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What are they for?

The main purpose of a mortgage loan is usually the purchase of a home (real property), though they can also be used to finance building, enlargement and refurbishment works.

 

The real property may be a main residence, as happens in most cases, or a second home, or it might have business uses, such as offices or shops. The financing can also be used to purchase land, real estate developments, etc.

 

Mortgage loans are sometimes granted for other purposes, such as increasing the borrower's access to money for the purchase of consumer goods or the restructuring of outstanding debts of other previous loans into a single loan.

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