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.

Tuesday, August 26, 2008

Record declining prices in the housing market still affect the U.S.

The housing prices have registered a record decline in June, reaching now 15.9% over a year, according to the S & P / Case-Shiller, measuring prices in the 20 largest U.S. cities published Tuesday.

This is the 18th consecutive month of decline for this index.

The price index in the 10 largest cities in the country has declined even more, dropping 17% in one year. This is also a record decline. However, the pace of decline has a tendency to slow down.
In just one month, the decline has reached 0.5% in the 20 largest cities in June and 0.6% in the 10 largest.

"Even if there is no new trend nationally in housing prices, we may see the beginnings of a recovery in some areas which resulted in a moderation of lower prices, "said David Blitzer, chairman of the committee issuing the index at S & P.

Thus eight cities have managed to show an increase over the previous month in May.

For the third consecutive month, prices have fallen (over one year) in all cities under review, and the decline exceeded 20% in several of them: Las Vegas, Los Angeles, Miami, Phoenix, San Diego, San Francisco and Tampa.