Finance
In Oklahoma, a wraparound mortgage (all-inclusive deed of trust) is a form of seller financing where:
AThe seller pays off the existing mortgage before closing
BThe seller keeps the existing mortgage in place and the buyer makes payments to the seller on a larger new mortgage, with the seller continuing to pay the underlying loan✓ Correct
CThe buyer assumes the existing mortgage and the lender releases the seller
DThe government guarantees the seller's existing mortgage
Explanation
A wraparound mortgage allows the seller to retain the existing underlying mortgage while extending a larger seller-carried mortgage to the buyer. The buyer makes one payment to the seller, who in turn continues paying the original lender. This can trigger due-on-sale clauses.
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