Finance
In South Carolina, a 'wraparound mortgage' (all-inclusive trust deed) is most commonly used when:
AThe buyer needs a jumbo loan
BThe seller has an existing assumable loan and provides seller financing above it✓ Correct
CTwo lenders jointly fund a single mortgage
DThe property is in a flood zone
Explanation
A wraparound mortgage wraps around an existing mortgage. The seller keeps making payments on the original loan while receiving a larger payment from the buyer on the wraparound. The rate difference creates income for the seller.
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