Wrap around mortgage / Seller Financing

[Kim Rock]

Well, I was all proud of myself that I had gotten a seller to accept seller financing on a property I felt would be a good long term investment..... now I come to find out he has a mortgage on the property, and wants to just accept my payments to him and use them to pay the mortgage. Doesn't his mortgage have a due on sale clause? What happens if we transfer title to me, I own the property, he still has his old mortgage, and the bank finds out? What are my risks here? I am not sure this is turning out the way I wanted.