FT MarketWatch

Self-amortizing mortgage

A Mortgage in which all Principal is Paid off in a specified period of time (often 15 or 30 years) through regular Principal and Interest payments. The advantage of such a Mortgage is that the home-owner is not left with a large lump-sum at the end of the Mortgage period. The disadvantage is that periodic payments are higher than if the Mortgage simply covered the interest.

Related Terms: 10 Cover, EFT, ECI, High, Interest, Inc., Mortgage, Own, Paid, Principal
Other Related Pages: Category: Real_Estate Starting With: S
Additional Related Terms: 52-week high, 12b-1 funds, 30-day wash rule, Average collection period, Accrual of discount, Accrued interest, Amortization of premium, At par, All or any part, At best