A financing technique which involves the creation of a new trust deed which includes the balance due on the existing note plus any new funds advanced.
The borrower obtains a new mortgage, which is structured to include the old mortgage. The borrower makes payments on the new mortgage directly to the lender, who makes payments on the old first mortgage.
A loan that allows an existing loan to be refinanced at an interest rate between the original loan rate and the currently prevailing market rate.
A refinancing technique involving the creation of a new deed of trust that includes the balance due on the existing note plus new funds advanced; also known as a wrap-around mortgage.
Overriding trust deed; A financing tool where a lender assumes payments on an existing mortgage or trust deed and takes from the borrower a trust deed with a face value in an amount equal to the amount due on the old instrument and the additional amount of money borrowed.
A trust deed that secures a “wrap-around mortgage,†in which a new loan “wraps around,†or encompasses an existing loan.
Same as wrap- around mortgage, except with a deed of trust as the security instrument instead of a mortgage.
A mortgage (trust deed) that encompasses all existing mortgages and is subordinate to them.
