Mortgagee

What is a mortgagee? 

A mortgagee is the lender who provides a loan to someone to purchase a property. They have a legal interest in the property until the loan is fully repaid. 

What rights does a mortgagee have? 

The mortgagee, typically the lender, has several rights in a mortgage agreement including: Right to take possession: if the borrower fails to repay the loan according to the agreed terms, the mortgagee has the right to take possession of the property. Right to sell the property: after taking possession, the mortgagee can sell the property to recover the outstanding debt owed by the borrower. Right to receive payments: the mortgagee has the right to receive regular payments of principal and interest from the borrower as specified in the mortgage agreement. 

Is a mortgagee always a bank?

A mortgagee is not always a bank. While banks are common mortgagees, other types of lenders or financial institutions can also act as mortgagees. Private lenders, credit unions, and mortgage companies are examples of entities that can hold the mortgagee position in a mortgage agreement.