- Mortgage is a loan taken to purchase property and guaranteed by the same property.
An example of a mortgage is the loan you took out when you bought your house.
- To mortgage is when you take a loan and use your property as collateral.
An example of mortgage is when you go to the bank and borrow money against your house.
An application for a mortgage.
mortgage definition by Webster's New World
- the pledging of property to a creditor as security for the payment of a debt
- such a debt
- the deed by which this pledge is made
- the claim of the mortgagee on the property
Origin: Old French morgage, mort gage, literally , dead pledge ; from mort, dead (see mort) plush gage, gage
mortgage definition by American Heritage Dictionary
- A temporary, conditional pledge of property to a creditor as security for performance of an obligation or repayment of a debt.
- A contract or deed specifying the terms of a mortgage.
- The claim of a mortgagee upon mortgaged property.
- To pledge or convey (property) by means of a mortgage.
- To make subject to a claim or risk; pledge against a doubtful outcome: mortgaged their political careers by taking an unpopular stand.
Origin: Middle English morgage, from Old French : mort, dead (from Vulgar Latin *mortus, from Latin mortuus, past participle of morī, to die; see mer- in Indo-European roots) + gage, pledge (of Germanic origin).Word History: The great jurist Sir Edward Coke, who lived from 1552 to 1634, has explained why the term mortgage comes from the Old French words mort, “dead,” and gage, “pledge.” It seemed to him that it had to do with the doubtfulness of whether or not the mortgagor will pay the debt. If the mortgagor does not, then the land pledged to the mortgagee as security for the debt “is taken from him for ever, and so dead to him upon condition, &c. And if he doth pay the money, then the pledge is dead as to the [mortgagee].” This etymology, as understood by 17th-century attorneys, of the Old French term morgage, which we adopted, may well be correct. The term has been in English much longer than the 17th century, being first recorded in Middle English with the form morgage and the figurative sense “pledge” in a work written before 1393.
mortgage - Business Definition
mortgage - Cultural Definition
A legal agreement that creates an interest in real estate between a borrower and a lender. Commonly used to purchase homes, mortgages specify the terms by which the purchaser borrows from the lender (usually a bank or a savings and loan association), using his or her title to the house as security for the unpaid balance of the loan.
mortgage - Investment & Finance Definition
A debt instrument that enables the borrower (mortgagor) to receive funds to purchase real estate. In return, the lender receives a lien on the property as security that the loan will be repaid. The borrower receives access to needed funds and the lender earns interest. The borrower has full use of the property and ownership rights. The lien is removed when the mortgage is paid off in full.
mortgage - Legal Definition
- A grant of a security interest in real property to secure a loan, often for the purchase of the property.
- A loan secured by an interest in real property.
- The paperwork reflecting such a loan and security interest.