{"ok":true,"canonical_url":"https://dealroom.so/glossary/real-estate-mortgages","api_url":"https://dealroom.so/api/public/glossary/real-estate-mortgages","data_freshness":{"sba_records_through":"2026-05-31","fdic_records_through":"2026-03-31","dealroom_last_updated":"2026-06-15","timezone":"America/Chicago"},"source_summary":["Public SBA 7(a) loan records","FDIC institution data","DealRoom lender and franchise enrichment"],"term":{"slug":"real-estate-mortgages","term":"Real estate mortgages","group":"Doing the deal","definition":"A mortgage is a legal agreement where a lender uses real property as collateral for a loan. If the business owns real estate, your SBA loan will likely be secured by a first lien on that property.","what_it_means":"For an acquisition involving real estate, the SBA lender will take a first lien position on that property through a mortgage. You must ensure any existing seller mortgages are paid off and released at closing, allowing your lender to perfect their new security interest.","url":"https://dealroom.so/glossary/real-estate-mortgages","official_sources":[{"slug":"sop-50-10","title":"SOP 50 10 — Lender and Development Company Loan Programs","official_url":"https://www.sba.gov/document/sop-50-10-lender-development-company-loan-programs","official_label":"View on SBA.gov","authority_tier":2,"publisher":"U.S. Small Business Administration","source_guide_url":"https://dealroom.so/sba-7a/sources/sop-50-10"}],"related":[{"slug":"mortgage","term":"Mortgage","url":"https://dealroom.so/glossary/mortgage"},{"slug":"lien","term":"Lien","url":"https://dealroom.so/glossary/lien"},{"slug":"collateral","term":"Collateral","url":"https://dealroom.so/glossary/collateral"},{"slug":"first-lien","term":"First lien","url":"https://dealroom.so/glossary/first-lien"}],"related_questions":[{"question":"What is the difference in repayment terms between real estate and non-real estate loans?","url":"https://dealroom.so/sba-loans/basics/what-is-the-difference-in-repayment-terms-between-real-estate-and-non-real-estate-loans"},{"question":"If the business owns real estate, must the buyer also purchase the real estate with the business?","url":"https://dealroom.so/sba-7a/questions/if-the-business-owns-real-estate-must-the-buyer-also-purchase-the-real-estate-with-the-bus"},{"question":"If I'm buying a business with real estate, can I get a longer term if the real estate is a significant portion?","url":"https://dealroom.so/sba-7a/questions/if-i-m-buying-a-business-with-real-estate-can-i-get-a-longer-term-if-the-real-estate-is-a-"},{"question":"When is personal real estate typically required as additional collateral?","url":"https://dealroom.so/sba-7a/questions/when-is-personal-real-estate-typically-required-as-additional-collateral"},{"question":"What environmental due diligence is mandatory for real estate collateral?","url":"https://dealroom.so/sba-7a/questions/what-environmental-due-diligence-is-mandatory-for-real-estate-collateral"},{"question":"What if the business real estate is owned separately by the seller?","url":"https://dealroom.so/sba-7a/questions/what-if-the-business-real-estate-is-owned-separately-by-the-seller"}]},"caveats":["Definitions represent DealRoom's plain-English interpretation for buyers; verify regulatory terms against the official SBA and eCFR sources listed.","Not legal, tax, or financial advice, and not an SBA eligibility determination."],"citation":{"label":"DealRoom.so Glossary — Real estate mortgages","url":"https://dealroom.so/glossary/real-estate-mortgages","source_type":"DealRoom Data"}}