Structuring a wraparound mortgage?

hey guys, i have a potential seller financed deal that would require a wraparound mortgage. i have not done a wraparound deal yet so i wanted to make sure i cross all my t’s and dot all my i’s :cool

we are going to structure the note so it’s the same terms as the underlying mortgage with a slight increase in purchase price so the seller makes some money. would anyone like to share the steps i should take on this so i don’t miss anything? will this involve a trust like sub2’s etc.? also, i believe the best option would be to setup automatic payments for the seller’s mortgage company so they don’t have to worry about a default.

any info appreciated.

Highly unlikely that a wrap will work in a traditional sense…in that it is not likely the first (existing financing) mortgage is wrap-able.

In any event, you might need to structure in a different way to accommodate your needs such as ‘subject to’ and add the seller’s increase in a second or perhaps put the house in a trust and have the trust contract with the parties to accomplish your goals.

There is not enough information to help any further on this until more information on the existing financing is disclosed.

Hope this helps.