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

In the context of a mortgage loan, the term "mortgagee" refers specifically to the person or entity that holds the mortgage. This is typically a lender, such as a bank or financial institution, that provides funds to the borrower, who is then obligated to repay the loan, along with any interest, over a specified period of time.

The mortgage serves as a security interest in the property, meaning that if the borrower fails to make the required payments, the mortgagee has the legal right to foreclose on the property to recover the outstanding debt. This relationship emphasizes the mortgagee's role in financing the purchase of property and maintaining an interest in it until the loan is fully repaid.

Understanding the roles in a mortgage transaction is crucial for anyone involved in real estate, as it clarifies responsibilities and rights. The borrower, while an essential part of the process, is not the mortgagee; rather, they are the mortgagor, as they are the ones who take on the loan. Similarly, the seller of the property and the real estate agent have different roles that do not pertain to the mortgage relationship.