Basics of Home Mortgage
When buying a house and a lot these days we usually look for financing options to materialize our dreams of owning our dwelling place. Home mortgage is usually the commonly use setup. Basically speaking, home mortgage is actually getting a loan from the bank with the housing unit or real property you are buying that will serve as the collateral to the bank.
A mortgage note will be issued that will prove the existence of a loan and the real property will be in encumbrance to secure the loan. Encumbrance means in layman’s term that you cannot conduct any other transaction of the real property that is still presently mortgage like selling it or getting another loan from another bank. In Cagayan de Oro City most housing developments such as in Pueblo de Oro Township and other areas most real property are acquired thru home mortgage.
Another situation that home mortgage can be use is if you have an already existing real property that is free from encumbrance and you need extra money to expand your home or for renovation purposes, you can avail of a mortgage loan from a bank to realize your plans. A home mortgage can really be a helpful system to acquire your dream house and pay it over a long term which you can afford.