This type of financing is called a mortgage loan. This is widely used in real estate business. The buyer acquires the real estate property, say a house. Without paying the full price of the house, you can apply for a loan, usually with banks. In return, you are going to allocate monthly payments to pay off the principal amount that you borrowed plus the interest of your loan until all debt pays off. Until the debt is not yet cleared, your property is declared as collateral.
