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Mortgage Glossary

Mortgage

Mike Starr·Reviewed August 2026

A mortgage is a loan used to purchase real estate, where the property itself serves as collateral. The borrower agrees to pay back the loan over a set period, typically 15 or 30 years, with interest. If the borrower fails to make payments, the lender can foreclose on the property. The word mortgage comes from a French term meaning "death pledge."