Finance
Which of the following correctly describes a 'wraparound mortgage'?
AA mortgage that covers multiple properties
BA new mortgage that 'wraps around' and includes the balance of an existing first mortgage✓ Correct
CA government-backed mortgage requiring no down payment
DA short-term mortgage used for construction
Explanation
A wraparound mortgage is a form of secondary financing where the seller (or a lender) extends a new mortgage that includes the balance of the existing first mortgage, wrapping around it.
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