A more thorough explanation:

An after-acquired-property clause is a provision in a mortgage agreement that states any real estate acquired by the borrower after the mortgage is signed will also be subject to the mortgage. This means that if the borrower buys another property, that property will also be used as collateral for the mortgage.

Let's say John takes out a mortgage to buy a house. The mortgage agreement includes an after-acquired-property clause. A few years later, John inherits a piece of land from his grandfather. Even though the land was not part of the original mortgage agreement, it is now subject to the mortgage because of the after-acquired-property clause.

Another example could be if a borrower takes out a mortgage to buy a condo, but later decides to purchase a vacation home. The after-acquired-property clause would make the vacation home subject to the mortgage as well.

These examples illustrate how an after-acquired-property clause can expand the scope of a mortgage beyond the original property purchased. It is important for borrowers to understand this clause and its implications before signing a mortgage agreement.