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  • What is the difference between a mortgage and a home loan?

    A home loan provides funding to help you upgrade, construct, or buy a residential property.
    Lenders consider the home or the property as the collateral for the loan.
    Mortgage loans on the other hand are loans that are taken against a property collateral, i.e. loan against properties.

  • In simple terms, a mortgage is a type of loan designed to help you buy a house.
    When you apply for a mortgage, you need to put down a percentage of the cost of the property value as a deposit.
    The rest of the money you'll need to buy your new home is covered by a mortgage.

  • What is the simple definition of mortgage?

    A mortgage is an agreement between you and a lender that gives the lender the right to take your property if you fail to repay the money you've borrowed plus interest.
    Mortgage loans are used to buy a home or to borrow money against the value of a home you already own.

  • What is the difference between collateral and mortgage?

    A mortgage is a type of loan that you can use to finance the purchase of a property.
    Collateral is an asset that provides the backing for a loan — any sort of loan.
    You almost always need collateral to get a mortgage and that collateral is almost always the property you're buying with the loan.

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