A mortgage loan is a loan secured by real property through the use of a mortgage note which evidences the existence of the loan and the encumbrance of that realty through the granting of a mortgage which secures the loan. However, the word mortgage alone, in everyday usage, is most often used to mean mortgage loan.
The word mortgage is a French Law term meaning "death contract", meaning that the pledge ends (dies) when either the obligation is fulfilled or the property is taken through foreclosure.
A home buyer or builder can obtain financing (a loan) either to purchase or secure against the property from a financial institution, such as a bank or credit union, either directly or indirectly through intermediaries. Features of mortgage loans such as the size of the loan, maturity of the loan, interest rate, method of paying off the loan, and other characteristics can vary considerably.
In many jurisdictions, though not all (Bali, Indonesia being one exception), it is normal for home purchases to be funded by a mortgage loan. Few individuals have enough savings or liquid funds to enable them to purchase property outright. In countries where the demand for home ownership is highest, strong domestic markets for mortgages have developed.
Other articles related to "mortgage, mortgages":
... the payment received by a lending institution, such as a bank or retail mortgage lender, on the sale of a closed mortgage loan to the secondary ... The secondary mortgage market purchaser is typically a Wall Street investment bank, Fannie Mae, Freddie Mac, or Ginnie Mae, as the first step in the creation of a mortgage-backed security (MBS) ... Today, virtually all mortgages closed are purchased by the US government through the GSE Mortgage Backed Securities Purchase Program The amount of SRP paid ...
... the collateralized debt obligation (CDO) and mortgage-backed security (MBS) markets ... types that can trade over SecondMarket are Residential Mortgage-Backed Securities Corporate Mortgage-Backed Securities Other Asset Back Securities ...
... The origins of Scottish Mortgage lie in a credit crisis, the Panic of 1907 ... They established The Straits Mortgage and Trust Company Limited.” to lend money to the planters, secured on the rubber estates ... no longer required finance from Straits Mortgage on the scale anticipated ...
... Credit Ombudsman Service, or COSL, is an industry ombudsman established in 2003 as a result of the Mortgage Finance Association of Australia ('MFAA') self-regulation and the then increasing ... representatives Fund managers Credit unions Building societies Leasing companies Micro-lenders mortgage brokers non-bank lenders mortgage managers mortgage originators ...
... Mortgage insurance is an insurance policy designed to protect the mortgagee (lender) from any default by the mortgagor (borrower) ... rate, or in one lump sum up front, or as a separate and itemized component of monthly mortgage payment ... In the last case, mortgage insurance can be dropped when the lender informs the borrower, or its subsequent assigns, that the property has appreciated, the loan has been paid down, or any combination of both to ...
Famous quotes containing the word mortgage:
“The mortgage is still in our name but, increasingly, the house is theirs. One diaper, one vote.”
—Fred G. Gosman (20th century)
“Loosened from the minors tether;
Free to mortgage or to sell,
Wild as wind, and light as feather
Bid the slaves of thrift farewell.”
—Samuel Johnson (17091784)
“We are playing with fire when we skip the years of three, four, and five to hurry children into being age six.... Every child has a right to his fifth year of life, his fourth year, his third year. He has a right to live each year with joy and self-fulfillment. No one should ever claim the power to make a child mortgage his today for the sake of tomorrow.”
—James L. Hymes, Jr. (20th century)