Why do home owners have to pay mortgage ?

Question

If you own the house would you still have to pay mortgage ? If so why ?

Answer 1

The owner owns the home, but if they couldn’t buy it with cash, they borrowed the money from a lender.  That lender has to be paid. The lender doesn’t own the home unless the owner fails to pay their mortgage, and then there’s a legal process for them to take ownership.

The exact same process occurs if you buy a car with a loan. Your name is on the title, but you still have to make payments on the loan.  

Answer 2

no if no mortgage is owed all you must pay is taxes

Answer 3

Because most borrower's can't pay cash for the home.  Do you have $500,000 in the bank to pay for a $500,000 home?  If not, then you need to pay a mortgage payment. The bank is loaning you the money to own the house.  Same as a car, only bigger.

Answer 4

When you buy a house, you do not usually pay cash.  Paying cash for an expensive item like a house is outside of most people's budget.  You buy a house with a mortgage.  The bank is the lending institution that holds the rights to the house until it is payed off.  If you pay off a house, either over time or with a big wad of cash at the time of sale, you do not owe anyone anything on a mortgage, but you do still owe taxes and insurance on your property.  A lot of people say, "we own our home" as a short cut to meaning "we are buying it on a mortgage".