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Good question, I have this come up a lot lately. Luckily you are protected. In times of a family passing the last thing you need to worry about is if you are going to loose everything your family had worked very hard for. Under a Federal law called the Garn-St. Germain Act the lender is forbid from forcing a refinance on the mortgage. The "heirs" can continue to make the payments on the property of the deceased. So no worries there is no need for you to refinance and as long as you continue to make the payments on the mortgage the terms of the loan will remain the same. Again though this is only for "heirs" to the property. If you wish to pass this home to someone other than a relative of the deceased this does not apply and you will need to begin the loan process over. If this doesn't help let me know and I will dive a bit deeper for you.
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