mortgage Definition
- 1a legal agreement by which a bank, building society, etc. lends money at interest in exchange for taking title of the debtor's property, with the condition that the conveyance of title becomes void upon the payment of the debt.
- 2the loan obtained under a mortgage agreement.
Using mortgage: Examples
Take a moment to familiarize yourself with how "mortgage" can be used in various situations through the following examples!
Example
They took out a mortgage to buy their house.
Example
He has a $500,000 mortgage on his apartment.
Example
The bank foreclosed on the mortgage when he failed to make payments.
mortgage Synonyms and Antonyms
Phrases with mortgage
a type of loan available to homeowners, especially elderly ones, in which a lender pays the homeowner a lump sum, a monthly payment, or a line of credit based on the equity they have built up in their home, and the loan is not repaid until the homeowner dies or sells the property
Example
After retiring, they decided to take out a reverse mortgage to supplement their income.
a second loan taken out on a property that already has a mortgage, using the equity in the property as collateral
Example
They took out a second mortgage to pay for their child's college tuition.
a person or company that acts as an intermediary between borrowers and lenders, helping borrowers find the right mortgage product and lender for their needs
Example
They worked with a mortgage broker to find the best deal on their home loan.
Origins of mortgage
from Old French 'mort' meaning 'dead' and 'gage' meaning 'pledge'
Summary: mortgage in Brief
A 'mortgage' [ˈmɔːɡɪdʒ] is a legal agreement where a bank or building society lends money to a borrower at interest in exchange for taking title of the borrower's property, with the condition that the conveyance of title becomes void upon the payment of the debt. It can also refer to the loan obtained under this agreement. Examples include 'They took out a mortgage to buy their house.' and 'The bank foreclosed on the mortgage when he failed to make payments.' Other phrases include 'reverse mortgage,' 'second mortgage,' and 'mortgage broker.'
