, mortgage registration can't be done, and mortgage can't be done either.

Preventing risks requires buyers to improve their legal concepts.

The most fundamental way to prevent the risk of personal housing mortgage loan is to gradually establish and improve the legal system, improve personal legal concept, and deal with those who maliciously fail to repay the loan. The government should strengthen the planning and management of land supply to ensure the stability of housing supply and housing prices; Strictly review the qualifications of development enterprises to ensure that the housing quality meets the standards; It is necessary to establish a perfect loan procedure; Improve loan efficiency through quality service, rather than simply simplifying loan procedures. Implement the whole process management of individual housing loans, especially post-loan management, and establish a perfect loan guarantee system. Establish housing mortgage, pledge, insurance and guarantee mechanisms, and use market mechanisms to disperse and transfer loan risks.

Can I sell the house before the mortgage is paid back?

Houses with outstanding loans can be bought and sold.

If the buyer buys the house in full, the buyer can sign a contract with the seller to pay off the bank loan in full. The seller applied to the bank for early repayment to cancel the mortgage contract, and went through the mortgage registration cancellation with the Housing Authority.

If buyers still need loans to buy a house, they need to apply for remortgage. The so-called "re-mortgage" means that before the house loan is paid off, the owner sells the house as collateral, and with the consent of the loan bank, the buyer of the house continues to repay the unexpired loan of the seller. To put it simply, the house that is still mortgaged is bought and sold again, and the buyer continues to repay the mortgage of the seller. However, the procedure of "transferring mortgage" is more troublesome, and the regulations of each bank are different.

First of all, it is impossible to transfer ownership without paying off the loan.

The house was mortgaged to the bank before the mortgage was paid off. Only when the loan is paid off can the house truly belong to you and you can buy and sell freely. Therefore, if the mortgage under the owner's name is not settled, then the only way to sell the house is to settle the loan quickly and then re-list.

Second, the balance of self-raised funds settlement.

If you have enough funds, or borrow money from relatives and friends, you can pay off the balance in advance, and then cancel the mortgage at the real estate trading center after the bank issues the settlement certificate and mortgage certificate. In this way, the seller has obtained the complete property right of the house, and both parties can complete the sale according to the general second-hand house sale process.

Third, with the buyer's purchase price.

If you happen to find a one-time payment customer when you sell a house, or a customer whose loan ratio is low enough to offset the mortgage amount, you can pay off all the remaining loans at one time and buy and sell according to the normal process.

IV. The specific process is as follows: sign the house sales contract, the seller applies to the loan bank for early repayment, and the buyer pays the remaining repayment amount to the seller as the down payment. The seller goes to the loan bank for prepayment, deposits the full amount into the repayment account in advance, and goes to the loan bank for settlement. The post-loan management center of the bank issues mortgage cancellation materials to cancel the original owner's house, and the seller cancels the mortgage at the real estate registration center where the house is located, and the seller owns the house. The buyer and the seller continue to handle the remaining house sales procedures.

Five, however, this method has two difficulties:

1. If the buyer also buys a house by loan, and the down payment is not enough to pay off the remaining mortgage, the transaction cannot be carried out.

2. In recent years, because some sellers cheat in this way, after the buyer repays the "final payment", the seller repents or even disappears, which makes the buyer complain. The second-hand house with "unpaid mortgage" has more steps than ordinary second-hand house transactions, such as "repaying the loan before selling the house" and "canceling the mortgage", that is, the original owner of the house must pay off the mortgage owed to the bank and cancel the housing before conducting the real estate transaction. In doing so, the transaction risk is greatly increased.

Can I sell a house without paying the mortgage?

You can't buy or sell until the mortgage is paid off.

Buying a house with a loan is actually mortgaging the house to the bank. If the bank is the mortgagee of the house and fails to pay off the loan, the house can only be bought and sold if the mortgage is lifted. If the lending bank can no longer lend a house, it can only choose to pay off the mortgage, because it can't be bought or sold without a property certificate.

Can I sell a house with a loan? Do I have to pay back the loan if I sell it?

If you haven't paid off the loan, you can sell the house. The first method is to refinance the mortgage. The second method is to pay off the remaining loan with the buyer's down payment. The third method is to use bank loans to pay off the remaining loans.

You can refinance the loan. Sell or transfer individual housing to a third person, apply for individual housing loan to change the loan term, change the borrower or change the collateral.

In the sale of second-hand houses, it is generally said that individual housing is sold or transferred to a third person to apply for individual housing loan, change the loan term, change the borrower or change the collateral.

Pay off the remaining loan with the buyer's down payment. This is the most widely used model in second-hand housing transactions. This model is suitable for the case that the original owner's loan amount is low or the original owner has returned most of the loans and the remaining loans are less.

The buyer will recognize the down payment of 30% to 40% of the total turnover of the property, and the seller can use the down payment of the buyer to pay off the remaining loan, and then cancel the mortgage registration of the property for trading.

Use bank loans to pay off the remaining loans. If the above two methods fail, then the seller can consider using the collateral in his own name to settle the mortgage loan.

If the seller wants to pay off the loan before selling the property, or the buyer is unwilling to buy the property with outstanding loan, but the premise is that the owner has collateral recognized by the bank to apply for a loan from the bank. The homeowner borrowed money from the bank through a mortgage to pay for the property loan he sold.

Extended data:

The whole process of second-hand housing transaction is roughly divided into the following stages:

(1) The buyer and the seller establish information communication channels, and the buyer knows the overall situation and property rights of the house, and requires the seller to provide legal documents, including house ownership certificate, identity certificate and other documents.

(2) If the house provided by the seller is legal and can be traded on the market, the buyer can pay the house purchase deposit (paying the house purchase deposit is not a necessary procedure for the sale of commercial housing), and the buyer and the seller sign a house sales contract (or a house sales contract). After the buyer and the seller reach an agreement on the location, property right, transaction price, delivery time, delivery method and property right disposal of the house through consultation, both parties shall sign at least three house sales contracts.

(3) The buyer and the seller apply to the real estate transaction management department for review. After the buyer and the seller apply to the real estate management department, the management department shall examine the relevant documents, review the property rights, and grant the transfer procedures for the houses that meet the listing conditions. If there is no property right or some property rights without the written consent of other property rights, the application will be refused and the listing transaction will be prohibited.

(4) contract. The real estate transaction management department shall, according to the property right status and the purchase object of the transaction house, report to the transaction department for approval step by step according to the approval authority set in advance, and both parties to the transaction may go through the formalities for signing the deed. Beijing has cancelled the contract for the sale of real estate during the transaction, which is also commonly known as the "white deed".

(5) Pay taxes and fees. The composition of taxes and fees is more complicated, depending on the nature of the transaction house. For example, the tax composition of commercial housing such as housing reform, rebuilding and demolition, and affordable housing is different.

(6), handle the transfer of property rights transfer procedures. After the real estate transaction management department completes the registration of property right change, both parties will hand over the transaction data to the issuing department, and the buyer will apply to the issuing department for a new property right certificate with the notice of receiving the property ownership certificate.

(7) For the buyer of the loan, after signing the house sales contract with the seller, the buyer and the seller go to the loan bank to handle the loan formalities. The bank will review the buyer's credit status, evaluate the house that both parties want to trade, and then approve the buyer's loan. After the two parties complete the registration change of property rights and the buyer obtains the house ownership certificate, the bank will issue a one-time loan.

(8) After the buyer has obtained the ownership certificate of the house and paid off all the house price, and the seller has delivered the house and settled all the property fees, all the second-hand house sales contracts of both parties have been fulfilled.

Baidu encyclopedia-second-hand house transaction