Finance
In Washington, a 'wraparound mortgage' involves:
AA mortgage that wraps around the exterior of a building
BA new junior mortgage that includes the existing senior mortgage balance, with the new lender collecting payments and paying the underlying lender✓ Correct
CA blanket mortgage covering multiple properties
DA participation mortgage
Explanation
A wraparound mortgage is a junior financing instrument that includes (wraps around) the balance of an existing senior mortgage. The new lender collects payments from the borrower and uses part to pay the underlying mortgage.
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