Notarization
The certification by a Notary Public that a person signing a document has been properly identified. Notarization does not certify the content of a document, only validity of signature.

P

PITI
Refers to principal, interest, tax and insurance, the four major components of a usual monthly mortgage payment.

Points
A fee charged by the lender to fund a loan, in addition to and separate from other fees charged. One point equals one percent of the amount of the loan.

Principal
The sum of money outstanding upon which interest is payable. Also refers to one who is served by an agent.

Private Mortgage Insurance (PMI)
Insurance written by a private mortgage insurance company protecting the mortgage lender against loss occasioned by a mortgage default and foreclosure.

Proration
The method used in dividing charges into that portion which applies only to a party’s ownership up to particular date.

Q

Qualification
The process of reviewing a prospective borrower’s credit and payment capacity prior to approving a loan.

Quitclaim Deed
A deed relinquishing all interest, title or claim in a property by a grantor. Accomplished without representing that such title is valid, nor containing any warranty or convenants of title.