A mortgage is a type of loan specifically used to purchase real estate, such as a house. When someone takes out a mortgage, they borrow money from a lender, usually a bank or credit union, to buy the property. In return, the borrower agrees to pay back the loan over a set period, typically 15 to 30 years, with interest. The property itself serves as collateral for the loan, meaning if the borrower fails to make payments, the lender can take possession of the property through a process called foreclosure. Mortgages come in various types, including fixed-rate and adjustable-rate, each with different terms and conditions.