What is a first mortgage?

A first mortgage is a type of loan that is secured by a lien on the property being purchased. This loan is typically used to purchase a home in the state of California. A first mortgage is the first loan taken out on a property, and is also referred to as a primary mortgage. This type of loan typically has the highest priority in terms of repayment, so it will be the first loan to be paid off if the borrower defaults on their payments. When a first mortgage is taken out, the lender (usually a bank) will typically require the borrower to put up a certain amount of equity in the form of a down payment. This down payment will be used to offset the amount of money being borrowed, and will usually range between 3%-20%. The remaining loan amount will typically require the borrower to pay back in monthly payments over a set term. The interest rate of the loan will also typically vary between lenders, often depending on the location of the property, the amount of the loan, and the credit score of the borrower. In California, first mortgages are regulated by state and federal law. These laws typically cover issues such as the types of interest rate that a lender can charge and the fees associated with the loan. It is important for any borrower to understand all of the terms associated with a first mortgage before signing any documents.

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What is a first mortgage?

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