Principal


Definition of "Principal"

Joyce Cleary
Joyce Cleary Mid Illinois Realty

  1. person designating an agent to act for him.
  2. Primary individual having full financial liability.
  3. Amount being risked in a real estate investment.
  4. Owner of a real estate business.

Have a question or comment? We're here to help.

 
 
 
*** Your email address will remain confidential.
 
 

Search Real Estate Terms

 

Popular Real Estate Terms

Rectangular Survey

Same as term government rectangular survey: Way in which the U.S. government uses to subdivide public land. Land is designated as either a base line ( ...

Mortgage Requirement

The amount of a periodic payment, whether monthly, quarterly, or annually, including interest and principal, required for a mortgage payment. ...

Principal

The portion of the monthly payment that is used to reduce the loan balance. ...

FHA Mortgage

A mortgage on which the lender is insured against loss by the Federal Housing Administration, with the borrower paying the mortgage insurance premium. ...

Add-on-interest

Interest that is figured into the total cost of a loan over its entire life. The interest is added to the principal and divided by the number of month ...

Mortgage Payment

The payment of principal and interest made by the borrower. ...

Popular Real Estate FAQ

Besides Making My Monthly Mortgage Payment, How Can I Build Equity Into My House?

When making your monthly mortgage payment, try to send a little bit more. This will go directly to the principal of the loan rather than the interest ...

What Is Principal?

Principal is the amount of money borrowed and still owed on a loan not including the interest. ...

What Is An Amortization?

The process of paying off a loan balance. As you make payments, a certain amount is applied to the principal and a certain amount to the interest. ...

How Much Will My Principal Be?

This calculator figures your principal balance after any number of payments. Input the beginning principal amount, interest rate, length of the loan, ...

What Is A Housing Ratio?

A housing ratio is the percentage of your housing payment (principal, interest, taxes, and insurance) to your monthly gross income. Lenders use this r ...

What Is A Broker?

An agent who is authorized to open and run his/her own agency. All real estate offices have one principal broker. ...

Read why Real Estate Agent rates 5 Stars in 10 Agent Reviews
Read Reviews

Agents join here
Add our widget on your Website

Real Estate Advice

The Solar Panel Trap: When Renewable Energy Messes up Real Estate Should you Buy a Home with Cash? Mortgage Loan Types Short Sales Homes 5 Things Home Sellers Always Forget

FAQ

What is Loan Amortization? What type of a home is a condominium? What is cooperative? What is a survey? What is flood insurance?