Mortgage, loan and property. What is a mortgage?

A mortgage is putting a property as a guarantee to a lender as a security for a mortgage loan.

While a mortgage in itself is not a liability or a dept, it is evidence of a debt. It is a transfer of an interest in property, from the owner to the mortgage lender, on the condition that this interest will be returned to the owner of the property when the terms of the mortgage have been satisfied or concluded.

In other words, the mortgage is a guarantee for the loan that the lender makes to the borrower. In all but a very few states, a mortgage creates a lien on the title to the mortgaged property.

Friday, June 13, 2008

U.S. inflation: fuelled by gasoline prices

Consumer prices have accelerated in May in the U.S., rising by 0.6% compared to April, due to the surge in energy prices.

Meanwhile, the index of the core consumer prices (excluding food and energy) “increased by 0.2%,” said the Department of Labor on Friday.

The rise in consumer prices is higher than analysts' expectations, which was forecasted at over 0.5% for the overall index and 0.2% for the core index.

The changes observed in May were the highest since November for the overall index, and since March for the core index.

On a year, consumer prices rose by 4.2% in May and the core index by 2.3%.

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