8. Buyer purchased Blackacre from Seller. Seller info…
8. Buyer purchased Blackacre from Seller. Seller informed Buyer about how Blackacre was encumbered with a past mortgage with a $100,000 outstanding loan balance, due to Seller’s borrowing. The past mortgage did not include a due on sale clause. Buyer and Seller agreed that Buyer would assume the mortgage and Buyer did so with a valid written assumption agreement. Seller delivered a valid deed to Buyer, which was validly recorded. Six months later, Buyer defaulted on the mortgage and the mortgagee initiated a judicial foreclosure. The proceeds from the foreclosure sale were insufficient to cover the outstanding loan balance on the mortgage.There are no anti-deficiency statutes in the relevant jurisdiction.Can the mortgagee recover the deficiency from Buyer or Seller?