Real Estate - Mortgage:Mortgage is the process of borrowing of money from a lender, giving the lender a security of any immovable property for the money borrowed, and allowing the lender to bring the security for sale if the money is not repaid within a stipulated period of time. The repayment term may be Equated Monthly Installments along with interest. In this type of repayment you have to pay the loan amount equally divided by the repayment period of months. You have to pay the interest along with the EMI. Otherwise you have to repay the entire amount of loan on a specified date as mentioned in the agreement. Up to the date of repayment you have to pay the interest by every month / quarter / half early / annually as specified in the agreement. Supposing you mortgage a property for a loan amount of $10,000 at the rate of 6 % interest per annum for a mortgage period of 5 years, you have to pay an amount of $217 as monthly installments including the interest for a period of 5 years. Consult an experienced Real estate law attorney for drafting a mortgage deed or to solve any disputes relating to mortgage of your property is concerned. Finance Company or lender:If you mortgage a property, you approach a finance company that pays money for low interest. Based on the market value of the property the finance company lends you loan. The loan is given in such a way that you have to repay the loan along with interest within the period of time. Some finance company offers a fixed rate of interest, some give discount of interest and some offer nil interest for a particular period. The interest and the amount of money given by the financier vary from one financier to the other financier. You have to be choosy in finding a good finance company. You have to know the terms and conditions of the lender and that will be useful for you in several transactions of the mortgage. Terms on default repayment and pre-closure of loan are some important terms in mortgage. The financier will check your credit report, employment history, income, assets, liabilities, and after verification, the loan will be provided to you. Credit Report:Credit report is the report given by the credit reporting agency with a credit history of the person who mortgages the property. The report says whether the person has any bankruptcies, foreclosures or any credit payments. Mortgage Agreement:You have to make a mortgage agreement with the financier before you mortgage your property. A mortgage agreement is the agreement made between the owner of the property and the money lender for the purpose of mortgaging loan. The agreement shall contain the following:
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