What is a default on a mortgage?

If you don't pay your mortgage on time or if your payment is for less than the amount that's due, you're in default on your loan. The consequences of default can be costly. The Federal Trade Commission (FTC), the nation's consumer protection agency, says it's important to understand the costs of default. read more

If you can't pay your mortgage or cut a deal with your lender, eventually you'll go into default. You're officially in default on your home when you haven't made a mortgage payment in 90 days. Default is an official legal status, and as such, your lender must file a notice of default with the courts. read more

A mortgage default is a situation in which someone is not making payments on his or her mortgage, and the loan is considered to be “in default,” meaning that the agency which holds the note can choose to take over the property. read more

As a homeowner, mortgage loan default is a nightmare scenario. The mortgage default may have been the result of an untimely death in the family, hospitalization or job layoff. As a real estate investor, your default risks run higher amid an economic downturn that adversely affects your ability to collect rental income. read more