A mortgage is a loan made by a mortgage lender to a borrower. The lender obtains security for the loan through the mortgage, under which the borrower provides the mortgaged property as security for repayment of the loan.
If the borrower defaults on loan payments, the lender has a right to take possession of the property and sell it to repay the outstanding loan.
The mortgage loan takes the form of a contract between the borrower and the lender, which specifies terms and conditions of the mortgage loan, including details of interest payments and principal repayments due.
