In one sentence
A property sale in which the buyer takes over the existing loan on its terms, with lender approval, instead of paying it off.
The longer version
Assumptions get attractive when in-place rates beat market or prepayment costs are heavy. The lender underwrites the new sponsor like a new loan: financials, experience, organizational documents, and often a new carve-out guarantor.
Documentation includes an assumption agreement, releases for the old sponsor where negotiated, and title date-downs. Servicing-side assumptions are a meaningful workstream on agency and CMBS books.
In Prodeal
Assumption packages run on the same checklist machinery as originations: a template request list, borrower-side uploads, and a full record for the file.
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