Pawning refers to the pawnbroker's behavior of mortgaging his movable property and property rights as pawnbrokers or mortgaging his real estate as pawnbrokers, paying a certain percentage of fees, obtaining the pawnbroker, and paying the pawnbroker's interest, repaying the pawnbroker and redeeming the pawnbroker within the agreed period.

Mortgage means that the mortgagor and the creditor conclude an agreement in writing not to transfer the possession of the mortgaged property, and take the property as the guarantee of the creditor's rights. When the debtor fails to perform the debt, the creditor has the right to discount it according to law or give priority to compensation with the price of auction or sale of the property.

2. Different treatment methods

House pawn is a pledge loan. During the period of house pawning, it should be sealed up and placed under the supervision of the pawnshop, and the pawnshop can no longer use the pawned house. Real estate mortgage refers to the behavior that the mortgagor provides the mortgagee with the debt performance guarantee with his legal real estate without transferring possession. During the mortgage period, the house owner does not need to hand over the house, but the transfer of property rights is restricted, and the house is still used by the original property owner.

3. Different evaluation methods.

Housing pawn does not consider the repayment ability of the pawnshop. The premise of the mortgage loan of pawnshop's house is that there is no property right dispute in the pawnshop's house, and it is necessary to seal it up, just to examine the value of the house. The pre-evaluation of real estate mortgage loan is complicated, not only to ensure that there is no property right dispute, but also to examine whether the mortgagor has the repayment ability.

Legal basis: Civil Code of People's Republic of China (PRC).

Article 394 Where the debtor or a third party mortgages the property to the creditor to guarantee the performance of the debt without transferring the property, and the debtor fails to perform the due debt or realize the mortgage right according to the agreement of the parties, the creditor has the right to be paid in priority for the property. The debtor or the third party specified in the preceding paragraph is the mortgagor, the creditor is the mortgagee, and the property that provides guarantee is the mortgaged property.

Article 395 The following properties that the debtor or a third party has the right to dispose of may be mortgaged: (1) Buildings and other land attachments; (2) The right to use construction land; (3) the right to use the sea area; (4) Production equipment, raw materials, semi-finished products and products; (5) Buildings, ships and aircraft under construction; (6) means of transportation; (seven) other property not prohibited by laws and administrative regulations. The mortgagor may mortgage the property listed in the preceding paragraph together.

Article 400 To establish a mortgage, the parties shall conclude a mortgage contract in writing. A mortgage contract generally includes the following clauses: (1) the type and amount of secured creditor's rights; (2) The time limit for the debtor to perform the debt; (3) The name and quantity of the mortgaged property; (4) the scope of the guarantee.

Article 419 During the limitation of action for principal creditor's rights, the mortgagee shall exercise the right of mortgage. If it does not exercise, the people's court will not protect it.