What is the difference between a deed and a mortgage?

A deed is a document that transfers title or ownership of real estate from one person or entity to another. It must be recorded in the public records of the county where the property is located. A deed must contain the legal description of the property, and the names of the seller and the buyer. A mortgage is a loan that is secured by real estate. When a property is purchased, the buyer does not pay the entire purchase price at once. Instead, the buyer pays the seller a down payment, and then the buyer obtains a loan to pay the balance of the price. The lender takes a lien on the property as security for the loan; this lien is called the mortgage. The mortgage is a document that must be recorded in the county records, and it states that the lender has a right to the property if the buyer fails to pay back the loan. The main difference between a deed and a mortgage is that a deed transfers title or ownership of a property from one person or entity to another, while a mortgage is a loan that is secured by real estate. In other words, the deed establishes who owns the property, while the mortgage establishes who has the right to the property if the loan is not paid back.

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