A wraparound mortgage, or wrap, is a form of seller financing in which the seller's existing mortgage stays in place while the seller creates a new, larger mortgage for the buyer that wraps around the old one.
Log in to followI'm looking at a wrap as the buyer, and the construction habit is making me ask the wrong-sounding questions. If the seller's mortgage stays in place, whose name is on the deed af…
Trying to price out the closing side before I bring a wrap idea to a seller I know. Assume a 300k sale, 240k underlying at around 4, wrap note in the 270k range at 7. What I want…
Working through a structure before I commit to it. Underlying is a 30-year fixed at 3.75 with about 312k left and roughly 26 years to run, payment 1,640 plus escrow. Plan is to se…
Ran the numbers on a deal in front of me and the headline spread is misleading. Underlying: 218k remaining at 3.9, roughly 22 years left, payment 1,430 plus escrow. Proposed wrap:…
Reading through the due-on-sale part and I don't understand the risk math. The seller's mortgage says the lender can demand full payment if the property transfers. In a wrap the p…
One video said a wrap and subject-to are basically the same deal with different paperwork, and another said they're completely different and the difference is whether a new note g…
I'm building out a note servicing offering and wraps are the messiest thing on my desk. On a straight seller-financed note the servicer collects from the buyer and remits to the s…