Buying a house is really a top priority for every family. Many families will consider what kind of house to buy when buying a house, commercial housing, mortgage housing, school district housing, degree housing or mortgage housing. The names of various houses are confusing, but based on the current high housing prices, friends who buy mortgage houses still account for the main crowd. What is the difference between a loan and a mortgage when buying a house?

Most people's loans are commercial loans, but the interest rate is higher than that of mortgage loans, and the cycle is short. Because these two kinds of loans have different purposes. Let's look at the difference between the two:

(1) Commercial loan is a way for buyers to borrow money from banks. Generally speaking, you use the house you bought as collateral, sign a commercial contract with the bank, take the way of not transferring ownership as a guarantee, and repay the loan to the bank on schedule. This kind of loan must pay interest. You have to pay off the principal and interest to the bank according to the contract, and then get back the mortgaged house ownership certificate and land use certificate. In other words, the ownership of the house is not yours until you pay off the loan. In case of default, the bank has the right to dispose of the house.

(2) Mortgage is now like installment payment. You can get ownership of the house by installment. As long as you pay all the money, the house is yours. However, mortgage transactions will involve three kinds of debt relationships, one is the buyer, the other is the seller, and the third is the bank. The process is that the bank signs relevant contracts with the seller, paying part of the expenses in advance, and then the buyer signs a mortgage contract with the bank based on this contract, and the bank pays the rest of the house price to the seller, while the buyer only needs to pay the bank regularly until it is paid off, and the mortgage process is over.

(3) Commercial loans are also mortgage loans, and loans must have land use certificates and house ownership certificates. The basic procedure is that the buyer obtains the property right certificate first, and then handles other property rights certificates, and holds other property rights certificates as collateral.

(4) Mortgaging under the condition that the buyer has not obtained the property right certificate. Generally, his property right certificate is used as mortgage guarantee first. After paying off the purchase price, the real estate development unit will transfer the property right to the mortgage beneficiary, and all property rights certificates will be held by the mortgagor.

Bottom line: mortgage is actually mortgaged with the house you bought, while commercial loan is mortgaged with the house you already have.