MORTGAGE

A mortgage (Law French for "dead pledge") is a device used to create a lien on real estate by contract. It is used as a method by which individuals or businesses can buy residential or commercial property without paying the full value upfront. The borrower (also called the mortgagor) uses a mortgage to pledge real property to the lender (also called the mortgagee) as security against the debt (also called hypothecation) for the rest of the value of the property.

A Mortgage is a long term loan repaid over a fixed period of time known as a mortgage term.

A contract between a borrower and a lender where the lender guarantees payments until the debt is repaid