Finance
In South Carolina, what is a 'wraparound mortgage' primarily used for?
ABundling multiple properties into one loan
BSeller financing that encompasses an existing first mortgage, allowing the buyer to make one payment to the seller who services the underlying loan✓ Correct
CA mortgage that wraps around the entire property including outbuildings
DA combined purchase and construction loan
Explanation
A wraparound mortgage is a form of seller financing where the seller creates a new mortgage that includes the existing first mortgage balance plus additional seller financing. The buyer makes one payment to the seller, who continues making payments on the existing underlying loan.
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