See common area assessment . Plat A map that shows a parcel of land and how it is subdivided into individual lots. Plat maps also show the locations of streets and easements . PMI See private mortgage insurance . A point equals 1 percent of a mortgage loan.
Lenders charge points as a way to make a profit.
Borrowers may pay discount points to reduce the loan interest rate. Buyers are prohibited from paying points on HUD or VA guaranteed loans. On a conventional mortgage , points may be paid by either buyer or seller or split between them. Within limits, points are usually tax deductible. Also see interest tax deduction .