Amortization Period:
The period of time after which, if all monthly payments are made on time and in full, the loan will be paid in full.

Down Payment:
The amount of money provided by the purchaser toward the price of the property (not including legal fees or other acquisition costs).

Interest Rate:
The actual cost of borrowing money, charged as a percentage of the outstanding amount owed, and is usually compounded on a monthly basis.

Mortgage Amount:
The total amount of money to be borrowed by the purchaser, and applied toward the price of the property.

Prepayment Privileges:
The right of the borrower to pay out all or part of the outstanding principal before it comes due.

Term of the Mortgage:
The period of time during which the loan contract is active. During this period, the Borrower makes periodic payments (usually monthly) to the lender and at the end of the term the balance of the loan becomes due.