Wrap Around Transactions

Wrap Around Transactions A Wrap Around Transaction is a form of seller financing. There is a difference however, between a traditional seller financing of a property and a Wrap Around Transaction in that on a “Wrap” or “Wrap-Around” the current Mortgage lien on the property is not paid off. In this type of real estate Transaction the property is conveyed while the Mortgage lien that has the seller’s name on it stays in place. The Wrap Transaction now has a second, junior lien held by the seller. Just to clarify, a Wrap Around Transaction is not illegal. A Wrap-Around is… Read More