You don’t usually pay cash when you buy a home (good for me, I bought the land and build my house in cash). It’s because not everybody could afford to buy a house. Instead you borrow or get a loan from institutions called mortgage lenders. The institutions I’m referring include banks, credit unions, or a private company that lends money to buy land, houses and other real estate. Then you make payments on this loan every month for 15 – 30 years. This is the basic of buying a house.
