The Truth About Due on Sale  Every week, we work with buyers and
sellers involved in Austin owner finance transactions. Every
once in a while we will run in to sellers that are terrified of
triggering the acceleration clause (referred to as the Due on
Sale clause) found in the underlying mortgage contract. In every
case we have worked with thus far (which are hundreds) this fear
is generally uncalled for and it originates more from ignorance
about the potential use and implementation of this clause rather
than the reality itself.  What is the Due on Sale Clause?  To
begin with, the Due on Sale clause is, and has for decades been,
a common provision in a mortgage or a deed of trust which allows
the lender or mortgagee to demand immediate payment in full of
the remaining balance of the loan if the mortgage holder
transfers the property. Simply put, a due-on-sale clause is a
standard provision in a mortgage or deed of trust that states
that the lender has the right to demand that the entire balance
of the loan,