Illinois Real Estate Practice Exam

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Prepare for the Illinois Real Estate Test. Practice with flashcards and multiple choice questions, each question has hints and explanations. Get ready for your exam!

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Which party is known as the Mortgagor in a real estate deal?

Lender
Mortgagor
Buyer
Grantor

The correct answer is: Buyer

The mortgagor in a real estate deal is typically the party that borrows money to purchase property, and this role is most accurately aligned with the buyer in the transaction. The buyer takes out a mortgage loan from a lender and pledges the property as collateral for the debt. In mortgage terminology, the buyer becomes the mortgagor because they are the one who is granting a mortgage lien on the property to secure their obligation to repay the loan. In contrast, the lender is known as the mortgagee, as they provide the loan to the mortgagor. The grantor typically refers to the party that conveys or transfers property rights, and may not necessarily align with mortgage scenarios. Understanding these distinctions is crucial for anyone involved in real estate transactions, as it helps clarify the roles and responsibilities of each party.