Jargon Reference Guide



 

Payment Break


An option on flexible mortgages that allows the borrower to stop making mortgage payments for up to six months.

Penalties


Costs that may be incurred if the borrower repays the loan too early or switches between lenders.

Peppercorn Ground Rent


A nominal periodic rent usually paid annually.

Pied-a-Terre


A property kept for temporary secondary or occasional occupation.

Preliminary Enquiries


The initial enquiries about a property put forward to a seller which the seller must answer before the exchange of contracts.

Premium


The monthly amount payable for an insurance policy.

Premium Lease


The lump sum paid up front as rental payment for a property.

Principal


The sum of the loan on which interest is calculated.

Public Liability Insurance


Insurance which covers injury to or death of anyone on or around a property.

Purchaser


The person who is buying a property.