Acceleration Clause

An acceleration clause in real estate is a provision typically found in mortgage contracts that allows the lender to demand immediate repayment of the entire outstanding loan balance if the borrower fails to meet certain conditions or defaults on the loan agreement. This clause gives the lender the right to accelerate the repayment schedule, requiring the borrower to pay off the loan in full, often with accrued interest and any applicable fees, ahead of the originally agreed-upon term.