Final answer:
To protect themselves from future liability, the seller can obtain a release of liability from the lender, include an assumption agreement in the sale contract, and consult with an attorney for guidance.
Step-by-step explanation:
To protect themselves from future liability for the mortgage, the seller can take several steps:
- Obtain a release of liability from the lender: The seller can ask the lender to release them from any future liability for the mortgage. This can be done by contacting the lender and requesting a release of liability.
- Include an assumption agreement in the sale contract: The seller can include an assumption agreement in the sale contract, which states that the buyer assumes responsibility for the mortgage. This agreement should clearly outline the buyer's responsibility for the mortgage payments and any associated fees.
- Consult with an attorney: It is advisable for the seller to consult with an attorney who specializes in real estate law to ensure that all necessary steps are taken to protect themselves from future liability for the mortgage.