Do closing costs differ between borrowing a mortgage loan and assuming one from a family member?

Absolutely. And they will/can change between loan programs. Find out what type of loan you are doing - there could be hundreds of variables with the info you provided, but you can compare all of them.

If you do a full assumption, with credit and income and occupancy requirements, the lender will charge a range of $100 to one percent of the loan balance. Closing costs on a new loan can range from zero up to 3 percent of the new loan balance. Lower closing costs normally result in a higher interest rate.An existing loan taken "subject to", requires no closing costs. You just start making the payments, but the loan stays in the name of the original borrower.

Yes.. assuming a loan carries much less closing costs than a flat out purchase.. but keep in mind that all assumable loans require you QUALIFY.. all the items you would need to qualify for a purchase would be require to assume an existing loan.. Also keep in mind that most government loans are assumable with qualifying, however most conventional loans are not.. Too many missing factors to properly advise you.. , but in general, currently the IRS has the "The Mortgage Forgiveness Debt Relief Act and Debt Cancellation" which is valid through December 31, 2013. If your selling your primary residence, and the loan is the same loan you took out when you purchased the home, or you did a "rate and term" refinance, but you did not do a "Cash Out" refinance, then it's possible you would not be subject to taxes on the phantom income. Your accountant/CPA who is familiar with your entire scenario would have a better idea of your liability. If you'd like to read the details of this program yourself, here's the link.. http://www.irs.gov/Individuals/The-Mortgage-Forgiveness-Debt-Relief-Act-and-Debt-Cancellation- I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com