Since most people are sitting on non-assumable loans these days, I don't see how that will happen any time soon. And I believe that VA loans are assumable in any event for a qualifying person. I also don't think that after the crash during the Great Recession that home sellers would really want to take on the liability of letting someone assume their loan.

That is a great question! They should become a selling feature if the lender would cooperate. But will they?

They rolled out the 40 yr loans a few weeks ago.

I have never done a deal with an assumable loan involved in over 20 years in business.

i remember those assumable FHA loans in particular.  That's what we looked for  in certain instances back in the late 80's.  Anything under 10% was a good thing - buy it.  I bought a couple of homes that were assumable. With that said I highly doubt they'll be bought back into the picture. 

I do not see them as becoming popular.

 In time, yes.  

It may happen but in most cases unlikely due to the amount of downpayment needed. And, most sellers won't want the liability. As long as interest Raes stay below 8% really no need.

I have heard we're going to see more ARMS, especially for those who know they'll only be in the house for 5 years. I do think it is possible to see some assumable loans. It just all depends on how much equity one has in their house. It also depends on the product and how it affects the owner should the buyer assuming defaults. A good percentage of Realtors have never done anything with assumable loans and may not think about it.

I know VA is assumable but I did not know FHA/USDA were. Caroline Gerardo ?

That is not something I have put any thought into. My approach to all that we are experiencing during these times is that "it is what it is". 

I focus on the things I have control over. 

Anything goes as we keep going. Opportunists never sleep nor does opportunities. I am reminded of clothes. shoes, foods, medicine and the like who come and go over the decades. The root, in the word "consume" as in consumer is a very powerful force. Vogue comes and goes plus it resets too

Might be, could be. Depends on how high the rates continue to climb...and whether lenders will allow.

In all my years, have never done an assumption, but think as the rates rise, we sure will.

depends on what prices do in the next two years and if we have REO properties again, but they certainly could.

Nope.  People still need to qualify, and to assume you need to go directly through the lender.  With low down payment options like FHA & VA, someone still has to pay the difference between the loan amount and purchase price.  And while FHA may have a lower rate, all the loans recently originated stick customers with PMI, offsetting a lot of the benefit of a lower rate.

I doubt that interest rates will get that high again.

I can't see any lender allowing any assumable loans again.  They are too smart for that.