Best Cities for Assumable Mortgages in 2026: Where Buyers Are Finding the Biggest Deals
The best cities for assumable mortgages share one trait: high concentrations of FHA and VA loans originated between 2020 and 2022, when rates sat between 2% and 4%. With today's conventional rates near 6.65%, buyers who find and assume one of these loans are pocketing $700 to $1,200 every month compared to taking out a new mortgage. The markets below have the highest density of assumable inventory — and the biggest savings windows — heading into the second half of 2026.
Here's what you need to know:
Why Location Matters for Assumable Mortgages
Not every city has an equal supply of assumable loans. The inventory is concentrated in markets with three characteristics:
- High military population: Every VA loan is assumable — it's written into the loan docs, every single one. Cities near major bases have the highest per-capita concentrations of low-rate VA loans.
- Active FHA lending history: FHA loans are also fully assumable. Markets with high first-time buyer activity between 2019 and 2022 saw heavy FHA origination volume.
- Home values that make the math work: The equity gap — the difference between the home's value and the existing loan balance — needs to be small enough for a buyer to cover. Markets where prices haven't exploded too far above 2020 levels give buyers the most realistic path to assumption.
Run your own numbers with the assumable mortgage calculator before targeting a specific market.
The 10 Best Markets in 2026
1. Colorado Springs, Colorado
Colorado Springs is the single best market in the country for assumable mortgages — and it isn't close. Fort Carson, Peterson Space Force Base, Schriever Space Force Base, and NORAD/NORTHCOM together station more than 30,000 active-duty military personnel in the metro. That means tens of thousands of VA loans originated at 2%–4% rates are tied to homes in the Pikes Peak region.
The city's housing affordability index has dropped from 71.4% to 25.3% over four years — meaning buyers using conventional financing face a brutal monthly payment. Buyers who assume a 3% VA loan instead of taking a new 6.65% loan on the same $400,000 home save more than $850 per month. That math is drawing buyers to Colorado Springs from across the state.
Read the full guide: Assumable Mortgage Homes in Colorado Springs
2. San Antonio, Texas
San Antonio runs four major military installations: Lackland Air Force Base, Fort Sam Houston, Randolph Air Force Base, and Camp Bullis. Combined, they form the largest military complex in the United States by assignment numbers. The result is an enormous pool of existing VA loans — many originated during the pandemic at sub-3% rates — sitting on homes throughout the metro.
San Antonio also has a long history of FHA lending in working-class neighborhoods, adding another layer of assumable inventory for buyers who don't need a VA-eligible seller.
Read the full guide: Assumable Mortgage San Antonio Texas
3. Jacksonville, Florida
Two installations — Naval Station Mayport and Naval Air Station Jacksonville — make Jacksonville the largest Navy city on the East Coast by personnel count. The Navy's long tenure in the market means Jacksonville has decades of VA loan history, with a fresh wave of 2020–2022 originations now coming up for sale as service members rotate, retire, or PCS.
Florida's warm climate and no-income-tax environment make Jacksonville attractive to buyers relocating from higher-cost states, which keeps demand healthy.
Read the full guide: Assumable Mortgage Jacksonville Florida
4. Fayetteville, North Carolina (Fort Liberty)
Fort Liberty — formerly Fort Bragg — is the largest military installation in the world by population. More than 50,000 soldiers and their families live on and around the base, making Fayetteville one of the highest-density VA loan markets in America. The average home price in Fayetteville is well below the national median, which keeps equity gaps manageable and assumptions accessible.
Buyers willing to move to a military-heavy market can find some of the lowest-cost assumable deals in the country here.
Read the full guide: Assumable Mortgage Fayetteville NC
5. Virginia Beach / Hampton Roads, Virginia
The Hampton Roads metro — covering Virginia Beach, Norfolk, Chesapeake, Portsmouth, and Newport News — hosts the largest concentration of US military in the world. Naval Station Norfolk alone is the largest naval station on the planet. The region's VA loan density is unmatched.
Virginia Beach also benefits from Virginia's new HB304 law, which took effect July 1, 2026. That law requires conventional mortgage lenders to allow assumption during divorce — adding a second category of assumable inventory on top of the existing VA and FHA supply.
Read the full guide: Assumable Mortgage Virginia Beach Hampton Roads
6. Killeen / Temple, Texas (Fort Cavazos)
Fort Cavazos — formerly Fort Hood — is the largest US Army installation by land area. The Killeen-Temple metro's housing market is almost entirely built around military housing demand, which means a high proportion of existing mortgages are VA loans. Home prices here are among the lowest of any major military market, making the equity gap easy to close.
Read the full guide: Assumable Mortgage Killeen Fort Cavazos
7. Clarksville, Tennessee (Fort Campbell)
Fort Campbell straddles the Kentucky-Tennessee border, but the majority of off-base housing is in Clarksville. The 101st Airborne Division's home has one of the fastest-growing housing markets in Tennessee — driven by steady military demand and an influx of Nashville commuters priced out of the main metro. VA loan concentration is high, and home prices remain affordable enough to make assumptions realistic.
Read the full guide: Assumable Mortgage Clarksville Fort Campbell
8. Colorado Front Range (Fort Collins / Boulder / Denver Metro)
The entire Colorado Front Range is a strong assumable market. Fort Collins, home to Colorado State University and a growing tech sector, saw significant FHA first-time buyer lending between 2019 and 2022. Boulder and Denver's expensive markets mean buyers who can find and close an assumable deal are saving enormous sums — the average home price in Boulder exceeds $800,000, and even a one-point rate difference represents hundreds of dollars monthly.
The assumable mortgage Colorado guide covers the full state landscape.
9. Phoenix, Arizona
Phoenix is the fastest-growing major metro in the United States. Luke Air Force Base in Glendale anchors the VA loan supply, but Phoenix's massive FHA lending history during the 2020–2022 boom adds significant depth. The city's rapid price appreciation since 2020 has pushed many buyers out of the conventional market entirely — assumable loans are one of the few remaining paths to affordable ownership.
Read the full guide: Assumable Mortgage Phoenix Arizona
10. Tampa, Florida (MacDill AFB)
MacDill Air Force Base is home to both US Special Operations Command and US Central Command, two of the most prestigious assignments in the military. The Tampa Bay metro has a large veteran population beyond active duty, contributing to high VA loan density across multiple submarkets — including Brandon, Riverview, and Wesley Chapel. Florida's growing population keeps demand for these loans strong.
Read the full guide: Assumable Mortgage Tampa Florida
How to Find Assumable Homes in Any Market
In every market above, the process is the same:
- Search active listings for FHA and VA loan types — Many MLS systems allow filtering by loan type. Ask your agent specifically for FHA and VA-originated listings.
- Identify the rate on existing loans — Some listing sheets include this. A servicer call to the lender on record can confirm the rate before you make an offer.
- Calculate the equity gap — The gap is the difference between the home's list price and the existing loan balance. You cover this with cash, a gift, a HELOC, or a gap loan.
- Verify assumability — Every FHA and VA loan is assumable by law. The lender cannot block the transfer, only evaluate the buyer's creditworthiness.
- Close with a specialist — Assumption timelines run 45 to 90 days on average. Work with an agent who has closed assumptions before — the process is different from a standard purchase.
Browse homes with assumable mortgages in these markets at /homes.
Frequently Asked Questions
Which city has the most assumable mortgages available right now?
Colorado Springs, San Antonio, and Jacksonville consistently have the highest active inventory of assumable FHA and VA loans relative to their overall listing supply. Colorado Springs is particularly strong due to four military installations generating decades of VA loan originations in a relatively compact metro.
Do I have to be a veteran to assume a VA loan?
No. Non-veterans can assume VA loans — the loan type does not restrict who can take it over. However, if a non-veteran assumes a VA loan, the original seller's VA entitlement stays tied to that property until the loan is fully paid off. Veterans assuming VA loans from other veterans can substitute their own entitlement and restore the seller's immediately.
How much do buyers typically save with an assumable mortgage in these markets?
The savings depend on the rate gap and loan size. On a $400,000 loan assumed at 3% instead of a new 6.65% loan, the monthly payment difference is roughly $870 per month — about $10,440 per year. On a $500,000 loan at 3.25% versus 6.80%, buyers save $1,084 per month. Use the calculator for your specific numbers.
Can I find assumable mortgages in cities not on this list?
Yes. Any market with significant FHA or VA loan origination history between 2019 and 2022 will have assumable inventory. The cities above rank highest on density, but you can search for assumable loans on any MLS nationwide. The key is knowing which loan types to filter for and understanding the assumption process.
How long does it take to close an assumable mortgage?
Assumption timelines average 45 to 90 days, compared to 30 to 45 days for a standard purchase. The lender must approve the assuming buyer's creditworthiness and process a transfer of liability. VA assumptions can sometimes run longer because they involve the VA directly. Budget for 60 days in your offer negotiations and make sure your agent has prior assumption experience.