BizSugar.com › Finance › Things you should know about second Mortgage Loan

The term Second Mortgage loan is a confusing term to many. You understand and are habituated with the term mortgage loan very much. That is the loan you took during developing your house. but what is this one then?

Do not mix up the two things – this is not a loan that you are taking for your house development, rather is a similar loan, where you are taking a loan using your house, but not for the purpose of your house building. Hence it is a general loan that uses your house as a mortgage or a guarantee for your loan repayment but has no direct connection with your house building.