A mortgage loan in the United States is a specialized secured legal contract wherein a financial institution, bank, or mortgage lender provides capital to a borrower to purchase real estate, with the property itself serving as collateral. The borrower agrees to repay the principal loan amount plus accumulated interest over a predetermined amortization schedule, typically spanning 15 or 30 years. Regular monthly payments cover principal reduction, interest charges, and often escrow contributions for property taxes and homeowner insurance.