CFD & Wrap = PMM ?

Derek0783 profile photo

As Jfmlv1950 explained to me, "A CFD actually is a form of wrap (AITD)."

Since that is the case, is it correct to say that a CFD and a wrap (AITD) are both actually a form of Purchase Money Mortgage?

If not, why? It would seem like it is the same thing because all a PMM is is the seller financing the buyer.

The only way I can see why a CFD and Wrap wouldn't be considered a form of PMM is because a PMM ONLY has to do with the seller financing the down payment as opposed to a CFD and Wrap where the seller ONLY finances the rest of the purchase price. Therefor as of now, my knowledge is that in CFDs and Wraps, the seller finances everything but the down payment and in PMMs, the seller finances only the down payment. If this isn't true, then what is it that seperates CFDs and Wraps from PMMS?

Thank you in advance,
Derek

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