Description
A Mortgage is a security interest in real property (land). It is the vehicle most people use when they are looking to raise money to buy a home; or they wish to borrow additional funds and use the equity they have in their existing property as security for the loan.
The Mortgage is a legal mechanism that protects the lender if the borrower fails to honor all of their obligations (repayment of the principal and interest) under the loan agreement. If the Borrower fails to meet their obligations, then the Lender can take possession of the secured property and sell it in order to pay off the loan.
