How Long Does a Loan Assumption Take Wells Fargo?

While the potential benefits are enticing, understanding the timeline is crucial to setting realistic expectations. 

Let's discuss the key points of the subject matter in details of Wells Fargo loan assumptions, exploring the divorce-related specifics, fee structures, and the intricate process itself. 

Table of Content:

S. No

Content List



Wells Fargo Loan Assumption Process



Loan Assumption In The Context of Divorce



Loan Assumption Fee



Does Wells Fargo Actually Do Loan Assumptions?



Loan Assumption Process:


Wells Fargo Loan Assumption Process:

Assuming a Wells Fargo mortgage involves transferring the existing loan responsibility from the current borrower (the "assumer") to the new homeowner (the "assumable"). 

This can be a beneficial option for both parties: the assumer can escape the loan without refinancing, and the assumable can secure a potentially favorable interest rate locked in by the original borrower. Wells Fargo Direct Deposit Method

Loan Assumption in the Context of Divorce:

Divorce can throw a wrench in financial plans, and mortgages are often a major hurdle. Wells Fargo allows loan assumptions in divorce situations, offering a path for ex-spouses to untangle their financial ties. 

The process can be more intricate, involving additional documentation and potentially court approval, but it can provide a smoother transition into separate financial realities.

Loan Assumption Fee:

Wells Fargo charges an assumption fee, typically ranging from 0.5% to 1% of the loan amount. 

This fee covers administrative costs associated with processing the assumption paperwork and underwriting the new borrower. 

While not exorbitant, it's essential to factor this expense into your financial calculations. 

Does Wells Fargo Actually Do Loan Assumptions?

Yes, Wells Fargo does allow loan assumptions under specific circumstances. Your loan must meet certain criteria, including being a conforming loan (adhering to specific loan limits set by Fannie Mae and Freddie Mac) and having no past delinquencies. 

Additionally, the new borrower must qualify for the loan based on their creditworthiness and income. Wells Fargo FICO Score

Loan Assumption Process:

The loan assumption process at Wells Fargo can be complex, with various steps and timelines involved. To give you a clearer picture, here's a table outlining the key stages: 



Estimated Time frame

Initial Inquiry and Pre-Qualification

Contact Wells Fargo to discuss your eligibility and obtain pre-qualification for the assumption.

1-2 weeks

Formal Application and Document Gathering

Submit a formal application with supporting documents for both the assumer and the assumable.

2-4 weeks

Underwriting and Credit Approval

Wells Fargo assesses the new borrower's creditworthiness and financial situation.

3-6 weeks

Closing and Title Transfer

Once approved, both parties finalize the closing process and transfer the title of the property.

2-4 weeks

 Frequently Asked Questions:

What happens to the original borrower's credit after the assumption?

The original borrower's credit remains unaffected as long as the new borrower makes timely payments.

Can I assume a non-conforming loan with Wells Fargo?

No, Wells Fargo only allows assumptions for conforming loans.

What are some alternative options if I can't assume the loan?

You can explore refinancing the loan, selling the property, or negotiating a different arrangement with the original borrower.

Wells Fargo Loan Assumption Fee:

The Wells Fargo loan assumption fee can feel like a hidden cost, adding an additional layer to the financial considerations. 

However, it's important to remember that this fee covers the administrative and underwriting costs associated with processing the assumption. While it's certainly a factor to consider, it's not an insurmountable hurdle. 


Understanding the Wells Fargo loan assumption process, including the associated fees, empowers you to make informed financial decisions. 

While the process can be intricate, with careful planning and preparation, you can navigate the maze and potentially unlock the benefits of assuming a Wells Fargo mortgage. 

Remember, knowledge is your ally in this financial journey. So, take a deep breath, do your research, and confidently step into the world of loan assumptions.

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