Are mortgage and loan the same?

What’s The Difference Between A Loan And A Mortgage? The term “loan” can be used to describe any financial transaction where one party receives a lump sum and agrees to pay the money back. A mortgage is a type of loan that’s used to finance property. A mortgage is a type of loan, but not all loans are mortgages.

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Regarding this, can the mortgagor sell the mortgaged property?

That the MORTGAGORS shall not sell, dispose of, mortgage, nor in any other manner encumber the real property/properties subject of this mortgage without the prior consent of the MORTGAGEE (Deed and Amendment of Real Estate Mortgage).

Beside this, is a mortgage a charge? The terms ‘mortgage’ and ‘charge’ are often used as though they are interchangeable. Strictly speaking, they are not. Both are security for the payment of a debt or other obligation.

One may also ask, is a mortgage a personal loan?

A personal loan is a loan from a bank or other lender which is not secured against an asset. … A mortgage is a loan used to buy property or land. Unlike personal loans, a mortgage is secured against the perceived value of the property until the loan is repaid in full.

Which is cheaper mortgage or loan?

Even including the arrangement fees, a mortgage is still likely to be cheaper than taking out a personal loan. However, to be absolutely certain of which would give you the better deal you need to compare the total cost of borrowing – including arrangement fees for the mortgages – of the two types of loan.

Who owns the house in a mortgage?


Why is it called a mortgage and not a loan?

Most of us are accustomed to calling our home loan a mortgage, but that isn’t an accurate definition of the term. A mortgage is not a loan and it is not something that the lender gives you. It is a security instrument that you give to the lender, a document that protects the lender’s interests in your property.

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