Mortgage
- also known as "liens against property" or "claims on property
- Residential mortgage
- Mortgages are used by individuals and businesses to make large real estate purchases without paying the entire purchase price up front
- A homebuyer pledges their house to the bank or other type of lender, which has a claim on the house should the homebuyer default on paying the mortgage.
- In the case of a foreclosure, the lender may evict the home's tenants and sell the house, using the income from the sale to clear the mortgage debt.
- Mortgages come in many forms.
- The most popular mortgages are a 30-year fixed and a 15-year fixed.
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