home-loan

Vocabulary Word

Definition

A 'home-loan', also known as a mortgage, is a type of loan where the borrower uses the house they're buying as assurance. If you can't pay back the loan, the bank or lending enterprise can take your house.

Examples in Different Contexts

In real estate planning, a 'home loan' can be strategized as part of a broader investment portfolio, with implications for tax deductions and financial growth. A real estate planner might recommend, 'Leveraging a home loan for property investment can diversify your portfolio and offer potential tax benefits.'

Practice Scenarios

Real Estate

Scenario:

Despite the inflation, the housing market has grown remarkably. It's an excellent time for prospective buyers.

Response:

Absolutely, applying for a home loan now could be a financially sound decision for prospective buyers.

Business

Scenario:

Housing prices are on the rise again. Plus, the interest rates are expected to remain low in the near future.

Response:

Considering the current situation, it's the perfect time for customers to take a home loan.