[bLAHBL]

...lender pay the previous owner in full? Like let's say you bought a house from someone named James for $200K. Does the mortgage lender you use pay James $200K in full?

[Tedi]

Less what is owned on it and less fees. So if James owed $50,000 that would come out less fees like escrow and agents selling fees and other fees.

[Benny J]

To answer your question....It depends. Generally, James wont get full access to the money....he will only receive an amount after all fees and charges are deducted and the sellers remaining mortgage is paid out.If James still owes $190000 on his home, YOUR lender will pay HIS lender $190000 and James will receive the remaining $10000 (less any fees and charges like Commission or solicitors fees)

[msdeville96]

Yes and no. If James owes on the home you bought, he would get the amount of 200,000 - what he owes. If the house is paid off and has no leans or mortgages then James gets it all, minus Uncles Sam's cut.