Posted by John Behle on November 22, 1998 at 24:43:29:
Sure you can do it, just make the wrap adjustable also. It can be done through a set spread. I.E. rate on first goes up 1/2 percent - so does the wrap.
The other way is to just tie the rate of the wrap to the same index as the first loan is tied to.
The first method is the simplest.
Wraps on Adjustables - Posted by Mark Vidales
Posted by Mark Vidales on November 21, 1998 at 14:28:51:
John,
I have a home I’d like to sell on a wrap, but my first is an adjustable rate mortgage. Can I profitably sell this on a wrap with the existing first and still majke money?..
I’m thinking probably not but don’t think I can refi. because of the hight L.T.V. is there a way to do wraps
on adjustables?