Take over the seller's rate.
Know the catch first.
VA loans are assumable — which can mean a lower rate than you'd get on a new loan today. Courtney Gibbs specializes in them. Here's the 101, then tell her what you're looking for.
VA Assumable Loans 101
Courtney walks through how an assumption actually works — what you take over, what you bring to closing, and when it beats a new loan.
Want to go deeper? Join Colorado Springs Assumable Home Loans on Facebook — 790 members and counting, or watch more on her YouTube channel.
How an assumption works
The short version, before you talk to anyone. Program facts only — your numbers depend on the specific loan and servicer.
You take over the loan
The seller's rate, remaining balance, and remaining term come with the house — instead of a new loan at today's rate.
Mind the equity gap
Price minus the remaining balance is yours to cover — cash, or sometimes a second loan. This is what makes or breaks the deal.
Entitlement matters
If you're a veteran, you can substitute your entitlement so the seller gets theirs back. Civilians can assume too; the seller's entitlement stays tied up.
0.5% funding fee
The VA funding fee on an assumption is 0.5% of the loan balance, unless you're exempt (e.g., receiving VA disability compensation).
The servicer decides
The seller's loan servicer approves your credit and income and sets the timeline — build that into your closing date.
Not every listing says so
Assumable VA loans aren't always advertised. Finding them — and running the math — is what a specialist is for.
General information about the VA home loan program, not a loan offer or financial advice. Confirm terms with the loan servicer and a licensed lender.
VA assumable FAQ
What is a VA assumable loan?
VA-backed mortgages can be assumed: a qualified buyer takes over the seller's existing VA loan — its interest rate, remaining balance, and remaining term — instead of starting a brand-new loan at today's rate.
Do I have to be a veteran to assume a VA loan?
No. A civilian buyer can assume a VA loan if the loan servicer approves their credit and income. The difference is entitlement: if the buyer is not a veteran who substitutes their own entitlement, the seller's VA entitlement stays tied to that loan.
What is the equity gap?
You take over the remaining loan balance, not the sale price. The difference between the price and that balance is the equity gap — covered with cash, or in some cases a second loan. It is usually the deciding factor on whether an assumption makes sense.
Is there a funding fee on an assumption?
Yes. The VA funding fee on an assumption is 0.5% of the loan balance, unless the buyer is exempt (for example, veterans receiving VA disability compensation).
Who approves the assumption?
The seller's loan servicer processes and approves it, and the timeline is set by that servicer — plan for it when you pick a closing date around your report date.
Find out if an assumable fits your move
Tell Courtney your price range and timing. She'll tell you honestly whether an assumption makes sense for you — and what's out there around Fort Carson. Text or email Courtney anytime — she responds the same business day.
Already browsing on your own? Courtney also uses AssumeList ↗ to find assumable listings.