What does property law enable lenders to do if a borrower fails to repay a mortgage?

Property law provides the framework for lenders to take legal action in response to a borrower’s default on a mortgage. Specifically, if a borrower fails to repay the mortgage, the lender has the right to enforce the terms of the mortgage agreement, which can include initiating foreclosure proceedings. This process allows the lender to reclaim the property that was used as collateral for the loan in order to recover the owed amount.

The enforcement capability hinges on the legal rights established in the mortgage contract and property law, which stipulates the obligations of both parties. By utilizing the courts, lenders can formally seek remedies as defined in the mortgage agreement. This legal recourse ensures that lenders can protect their financial interests and return to a position where they can mitigate losses incurred by a borrower’s default.

The other options, while they may address different aspects of debt management, do not accurately reflect what property law specifically enables lenders to do in the event of mortgage default.