Hawaii Pre-Licensing National Practice Exam 2025 – Your Complete Prep Guide

When a buyer assumes a loan in a property purchase, the seller's obligations under the existing mortgage remain unchanged because the original mortgage agreement is still in effect and the seller has not been released from their responsibilities to the lender. This means that even though the buyer takes over the payments and assumes the loan, the seller is still liable to the lender if the buyer fails to make those payments or defaults on the loan.

The seller's obligations pertain to the original agreement made with the lender and remain intact unless the lender specifically agrees to release the seller from those obligations or issues a novation. Therefore, the seller remains responsible for the debt until it is paid in full or the lender agrees to some form of release.

The other options point to aspects that may not remain the same or are not relevant in this context. For instance, the seller's rights under the mortgage may still be intact, but they do not directly relate to the obligations that persist once the buyer assumes the loan. The buyer’s liability for the mortgage changes upon assumption, as they take on the responsibility for the loan going forward. Lastly, although the terms of the mortgage agreement may stay the same, they are not what remains unchanged regarding the seller's obligations specifically.

Understanding these dynamics