My First Wraparound Mortgage

[Steve Williams]

I want to sell a sfh on a wrap to another investor.  It has a $70,000 mortgage at 4.25 %.  I can sell it for $150,000 if I don't

finance it so I believe I can bump it to $155,000 or $160,000 if I sell it on a wrap.  I'm thinking 10% down, 5.25%, with a term

of 10 years (amortized over 30?).  I'm not sure about the term and how to end it.  I'm 67 and I'm doing this for income and

to defer capital gains.  I need to find a creative attorney or title company to do the closing.  The buyer would get the deed and

I'd like to find a servicing company (recommendation anyone?).  How does this sound? What else do I need to consider?  Thank you for your input and wisdom.

[Jay Hinrichs]

@Account Closed  Question since your the wrap expert :)

would it not make sense for him to

1. wrap the first with basically the exact amount he owes and the interest bump.

2. take a second for his equity... 

My thought being if the buyer was to default.. you can just move to default the second and can legally make payments on the first and add those amounts to the second if someone bids it or the guys wants to redeem or reinstate.

what do you think ??