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.

Wednesday, September 3, 2008

July: Construction spending went down in the U.S

The construction costs the U.S. in July fell by 0.6% over the previous month, after increasing by 0.3% in June, said Tuesday the U.S. Department of Commerce.

Analysts were predicting a decline in these expenditures by 0.4%.

The figures for June were revised upwards; the ministry had initially issued a decrease of 0.4%.

Annualized, spending on construction fell by 4.8% in July.

Spending on private construction fell by 1.4% in July after increasing by 0.2% in June.

As in the previous month, the decline was mainly in the residential sector, down 2.1% in one month, after a lower decline of 1.3% in May.

Spending on non-residential construction in the private sector (hotels, offices, shops, etc.) slowed their progress, rising by 0.2%, against 1.1% in June.

Public expenditures have also increased by 1.4%, after rising by 0.4% in June.

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