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Mortgage Agreement Participants
As with any other financial deal, the main participants in a mortgage contract are the two parties that the agreement is between.
In the case of morgages, one party that is always involved is the buyer of a piece of property. This is generally an individual, business, or corporation, which wants to buy a property, but doesn't have the means to completely pay for it right away.
The other major participant is the creditor, or the party who lends money to the property buyer. In most cases, the creditor is a bank or financial institution, although private mortgages certainly aren't unheard of.
Morgage rates must be agreed upon by both the creditor and the debitor (buyer). They can vary on a case-by-case basis, but usually follow a common market average or benchmark.
Other parties in a mortgage contract could include lawyers, mortgage brokers, and financial advisors. These additional parties help to establish morgage quotes prior to the signing of a contract, and then ensure that the entire transaction is handled smoothly and fairly.
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Jeremy Maddock is the webmaster of FinanceFacts.info, a useful source of finance articles.
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