Final answer:
A clause in a mortgage that limits the owner's liability to the property is known as a non-recourse clause. With a non-recourse clause, the lender's only option to recover the loan is through the sale of the property itself.
Step-by-step explanation:
A clause in a mortgage that limits the owner's liability to the property is known as a non-recourse clause. With a non-recourse clause, the lender's only option to recover the loan is through the sale of the property itself. This means that the borrower is not personally liable for any deficiencies if the property is sold for less than the outstanding mortgage balance.