What exactly is a "Wraparound mortgage?"

A wrap-around mortgage can be a Seller financing a part of the purchase price to help you make the deal. It is a second form of financing which a Seller provides to a Buyer. The wrap around mortgage "wraps around and exists in addition to one or more" superior mortgages. Usually with a wrap-around mortgage, a Seller will accept a promissory note from the Buyer. I hope this helps. Believe and Achieve! - Joe

Ok so how would I obtain a property using a Wraparound mortgage when the first mortgage is still in play? Would I eventually have to pay that off too or what? How does that all work?

Ok so how would I obtain a property using a Wraparound mortgage when the first mortgage is still in play? Would I eventually have to pay that off too or what? How does that all work?

Ah man I hate when my thread gets pushed down to the bottom lol. Anyways still looking for an answer DG crew. Thanks.

I think just the heading of saying wrap-anything would keep true REI away,What ever you are planning make sure to do your fact check on the deal.The primary lender over-rides anybody and i see you changed your pic.

Naw I'm not planning on using a wraparound mortgage any time soon, It's just that I wanna have every trick in the book ready for whenever I have future deals arise. And it's just a little frestuating when you can't understand something and knowing that this one little trick could come in handy one day and I will never be able to use it. Thanks for the feedback anyway.

P.S. I figured I'd show my true self in the new pic instead of portraying myself as an adult when really I'm just a kid trying to learn everything I can about real estate.