Personal Property - Moveable property: all property which is not real property. Property consisting of chattels as contrast to real estate; e.g. furniture, car, clothing.
Piggyback Loan - A loan made jointly by two or more lenders on the same property under one mortgage or trust deed.
PITI - Principle, Interest, Taxes, and Insurance.
Planned Unit Development (PUD) - A zoning designation for property developed at the same or slightly greater overall density than conventional development, sometimes with improvements clustered between open, common areas. Uses may be residential, commercial, or industrial.
Point - An amount equal to 1 percent of the principal amount of the investment or note. The lender assesses loan discount points at closing to increase the yield on the mortgage to a position competitive with other types of investments.
Power of Attorney - An authority by which one person (principle) enables another (attorney-in-fact) to act for him. (1) General power – authorizes sale, mortgaging, etc., of all property of the principle. This is invalid in some jurisdictions. (2) Special power specifies property, buyers, price, and terms. How specific it must be varies in each state.
Preliminary Title Report - A report showing the condition of title before a sale or loan transaction. After completion of the transaction, a title insurance policy is issued.
Pre-Payment Penalty - A fee charged to a mortgagor who pays a loan before it is due. This is not allowed with FHA or VA loans.
Private Mortgage Insurance (PMI) - Insurance written by a private company protecting the lender against loss if the borrower defaults on the mortgage.
Promissory Note - A written promise to pay to some person named, and at a time specified therein, or on demand, or at sight, a certain sum of money, absolutely and at all events.
Proration - To divide (prorate) property taxes, insurance premiums, rental income, etc., between buyer and seller proportionally to time of use, or the date of closing.
Purchase Agreement - A written document in which the purchaser agrees to buy certain real estate and seller agrees to sell under stated terms and conditions. Also called a sales contract, earnest money contract, or agreement for sale.
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