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Wraparound :
Results when an existing assumable loan is combined with a new loan, resulting in an interest rate somewhere between the old rate and the current market rate. The payments are made to a second lender or the previous homeowner, who then forwards the payments to the first lender after taking the additional amount off the top.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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