Down Payment

Business / Taxes / Down Payment: A down payment is the amount, usually stated as a percentage, of the total cost of a property that you pay in cash as part of a real estate transaction. The down payment is the difference between the selling price and the amount of money you borrow to buy the property. For example, you might make a 10% down payment of $20,000 to buy a home selling for $200,000 and take a $180,000 mortgage. With a conventional mortgage, you're usually expected to make a down payment of 10% to 20%. But you may qualify for a mortgage that requires a smaller down payment, perhaps as little as 3%. The upside of needing to put down less money is that you may be able to buy sooner. But the downside is that your mortgage payments will be larger and you'll pay more interest, increasing the cost of buying.

Payment Cap

Business / Debt / Payment Cap: A Payment Cap is the maximum amount for a payment under an Adjustable Mortgage Loan, regardless of the increase in the interest rate. If the payment is less than the interest alone, negative amortizat MORE

Payment Date

Business / Finance / Payment Date: The date on which shareholders of record will be sent a check for the declared dividend. MORE

Payment Float

Business / Finance / Payment Float: Company-written checks that have not yet cleared. MORE

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