Collateral mortgage, commonly known as "secondary mortgage", refers to the re-mortgage of real estate with market value greater than the balance of mortgage debt, which can not only effectively revitalize the existing assets, but also open the door to "secondary mortgage" of real estate. Housing itself is real estate, not money. Using relevant financial loan policies to revitalize assets is conducive to optimizing assets. Article 417 of the Civil Code: After the right to use the construction land is mortgaged, the newly-built buildings on the land are not mortgaged property. When the right to use the construction land is mortgaged, the new buildings on the land shall be disposed of together with the right to use the construction land. However, the mortgagee has no priority to be compensated. Accessibility of law. Article 9 of the Measures for the Administration of Urban Real Estate Mortgage stipulates that after the same real estate is mortgaged, if the value of the mortgaged real estate is greater than the balance of the secured creditor's rights, it may be mortgaged again, but it shall not exceed the balance. The above legal provisions show that the mortgagor's second mortgage on the balance of mortgaged property is the property right given to the mortgagor by law, and no organization or individual has the right to deprive it. Financial executives related to Tongmei said that legally speaking, whether to allow the mortgagor to handle the secondary mortgage of the balance of real estate is first of all a serious legal issue, involving whether to respect the property rights of the mortgagor and whether to manage it according to law. If the bank makes restrictive clauses on the secondary mortgage in the real estate mortgage contract, or sets preconditions for the secondary mortgage, for example, the secondary mortgage must first obtain the written consent of the mortgagee before it can be handled. They are all overlord clauses without legal basis, which essentially deprive the mortgagor of property rights. Some cities have successfully carried out the practice. Both Ping An Finance and Tongmei Finance can apply for operation.

Legal basis: After the mortgage of the right to use the construction land in Article 417 of the Civil Code, the new buildings on the land are not mortgaged property. When the right to use the construction land is mortgaged, the new buildings on the land shall be disposed of together with the right to use the construction land. However, the mortgagee has no priority to be compensated. Accessibility of law.