Mortgage

Definition: A mortgage is a legal instrument that gives a lender a security interest in real property to secure a debt. In Florida, it creates a lien rather than transferring title or possession to the lender.

Example

Maya borrows $240,000 to buy a home. She signs a note promising repayment and a mortgage securing that promise with the home.

Keep the distinction clear

The note contains the promise to pay; the mortgage provides the security. Owing a mortgage does not make a Florida homeowner the bank’s tenant.

Related terms

Mortgagor · Mortgagee · Promissory Note · Lien

Keep studying

Mortgages: Borrower, Lender, Ownership, and Key Clauses

References: Florida Statutes §697.02 · CFPB guide to closing forms

Pronunciation (US): MOR-gij (capitals show stress)

Pronunciation reference: Merriam-Webster