Who is the person that lends money to a real estate purchaser?

In the context of real estate transactions, the person who lends money to a real estate purchaser is referred to as the mortgagee. This term specifically designates the lender in a mortgage agreement, representing the financial institution or individual that extends credit to the borrower for the purpose of purchasing or refinancing property.

To clarify, while the mortgagor is the borrower who is receiving the loan and is responsible for repaying it, the mortgagee holds the mortgage and is thus the entity that provides the funds. This relationship is fundamental in real estate finance, as the mortgagee typically has a legal claim to the property until the loan is fully repaid, ensuring the loan's security.

In this way, the distinction between the terms is crucial: the mortgagee and borrower/mortgagor play different roles, with the mortgagee being the one facilitating the loan. Understanding this relationship helps clarify the roles within real estate transactions and mortgage agreements.