5 Monopoly Mortgage Rules to Help You Win (2022 Guide)

Introduction to the Mortgage Rules of Monopoly

Monopoly is a popular game all across the world. What makes it so much fun is figuring out how to stump your opponents by making smart money moves. One of the ways you can learn to make smarter money moves is by becoming an expert on Monopoly mortgage rules.

This list will answer all of the important questions when it comes to Monopoly mortgage rules within the Monopoly game. It will give you a better idea of how you can work the rules in your favor while playing the game!

As usual, I have poured over the game rules and information to best understand how these rules work so you don’t have to.

Monopoly Mortgage Rules

You may be wondering the purpose of a mortgage in Monopoly. These mortgages put a temporary hold on the space. You maintain ownership of the card and the space, but you can’t build homes or hotels on it. You are also not allowed to charge rent during this time. 

If someone lands on the square you own and are mortgaging, nothing happens. They are free to continue playing the game without any consequences of landing on the space. 

Remember, you cannot mortgage a playing square if you have homes built on it. It must be undeveloped. There are other small rules about mortgages in Monopoly that I will cover later. 

Keep reading to become an expert on the Monopoly mortgage rules and how you can use them to help you win the game every time!

What is a mortgage in Monopoly?

All the properties in monopoly are eligible for a mortgage. Players may choose to mortgage their property within the game if they need a sudden influx of cash. The player who mortgages property retains possession of the property. A mortgage in Monopoly means that the player turns over their property card or deed card, and they receive cash in return. Cash is equivalent to one half the amount of the property’s original purchase price. 

You cannot develop on a mortgaged square. If you want to mortgage a square that you previously developed, you will need to sell the hotels and homes on the space. Just like building homes and hotels, you have to do so evenly. This means that you need to sell hotels on each color block first, then homes one by one. 

For instance, you can not sell off all of the hotels and homes on Park Place but keep them all on Broadway. They must be evenly dissolved. Once all of the colored squares in a group are clear of houses and hotels, you may mortgage the desired space. Keep in mind, you do not have to mortgage every game space in a color group.

Each space has a different mortgage value since each square has a different purchase price. Be aware of the colored squares you buy. If you need to mortgage it in the future, you need to be sure you can pay back that mortgage price. Some of the more expensive spaces can be difficult to mortgage if you are tight on cash. 

How does a mortgage work in Monopoly?

We have covered how you can get the mortgage in the game, but we will now look at how they work. Monopoly mortgages are a tool to get quick cash for players. Once you have cleared the Monopoly properties you own of all development pieces, you are ready to mortgage your space. 

To mortgage the space, turn the title deed card over and collect the mortgage money from the bank. Again, this money is equal to half of the original purchase price of the square. Each card has its mortgage price that is predetermined and written on the card. 

Unlike real life, you can’t mortgage houses or hotels in Monopoly. You can only mortgage the color space that you own. 

To mortgage a space, you have to clear it of homes and hotels. Mortgaging will also increase your cash flow. You will need to sell your homes and hotels back to the bank before mortgaging. In return, you will get half of the purchase price of your homes and hotels back. 

When players land on your space that is mortgaged, they are not subject to pay rent. Instead, they move through it like a free space on the game board. Other unmortgaged properties within that color group can still collect rent as long as they are not mortgaged. 

You can still charge double rent on a property in the same set as long as it is unmortgaged and without homes and hotels. 

How often do you pay mortgage in Monopoly?

You only pay the mortgage price one time in the game of Monopoly. Wouldn’t it be nice to only pay a mortgage once in life! After paying the mortgage price, you will need to lift the mortgage later on if you want to continue making money. 

You should try to lift the mortgage on your Monopoly square as quickly as possible to raise your potential capital level. While you mortgage your space, you cannot build on it, nor can you charge rent. You are simply losing money while doing this. Once you have enough money to lift the mortgage on your colored square, you should.

What is mortgage and unmortgage in Monopoly?

We have thoroughly covered the ins and outs of mortgaging your property in the game, but what about how to lift the mortgage? 

You can lift the mortgage of a property in the game. You should try to do so as quickly as possible to get back on track with your cash flow. As soon as you have enough money to lift the mortgage on your space, you must pay the bank back the mortgage value plus 10 percent interest. 

What does it mean to mortgage property?

Mortgaging property means that you have gotten money from the bank in exchange for the title deed card. It also places you on a temporary hold from collecting any cash from other players as it relates to the square, like rent. 

It also means that you will need to pay the bank back the mortgage price plus 10 percent interest. Mortgaging is an option for players who need money. Since it is prohibited for players to loan and borrow money from each other, mortgaging the space is the only way a player can receive cash on a loan basis within the game. 

Beyond needing to pay the bank back, mortgaging a property does not cost the player that much cash upfront. It becomes costly when the space is left mortgaged for too long because you can’t build or receive rent on the space while it is mortgaged. This is why it is crucial to lift the mortgage as soon as you can! 

Can you trade property to another player while it is mortgaged?

You can trade a mortgaged property to another player within the board game. Once the other player becomes the new owner, there are some things they must do to life the mortgage on the space.

The first thing a new owner of a mortgaged space can do is pay the bank immediately. They must pay the mortgage price plus 10 percent interest to the bank. 

They can choose to pay the bank back later, but it will cost them more money that way. If the player does not pay the bank back immediately upon receiving the card in the trade, they will have to pay another 10 percent on top of the traditional cost of lifting the mortgage on a space.

Also read: Mr Monopoly: The Monopoly Man

How do you unmortgage a space you received when it was mortgaged?

If you trade for a mortgaged space, be prepared to pay back the bank. If you choose to pay immediately after the trade, you will owe the bank the mortgage price plus 10 percent. If you choose to pay it back at another time, you will have to pay back the mortgage price, plus 10 percent interest, plus another 10 percent for paying it back later.

All in all, it is best to repay the bank as quickly as possible and in the event of a trade, pay it back immediately. 

How does bankruptcy affect mortgages?

To win the game of Monopoly, you must be the last player standing at the end. Essentially, everyone else must go bankrupt for you to win. 

When a player does not have enough cash to pay the bank or another player, they are considered bankrupt. Bankruptcy puts them out of the game. If you have a mortgaged property and you go bankrupt, you have to turn the card over to the creditor. In most cases, the creditor is the bank. The creditor can also be another player. 

If the creditor is the bank, they will take all of your assets back and auction off properties. If one of those properties is mortgaged, the mortgage is lifted and other players can buy it at auction price. 

If you owe another player and go bankrupt attempting to pay them back, then you have to turn over all of your assets to them. In this case, the mortgage then falls on that player. They have to follow the general rules associated with paying back mortgages after a trade. 

Final Thoughts

Even though many people are well-versed in the game of Monopoly, it can be hard for some people to know all of the rules and intricacies of something complicated like mortgaging!

Knowing the rules of this skill of the game is important to keep your head above water and increase your lifespan in the game with smart money moves. Now that you know, go play a game of Monopoly and win!