Jared engaged Mackenzie as his lawyer to handle a real estate purchase on his behalf. Mackenzie examined the title to the property and discovered that the land was subject to a registered outstanding mortgage in favour of Steven. If Jared wishes to purchase the property subject to Steven's mortgage, he would only pay the vendor the difference between the mortgage value and the purchase price.

Question

Quizplus · Accepted Answer

When purchasing a property subject to an existing mortgage, the buyer typically pays the seller the difference between the purchase price and the outstanding mortgage balance, assuming responsibility for the mortgage.

Jared Engaged Mackenzie as His Lawyer to Handle a Real