A mortgagee is the individual or entity that provides financing for the acquisition of a property and retains a loan on said property as collateral for the debt. They are responsible for disbursing the funds and have the right to foreclose on the estate if the borrower defaults on the payments.

They have a legal interest in the property until the loan is fully paid off. This means that if the borrower fails to make the required payments, the mortgagee has the right to take possession of the estate through a process called foreclosure.

The mortgage holder may require the borrower to obtain property insurance to protect from certain risks, such as fire, theft, or natural disasters. This is because the secured loan wants to ensure that their investment is protected in case of any damage or loss. They may even be listed as an additional insured or loss payee on the policy to receive payment directly in case of a covered claim.