what is the meaninng of

Welcome Smith.

You may wish to buy a new home but cannot go for a cash purchase. This is where you need a mortgage loan to finance your home purchase. A mortgage loan is taken out against the home you're buying, that is, the home is kept as security for the repayment of your debt. In case you are unable to pay off the loan, you may have to lose your home as the lender may take it away from you in order to get back his money.

smith

are you thinking of getting a mortgage?

Hi Smith,

Welcome to Mortgagefit forum.

You should go through the "Knowing the basics of mortgage" section of Mortgage Guide. After reading the pages in this section you will develop a better understanding about mortgages.

Colin

The lender provides you with a loan which equals a certain percentage of the value of your house. He is assured that he will be able to recover his money by selling the house in case you do not repay the loan within the agreed time period. A contract is made between you and the lender that in case you do not repay the loan he will have the right to foreclose and recover his balance loan amount by selling the house. Cauldwell