In a wraparound financing transaction,the second lender lends the owner additional funds and agrees to take over the servicing of the first loan.

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In a wraparound financing transaction, the second lender provides additional funds to the owner, while also taking on the responsibility of servicing the first loan. This allows the borrower to make a single monthly payment to the second lender, who then distributes the appropriate amounts to the original lender and keeps the rest as profit.

In a Wraparound Financing Transaction,the Second Lender Lends the Owner