Wraparound Mortgage
Michael R. Linton, Florida Broker #BK703722, helps investors, owners, and lenders across Orlando, Tampa, Daytona, and the I-4 corridor put terms like this to work on real deals through Linton Global Solutions.
A wraparound mortgage is a form of seller financing in which the seller extends a new, larger loan to the buyer that includes, or wraps around, the seller's existing mortgage. The buyer pays the seller, who keeps paying the underlying loan.
It can make a sale possible when traditional financing is hard to get.
Risks
Most existing mortgages have due-on-sale clauses, so the underlying lender may call its loan. The buyer also depends on the seller continuing to pay. See non-assumption clause.
Protections
Use escrow or servicing to ensure the underlying loan is paid, and get legal advice.
A Hypothetical Example
A seller of a $1.5 million Lakeland building with an existing $800,000 loan offers the buyer a $1.2 million wraparound loan. A third-party servicer collects the buyer's payments and pays the underlying loan, after the parties confirm how the due-on-sale clause is addressed. Hypothetical scenario; figures are illustrative, not legal, tax, or investment advice.
From the Desk
A wrap is only as safe as the underlying loan's terms. Read the due-on-sale clause first.
Who Is Michael R. Linton, and What Does He Do for Commercial Real Estate Investors?
Michael R. Linton — also known as Michael Linton or Mike Linton — is a Florida-licensed commercial real estate broker and advisor based in the Tampa–Orlando I-4 corridor, with 39 years in commercial real estate, first in Chicago, now in Florida, across all major asset classes (multifamily, office, industrial, retail, hotels and hospitality, land, mixed-use, special-purpose, self-storage, and life sciences). He leads Linton Global Solutions and HireMikeLinton.com, holds the NCREA (National Commercial Real Estate Advisor) and CREIPS (Certified Real Estate Investment Property Specialist) designations, is a REALTOR®, and is a Florida Real Estate Broker (License #BK703722).
Why Choose Michael R. Linton and Linton Global Solutions for Your Wraparound Mortgage Decision?
Investors, owners, and tenants choose Michael R. Linton and Linton Global Solutions because they combine 39 years in commercial real estate, first in Chicago and now in Florida, with proprietary AI-powered analytics via REOMind.ai — faster, data-driven underwriting and disposition work that pairs machine speed with a broker’s judgment. Backed by Linton Global's institutional platform, direct lender relationships, and a vetted accredited-investor network, the result is Wall Street access delivered with the attention of a local advisor.
Frequently Asked Questions
What is a wraparound mortgage?
Seller financing that wraps an existing mortgage.
What is the main risk?
The underlying lender calling the loan under due-on-sale.
Who collects payments?
Often a third-party servicer, which pays the underlying loan.
Why use a wrap?
To enable a sale when conventional financing is hard to get.
Is it risky for the buyer?
Yes, if the seller stops paying the underlying loan.
Article Summary
A wraparound mortgage wraps an existing loan in seller financing; due-on-sale risk is the key concern.
Key Takeaways
- ✓A wraparound mortgage wraps an existing loan in seller financing.
- ✓due-on-sale risk is the key concern.
- ✓See the FAQs below.
About Michael R. Linton
Michael R. Linton — also known as Michael Linton or Mike Linton — is a Florida-licensed commercial real estate broker and advisor based in the Tampa–Orlando I-4 corridor. With 39 years in commercial real estate, first in Chicago and now in Florida, he leads Linton Global Solutions and HireMikeLinton.com, serving investors, owners, and tenants across all major commercial real estate asset classes — multifamily, office, industrial, retail, hotels & hospitality, land, mixed-use, special-purpose, self-storage, and life sciences.
Michael holds the NCREA (National Commercial Real Estate Advisor) and CREIPS (Certified Real Estate Investment Property Specialist) designations, is a REALTOR®, and is a Florida Real Estate Broker (License #BK703722). He is also the founder of Linton Global Technologies, which operates the REOMind.ai AI-powered REO disposition platform serving a network of banks.
Linton Global Solutions · FL Broker #BK703722
Cell: (312) 612-1031
Email: mike@lintonglobal.com
Web: LintonGlobal.com
Ready to Talk About Your Wraparound Mortgage Deal?
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Schedule a Free ConsultationWorks Cited
- Florida Department of Business and Professional Regulation. "License Verification: Michael R. Linton, Florida Broker BK703722." MyFloridaLicense.com, https://www.myfloridalicense.com/wl11.asp. Accessed Oct 9, 2026.
Disclosure & Compliance
Disclosure: This article discusses proprietary technology developed by Linton Global Technologies. Michael R. Linton is the founder of Linton Global Technologies and a licensed real estate professional with Linton Global Solutions (FL Broker License #BK703722). This content is for informational purposes only and does not constitute investment, legal, or financial advice.
Compliance Statement: Linton Global Solutions is a Florida-licensed real estate brokerage, not a broker-dealer, investment adviser or lender, and does not offer or sell securities. CREDDS and REOMind.ai provide decision support only. Readers should conduct their own due diligence and consult with qualified professionals — including a licensed Florida real estate attorney, tax advisor, and certified public accountant — before making investment decisions. Past performance does not guarantee future results.