finance
package mortgage
A package mortgage is a loan secured by both real property and personal property included in the sale, such as appliances, furniture, or equipment. It is common in sales of furnished condominiums, vacation homes, and some new construction where items like refrigerators and washers are financed as part of the purchase. The personal property becomes part of the collateral.
- Exam tip
- Package equals real plus personal property. Blanket equals multiple parcels of real property. Wraparound equals a new loan that includes an existing loan.
- Example
- A buyer finances a furnished beach condo with one loan covering the unit plus its furniture and appliances, a package mortgage.
Related terms & state variants
Sources
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Last verified: 2026-10-23