"Mtge" is an abbreviation commonly used to refer to the word "mortgage". A mortgage is a financial agreement or contract that allows an individual or entity to borrow money from a lender (typically a bank or financial institution) to purchase a property, usually real estate. The borrower, often referred to as the mortgagor, enters into a legally binding agreement with the lender, known as the mortgagee, outlining the terms and conditions of the loan.
The key components of a mortgage include the loan amount, interest rate, and repayment schedule. The property being purchased is typically used as collateral for the loan, meaning that if the borrower fails to make the agreed-upon mortgage payments, the lender has the right to take possession of the property through a process known as foreclosure.
Mortgages are typically long-term loans, with repayment periods that can range from 15 to 30 years. The interest rate on a mortgage can either be fixed or adjustable, with fixed-rate mortgages maintaining a consistent interest rate throughout the loan term, while adjustable-rate mortgages may change over time based on prevailing market conditions.
In summary, "mtge" is a shorthand term for mortgage, which is a loan agreement that allows individuals or entities to purchase property by borrowing money from a lender, with the property serving as collateral.
