Original Principal Balance – Owner Financing

by Maria SalovaJanuary 14, 2012

Original Principal Balance

Definition: The original principal balance is the total amount of principal that is due and owed on a mortgage before any payments are processed.
Original Principal Balance - Owner Financing

Origination Fee

Definition: A origination fee is a fee that a lender chargers for processing a loan application. It is formulated as a percentage of the mortgage amount.

Owner Financing

Definition: Owner financing is a technique for home-financing through which a buyer borrows from a seller instead of a bank. It could also be in addition to borrowing from a bank. This is occasionally done when the borrower cannot afford a loan from the bank for the full amount.

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About The Author
Maria Salova
Hi! I’m Maria, the Marketing Coordinator for Homes.com. I am part of a dream team that is dedicated to running this awesome blog along with Homes.com’s social channels. If I am not busy writing blogs and socially sharing for Homes.com, you can find me painting, drinking tea with my friends, and doing DIY projects!