Mortgage

Question 1

Who Is Personally Liable on the Debt Assumed

Answer 1

If O, Our
Debtor-Mortgagor, Sells Blackacre to B?
If B has “assumed the mortgage,” both O and B are personally
liable. B is primarily liable, and O remains secondarily liable.

Question 2

Who Is Personally Liable on the Debt Subject To

Answer 2

If B takes “subject to the mortgage,” B assumes no personal liability.
Only O is personally liable. But, if recorded, the mortgage remains on
the land. Thus, if O does not pay, the mortgage may be foreclosed.