MORTGAGE
A debt instrument to finance purchasing a real estate property, usually from a bank, which the borrower is obliged to pay back with a predetermined set of payments. Individuals and business use this loan to make huge real estate purchases without paying the whole value of the property upright. Over many years, the borrower repays the mortgage plus interest rate until he or she eventually owns the property freely and clearly. The bank can foreclose the property if the borrower stops paying the loan.
Also called liens against property or claims on property.
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