According to American Heritage Dictionary via dictionary.com a mortgage is “A temporary, conditional pledge of property to a creditor as security for performance of an obligation or repayment of a debt.” Also the word can be used as verb. The definition then becoming “put up as security or collateral.” A mortgage is a way for an individual (in the case of a home or real estate) to purchase the land without having to pay in full up front. A mortgage works by allowing a creditor, which is a bank or investment institution, to make a loan for the purchase of real estate. The debitor or real estate purchaser must meet the mortgage conditions (conditions of the loan) to avoid the creditor enacting the provisions of the loan (bank is going to take the real estate to make back their money). Due to the high amount of legal issues normally a third party is brought in, mortgage lawyer etc. to ensure that the mortgage is a competitive loan and that both sides are seeking a fair solution.