Easy, right? It’s a loan for your house. Well, not quite. While most people think of a mortgage as the money you borrow to buy a home, that’s technically not correct. A mortgage is a document you give a lender that essentially says the lender has the right to use your home as collateral in the event you don’t repay the loan. As such, once the loan is paid in full, the mortgage vanishes, and you own your home outright.