Who is referred to as the mortgagee in a mortgage agreement?

In a mortgage agreement, the mortgagee is defined as the lender, which is the entity or individual that provides the funds to the borrower for purchasing or refinancing real property. The mortgagee holds the security interest in the property until the loan is repaid in full. This relationship is established when the borrower signs the mortgage document, which gives the mortgagee the right to foreclose on the property if the borrower defaults on the loan obligations.

Understanding this terminology is crucial for both mortgage professionals and borrowers, as it clarifies the roles and responsibilities of each party involved in the transaction. The borrower, who is the one receiving the loan, is known as the mortgagor, further illustrating the differences in terminology used within these agreements.

The roles of the real estate agent and the appraiser are distinct from those of the lender and borrower. The real estate agent typically assists in the process of buying or selling a home, while the appraiser evaluates the property's value, but neither has a direct financial stake or security interest as the lender does. Thus, the lender is accurately identified as the mortgagee within this contractual context.