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Mortgage
A loan secured by the collateral of some specified real estate property which obliges the borrower to make a predetermined series of payments. The New York Times Financial Glossary

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I. mortgage mort‧gage 1 [ˈmɔːgɪdʒ ǁ ˈmɔːr-] noun [countable] FINANCE BANKING PROPERTY
a legal arrangement where you borrow money from a financial institution in order to buy land or a house, and you pay back the money over a period of years. If you do not make your regular payments, the lender normally has the right to take the property and sell it in order to get back their money:

• He arranged a 30-year mortgage at 7% for the five-bedroom house.

• They took out a $100,000 mortgage (= obtained one ) to pay for the property.

• He recently paid off his mortgage (= paid back all the money borrowed ) because he fears that interest rates will rise.

adˌjustable-rate ˈmortgage abbreviation ARM FINANCE BANKING
a mortgage where the interest rate on the loan changes over time, following the general level of interest rates
baˈlloon ˌmortgage FINANCE BANKING
in the US, a mortgage where the borrower repays only the interest on the loan for the period of the loan, and then repays the principal (= the amount originally borrowed) at the end of the period of time
ˌcapped-rate ˈmortgage FINANCE BANKING
a mortgage in which the interest rate can change, but cannot go above a certain value that is fixed at the time when the loan is taken out
diˌrect-reˈduction ˌmortgage FINANCE BANKING
a mortgage in which part of the interest and part of the amount borrowed is paid off with each payment
enˈdowment ˌmortgage FINANCE INSURANCE
a mortgage where the borrower pays only the interest on the loan, and repays the loan itself in one payment at the end of the period of the loan with a sum built up in a life insurance policy. If the borrower dies during the period of the loan, the life insurance policy can be used to pay off the whole loan:

• An endowment mortgage gives life cover automatically, whereas repayment loans need separate cover.

ˌequitable ˈmortgage FINANCE LAW
in Britain, a mortgage that does not give the lender complete control of the property if the loan is not repaid. The lender has to use the legal system to get control of the property
ˌfirst ˈmortgage FINANCE
lenders that have the first mortgage on property are the first ones to be repaid if the borrower default S (= fails to make repayments on the loan):

• They hold first mortgages on all his properties.

ˌfixed-rate ˈmortgage FINANCE BANKING
a mortgage where the interest rate on the loan is fixed when the loan is taken out and does not change over the period of the loan
ˌlegal ˈmortgage FINANCE LAW
in Britain, a mortgage where the lender gets control of the property if the loan is not repaid, as the property is used as security on the loan:

• The security is by way of specific legal mortgage or charge on the company's land.

reˈpayment ˌmortgage FINANCE BANKING
in Britain, a mortgage where the loan is repaid in the normal way, without using an endowment to pay off the loan
ˌsecond ˈmortgage FINANCE BANKING
an additional mortgage that a borrower takes out on a particular property, as a way to obtain money; = HOME EQUITY LOAN AmE; , remortgage Ame:

• Some small retailers finance their expansion plans by taking out second mortgages on their homes.

ˌvariable-rate ˈmortgage FINANCE BANKING
another name for Adjustable Rate Mortgage
  [m0] II. mortgage mortgage 2 verb [transitive]
1. FINANCE to give a financial institution the right to own your house, property, or land if you do not pay back the money they lent you within the agreed time:

• They mortgaged their home for $65,000 to a life insurance company and gave the cash to their children.

2. be mortgaged to the hilt to have a very large mortgage in relation to the value of the property you own

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Ⅰ.
mortgage UK US /ˈmɔːgɪdʒ/ noun [C] FINANCE, PROPERTY
a legal agreement to borrow money from a bank or other financial organization, especially to buy a house or other property, or the amount of money borrowed: apply for/take out/get a mortgage »

You take out a mortgage on your home at a fixed rate of interest.

pay/pay off/repay a mortgage »

A large part of the money will be used to pay off a mortgage.

mortgage payment/repayment »

Once the interest rate rises, they won't be able to afford their monthly mortgage payments.

mortgage arrears/defaults »

Increases in unemployment will lead to a rise in mortgage arrears.

»

a 15/25/30-year mortgage

See also ADJUSTABLE RATE MORTGAGE(Cf. ↑adjustable rate mortgage), BALLOON MORTGAGE(Cf. ↑balloon mortgage), DIRECT-REDUCTION MORTGAGE(Cf. ↑direct-reduction mortgage), ENDOWMENT MORTGAGE(Cf. ↑endowment mortgage), EQUITABLE MORTGAGE(Cf. ↑equitable mortgage), FIRST MORTGAGE(Cf. ↑first mortgage), LEGAL MORTGAGE(Cf. ↑legal mortgage), REPAYMENT MORTGAGE(Cf. ↑repayment mortgage), VARIABLE RATE MORTGAGE(Cf. ↑variable rate mortgage)
Ⅱ.
mortgage UK US /ˈmɔːɡɪdʒ/ verb [T] FINANCE, PROPERTY
to borrow money using property as security (= an asset that will belong to the lender if the borrower does not pay back the loan): mortgage sth to do sth »

He mortgaged his home to help finance the project.

»

The company mortgaged its assets to secure a $23 billion credit line.


Financial and business terms. 2012.