What is a mortgage loans ?

What is a mortgage loans

Mortgage loans is a financial product that allows you, as a customer, borrower or debtor; have the amount needed to buy or renovate a home or other property, whereby a US mortgage lender pays a certain amount of money (the so-called loan capital) of a credit institution (lender) based on a value that is our property (house, garage, cellar, local, solar, etc.). In exchange for the commitment to pay that amount, plus interest, through regular payments (called quotas). In case of default, the bank may require us to collect money owed by a process:

judicial execution means that the entity, if certain conditions contained in the contract are given -usually the loan default can sell the mortgaged property may be our home as all or part of the debt collectionExtrajudicial execution is an entity, if such circumstances arise, can be put on sale the mortgaged property with a notary, but outside court proceedings.

As we said, banks require collateral before granting a mortgage. In the case of the mortgage, the loan holder puts guarantee (mortgage) the building itself, which will be the lender in case of default. In addition to the mortgage offered as a personal loan, your personal guarantee.

Why it is called mortgage loans?

rate mortgages lending credit institution is called has a special guarantee for the recovery of the amount borrowed: a mortgage on a property (a house, usually) that is usually owned by the debtor client. All loans are as generic guarantee the present and future assets of the debtor.