Mortgages are divided into two basic groups, namely purpose-built and non-purpose-built mortgages. In both of these types of mortgages, the loan is granted against a mortgage on the property. Most often, people arrange a purpose mortgage, where they tell the bank in advance how the funds will be used. This may be, for example, a mortgage for the purchase of an apartment, house or land, construction, reconstruction or extension of the property, settlement of the matrimonial property in the event of divorce, payment of heirs, etc. With the help of a mortgage, it is also possible to finance properties intended for recreation (cottages, chalets).

Characteristics of a non-purpose mortgage
The bank also offers non-purpose mortgages, where you do not have to specify how the money will be used. A typical example of a non-purpose mortgage loan is the so-called American mortgage, which you can use to finance, for example, home furnishings, children’s studies abroad or starting a business
When a pre-mortgage loan helps
If you are thinking of buying a property that cannot be pledged to the bank, typically a cooperative apartment that is planned to be transferred to personal ownership, you can also use a pre-mortgage loan. Once you have pledged the property you are buying to the bank, you will receive a normal purpose mortgage.