Origination Fee - Fee charged by a lender for processing a mortgage that pays for the work in evaluating and processing the loan.

Owner Financing - A purchase in which the seller provides all or part of the financing.

Payment Cap - Limit on the amount by which a borrower's ARM payments may increase, regardless of rise in interest rates. May result in negative amortization.

Per Diem Interest - Interest calculated per day. Depending on the day of the month on which closing takes place, borrower pays interest from the date of closing to the end of the month. The first mortgage payment of a loan is generally due the first of the following month.

Permanent Loan - A long term mortgage of ten years or more.

Permanent Foundation - A foundation constructed with durable materials at the home site, with footings below the frost line.  Foundation must have attachment points to receive the manufactured home to prevent uplift and overturning due to wind.  Mobile homes that are attached to permanent foundations usually qualify for most Federal and conforming loans programs.  

PITI - Abbreviation for Principal, Interest, Taxes and Insurance, the components of a monthly mortgage payment; also called monthly housing expenses.

Points (or Discount Points) – Amount paid to the lender at closing in exchange for a reduction in the interest rate (and therefore monthly payments) on a loan. One point is equal to one percent of the initial loan balance.