American mortgage market

The American mortgage market involves lending institutions providing loans for individuals to buy homes, using the property as collateral. Borrowers agree to repay the loan through regular payments over time, typically 15 or 30 years. Mortgages can be fixed-rate, with consistent payments, or adjustable-rate, changing periodically. The market is influenced by interest rates, economic conditions, and government programs that promote homeownership. Mortgage-backed securities—bundled loans sold to investors—help lenders free up capital and provide liquidity. Overall, it’s a vital system enabling many Americans to finance homeownership while balancing risk and investment for lenders and investors.