Buying home is a type of investment for an investor and it is also essential for all. It is a great investment for a person .Because home provides comfort , security and protection. It is a best investment because the value of home is always appreciated in value of over time.Home is an equity like a reservoir of security
Building or buying a home very expensive .There are a small number of buyers have money who are buying home.So it is easy to buy a home if you take a loan. In latin , there is a cotation Mortgage means " Commitment until death " .Actually mortgage is not a commitment to the time of death , the lender can take the ownership in the home until the home is paid off. As the amount of loan is very much so all the mortgages are in thirteen or fifteen year pay off periods and the lender
The actual base amount that the loan is actually for is called the principle. As the time of payment of mortgage is a long time .So mortgage interest is unique to most people because they are paying more principle than interest . Interest is a fee where the lender charge some amount to a borrower to use their money .
The last point is , If anyone owns a home then or take out a mortgage are required to pay their taxes and if any people has taken a loan then he has to pay insurance .As it is hard to pay all the taxes and insurance at once .So a third party collects all the amount of taxes and insurance in monthly basis and pays the lump sum amount at the right time.
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