by Ethan Atkinson | Feb 6, 2026 | P-T, PropertyPedia
In real estate finance, a prepayment privilege is the borrower’s right to pay off a loan early, either in full or in part, without incurring a penalty. This right is defined in the loan agreement and specifies the conditions under which early payment is permitted. A...
by Ethan Atkinson | Feb 6, 2026 | P-T, PropertyPedia
In real estate finance, a prepayment penalty is a charge imposed on a borrower for paying off a loan before its scheduled maturity date. The penalty is typically specified in the note, mortgage, or deed of trust. Prepayment penalties are intended to compensate the...
by Ethan Atkinson | Feb 6, 2026 | P-T, PropertyPedia
In real estate transactions, prepaid items are property related expenses that have been paid in advance by one of the parties. These expenses commonly include property taxes, insurance premiums, rent, and similar charges. At the time of sale or closing, prepaid items...
by Ethan Atkinson | Feb 6, 2026 | P-T, PropertyPedia
In real estate finance, prepaid interest is interest that is paid in advance of the period for which it is due. It commonly occurs at loan closing to cover interest from the funding date to the start of the first regular payment period. Prepaid interest ensures that...
by Ethan Atkinson | Feb 6, 2026 | P-T, PropertyPedia
In real estate transactions, a preliminary title report is a document that outlines the current condition of title to a property prior to a sale or loan closing. It identifies the vested owner and discloses recorded liens, encumbrances, easements, and other matters...
