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A home mortgage is a loan given by a bank, mortgage company or other financial institution for the purchase of a residence—either a primary residence, a secondary residence, or an investment residence—in contrast to a piece of commercial or industrial property.

In a home mortgage, the owner of the property (the borrower) transfers the title to the lender on the condition that the title will be transferred back to the owner once the final loan payment has been made and other terms of the mortgage have been met.

Mortgage loans are financial agreements that facilitate property ownership by allowing individuals to borrow funds from a lender. Secured by the purchased property, these loans typically involve fixed or adjustable interest rates and structured repayment plans.

The amount one can borrow hinges on factors like creditworthiness and property valuation. Mortgage loans are a cornerstone in making homeownership achievable for many, providing an avenue for individuals to spread the cost of a property over an extended period while building equity in their homes.