What is Principal - Save Money on Your Mortgage Loan



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Mortgage Professor about Principal:

Mortgage Prepayment by Doubling Principal
20 September 2004 "I have been advised that I can cut the life of my mortgage in half by making an extra payment to principal each month equal to that month?s principal payment. Is this true?" I have been asked this question many times and have always answered it in ... more...

Mortgage Prepayment When You Have Two Mortgages
July 6, 2004 "Please settle a dispute. On one property I have an old 6.6% mortgage with small balance and only 5 years to go, and on another property I have a relatively recent 30-year mortgage at 6.25 %. Most of the payment on the first mortgage is principal while most of ... more...

Principal related definitions

Homestead
Homestead Status provided to a homeowner's principal residence - the dwelling (house and contiguous land) of the head of a family -in some states that protects the home against judgements up to specified amounts. Some states grant statutory exemptions, protecting homestead ... more...

Prepayment
Prepayment Full or partial payment of the principal before the due date. This might occur if the borrower makes extra payments, sells the property, or refinances the existing loan. ... more...

More about Principal

Get Free Principal Quotes and Estimates
Get instant on-line mortgage rate quote and closing cost estimate. Only put your loan numbers. No contact info required. Compare offers from top mortgage lenders... more...

Save Money on Your Mortgage Loan
Did you know if you borrow $100,000 for a mortgage loan, you may pay back as much as $300,000? Yes, its true, and you may pay more than that depending on the interest rate and the number of years it takes you to repay the loan. The amount is even higher if the terms of your loan require mortgage ... more...

Loan Amortization Schedules
An "amortization schedule," in general, is a record of loan or mortgage payments. This record includes the payment number, date, amount, breakdown of principal and interest, and the remaining balance owed after the payment. An amortizing loans periodic repayments contain an amount designated for ... more...

Basic Mortgage Terms
If it is your first time applying for a mortgage, there are a number of terms you should know. Educating yourself on the various mortgage terms you will run into will help you make better decisions when deciding which home you want to purchase. When you sign a mortgage contract, your home is used ... more...

Biweekly Mortgage
The biweekly mortgage has been around for years but with the recent media attention to the real estate industry in general and the mortgage industry in particular, the biweekly has been getting thousands of home owners to use this simple, yet powerful, way to speed up the principal payment ... more...

Insider RV Financing Secrets
Choosing a Loan Term When More is LessMany people who contemplate financing an RV, or any other high-ticket item such as a boat or private aircraft, are intimidated by the length of the financing term needed for an acceptable payment. Typical financing terms are 10 to 20 years, with 15 years being ... more...

Secrets of the Option ARM Loan
How Does an Option ARM Loan Work?Option ARM (also called Pick A Payment or Pay Option ARM) loans work by providing the borrower with four payment options each month.Before we get into the payment options, let's review some of the important terms and concepts involved with this loan program.ARM - ... more...

A History of Money and Banking Secrets That Banks Don't Want Published
A History of Money and TradeTo start with a history of money and debt, we must go back many years ago when people used to trade their wares for the things they wanted and needed.In place of money or Federal Reserve Notes, you could trade a well made pistol for a cow, which you could eat or trade a ... more...

Mortgage Loan Basics: Interest Only Loans, Pay Option ARM
Mortgage Loan BasicsTo understand loans and mortgages we need to understand loan limits first. If your loan amount exceeds the amount below, you will qualify for a Jumbo Loan, which carries higher interest rate.One-Family (single family homes) $417,000 Two-Family(duplex) $533,850 Three-Family ... more...

Interest Only Loans What You Need to Know?
If you are shopping for a house or refinancing, youve probably seen ads for interest-only loans. While this type of loan is beneficial for some homebuyers, other homebuyers might regret the decision to take out an interest-only loan.Interest-only (IO) loans are structured so that the borrower pays ... more...

A Mortgage and Bank Trick You Should Avoid at All Costs
Once youve purchased your home, you will begin to get correspondence from your lender about a Mortgage Reduction Program, in which you can cut years off your mortgage, without adding money to your payment. This is another trick bankers have to get you to give them your payment sooner, so they can ... more...