What is a mortgage?
You need money but you haven't got them. So, you take a loan and use your house as a guarantee for your future repayments. Now, this is a mortgage. You may use an existing real estate to secure your loan or you may use the taken money to buy a home and use it as a guarantee - in all cases the idea is the same - you use some kind of a property as a promise to pay back a loan you've got.
It makes no matter if you're an individual or a business - you may acquire a property right away without paying it's full price by taking a mortgage loan. The mortgages are associated primarily with loans guaranteed by real estate but there are cases in which other property (like land for example) may be in mortgage. More...
There are various terms in use depending on different countries or their legal systems but two inevitable words that describe the main participants when speaking about a mortgage are always involved:
This is the guy (or the institution) giving the loan to the debtor and owning the legal rights to the mortgage secured debt.
The borrower of the money in a home mortgage agreement is called debtor. Once the contract between the creditor and the debtor is in effect the latter is responsible to meet all of the regulations enforced by the first one in order to avoid any complications. More...
What is mortgage refinancing?
If at some point you decide that you're not happy with the conditions of your current loan you may undertake a home mortgage refinancing. This practically means to fully pay off your current loan and to take a new one out while securing it with the same assets (for example your house). More...
We have a small section with home mortgage refinancing links here.