Mortgage!

One day little Johnny went to his father, and asked him if he could buy him a $200 bicycle for his birthday. Johnny's father said, "Johnny, we have a $80,000 mortgage on the house, and you want me to buy you a bicycle? Wait until Christmas."

Christmas came around, and Johnny asked again. The father said, "Well, the mortgage is still extremely high, sorry about that. Ask me again some other time."

Well, about two days later, the boy was seen walking out of the house with all his belongings in a suitcase. The father asked him why he was leaving. The boy said,"Yesterday I was walking past your room, and I heard you say that you were pulling out, and mommy said that you should wait because she was coming too, and DAMN if I'll get stuck with an $80,000 mortgage!"

Mortgage

Acquisition of property

Gift · Adverse possession · Deed

Lost, mislaid, and abandoned property

Alienation · Bailment · License

Estates in land

Allodial title · Fee simple

Life estate · Fee tail · Future interest

Concurrent estate · Leasehold estate

Condominiums

Conveyancing of interests in land

Bona fide purchaser · Torrens title

Estoppel by deed · Quitclaim deed

Mortgage · Equitable conversion

Action to quiet title

Limiting control over future use

Restraint on alienation

Rule against perpetuities

Rule in Shelley's Case

Doctrine of worthier title

Nonpossessory interest in land

Easement · Profit

Covenant running with the land

Equitable servitude

Mortgage Participants and variant terminology

Legal systems tend to share certain concepts but vary in the terminology and jargon used.

In general terms the main participants in a mortgage are:

Mortgage Creditor

The creditor has legal rights to the debt or other obligation secured by the mortgage. That debt is often the obligation to repay the loan by the creditor (or its predecessor lender) who provided the purchase money to acquire the property mortgaged. Typically, creditors are banks, insurers or other financial institutions who make loans available for the purpose of real estate purchase.

A creditor is sometimes referred to as the mortgagee or lender.

Mortgage Debtor

The debtor is the person or entity who owes the obligation secured by the mortgage, and may be multiple parties. Generally, the debtor must meet the conditions of the underlying loan or other obligation and the conditions of the mortgage. Otherwise, the debtor usually run the risk of foreclosure of the mortgage by the creditor to recover the debt. Typically the debtors will be the individual home-owners, landlords or businesses who are purchasing their property by way of a loan.

A debtor is sometimes referred to as the mortgagor, borrower, or obligor.

Mortgage Other participants

Due to the complicated legal exchange, or conveyance, of the property, one or both of the main participants are likely to require legal representation. The terminology varies with legal jurisdiction; see lawyer, solicitor and conveyancer.

Because of the complex nature of many markets the debtor may approach a mortgage broker or financial adviser to help them source an appropriate creditor typically by finding the most competitive loan. Recently, many US consumers (particularly higher income borrowers) are choosing to work with Certified Mortgage Planners, industry experts that work closely with Certified Financial Planners to align the home finance position(s) of homeowners with their larger financial portfolio(s).

The debt is sometimes referred to as the hypothecation, which may make use of the services of a hypothecary to assist in the hypothecation.

In addition to borrowers, lenders, government sponsored agencies, private agencies; there is also a fifth class of participants who are the source of funds - the Life Insurers, Pension Funds, etc.