Assumption Fee

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Assumption Fee

A fee that the buyer of a property with an assumable mortgage pays to the lender for the ability to take over the mortgage.
References in periodicals archive ?
UDR said that the transaction is expected to be funded through the issuance of up to USD 753m of UDR OP units issued at USD35 per unit, the assumption of USD 90m of debt and USD 65m in cash, inclusive of transfer taxes and loan assumption fees.
Ancillary income, including late charges, insurance fees, assumption fees, and the like, contributed 17 percent of gross revenues, or $49 per loan.
The transaction generated net proceeds of approximately $60 million to Glimcher after considering debt assumption fees and ordinary closing costs.
The cash stream is comprised of the servicing fee, income related to any escrows, and ancillary income such as late fees assumption fees, and so forth.
Assumption fees are a component of mortgage servicing fees in Capmark's condensed consolidated statement of operations, and Capmark earns an assumption fee when an existing borrower's mortgage is assumed by a new borrower.
As announced on July 1, the primary purpose of the meeting will be to consider the sale of substantially all of its assets to Glimcher Realty Trust for an aggregate purchase price of $197,000,000 plus prepayment penalties and assumption fees, in accordance with the terms of the purchase and sale agreement by and among Glimcher, RPI and certain other entities affiliated with RPI, dated as of March 11, 1996, as amended, and the complete and voluntary liquidation and dissolution of RPI pursuant to the plan of liquidation and dissolution of RPI.
As a result of due diligence and final negotiations, the aggregate purchase price has been reduced from $203 million to $197 million, plus prepayment penalties and assumption fees, and Glimcher Realty Trust's right to terminate the purchase and sale agreement under certain conditions as a result of its due diligence has generally been removed.