Mortgage

A mortgage is a type of loan used to purchase houses.

Mortgages usually require a down payment, an initial sum of money given to the lender by the homebuyer. The average down payment for a house amounted to 6% of a home's value [1]. After the downpayment, homeowners pay the remainder of the mortgage plus any interest accrued in regular installments for no more than a fixed period of time, usually 30 years.