Difference between revisions of "Mortgage"
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| − | A '''mortgage''' is granting of a [[lien]] on real property, such as a home, by a [[debtor]] (borrower) to | + | A '''mortgage''' is the granting of a [[lien]] on real property, such as a home, by a [[debtor]] (borrower) to the [[creditor]] (lender), such that the property is security for the repayment of a [[loan]]. Once the loan is paid, the mortgage should be discharged. |
| − | Hypothecation refers to the right | + | Hypothecation refers to the right of a creditor to liquidate goods, securities, or other [[assets]] if the borrower fails to service a loan. |
| − | A '''[[sub-prime mortgage]]''' is one | + | A '''[[sub-prime mortgage]]''' is one in which the borrower has a demonstrated inability to abide by the terms of a credit obligation. |
== See also == | == See also == | ||
Revision as of 20:20, October 7, 2026
A mortgage is the granting of a lien on real property, such as a home, by a debtor (borrower) to the creditor (lender), such that the property is security for the repayment of a loan. Once the loan is paid, the mortgage should be discharged.
Hypothecation refers to the right of a creditor to liquidate goods, securities, or other assets if the borrower fails to service a loan.
A sub-prime mortgage is one in which the borrower has a demonstrated inability to abide by the terms of a credit obligation.
See also
- Financial Crisis of 2008
- Recession of 2008
- Glossary of Budget Terms
- Accounting
- Mortgage insurance
- Free Enterprise