Even in ancient Greece, you could get loans on bail, for example land. The borrower received money from the creditor fixed rate loan), and so that there was no temptation to get money on the security of the same land plot from other creditors, he was obliged to install a special sign (pillar or stone) on the plot encumbered with a mortgage. This sign informed that the given plot is in pledge, that under its pledge the mortgage loan has already been received.
What is the difference between “mortgage” and “pledge?”
As already mentioned, the mortgage is a pledge. But not every mortgage is a mortgage. The fact is that a mortgage is a pledge that is public in nature. When real estate is mortgaged, the authorities that register transactions, make appropriate notes that the property is encumbered with collateral. Any interested person may request an extract from the State Register of Rights to Immovable Property and transactions with it. In this statement, if the property is mortgaged, it will be indicated that there is an encumbrance: a pledge.
Do you think that a mortgage is only money to buy an apartment? This is far from the case. The concept of a mortgage is much broader than you think. Compari.ru knows how to save on this fixed rate loan Mortgage is money that you borrow from a bank on the security of real estate. In general, a mortgage loan is issued for the purchase of an apartment or a house. However, there is the possibility of issuing a loan for other needs – to pay for any goods and services.
The concept of “mortgage” arose in ancient Greece (presumably in the VI century BC). This term was called a column with information about the pledge of the plot, standing on the land of the debtor. Literally, “mortgage” is translated into Russian as a “stand”. Also, the pledge of real estate to secure obligations was applied in ancient Egypt. Today it is considered a mortgage to consider a loan issued by a bank on the security of real estate (apartment, house, land, garage, etc.).
Many believe that a mortgage loan is issued only for the purchase of an apartment or a house. It happens in most cases. However, this type of loan can be issued for any other purposes: buying various luxury goods, paying for training, buying a car, paying for medical treatment, etc. You can leave the bank as collateral for any real estate – this is considered a mortgage.
Mortgage can be issued for a period of several months to 30 years. Typically, for this type of fixed rate loan banks offer the lowest interest. To apply for a loan, you will need to have a high level of income, so that no more than 40% of your wages go to repay the debt. The probability of denying a mortgage to people with a negative credit history is high.
Everyone has his own mortgage
The state together with banks supports separate categories of citizens so that they can afford to purchase their own housing. A lending program for young families and the military has been developed, and a “reverse mortgage” for pensioners is beginning to develop, less often a person who does not have Russian citizenship can formalize a loan.
You can learn more about this type of fixed rate loan from the Mortgage Guide .